Explain Why Market Prices are Useful to a Financial Manager free essay sample

Explain why market prices are useful to a financial manager. A market price is the current price at which an asset or service can be bought or sold. (investopedia. com). Market prices are very useful to a financial manager. It helps with financial planning and it reflects the value of the assets based on GAAP (which refers to the Generally Accepted Accounting Principles). GAAP is just a set of guidelines that must be followed when it comes to any type of financial practice. Market price is also a crucial component of the balance sheet and can impact the financial statements. Market values reflect the amount someone is willing to pay today for an asset. Market values also reflect its historical costs. A financial manager has potential to maximize the company’s profits while utilizing this. Market value is equal to present value plus net cash flow. Discuss how the Valuation Principle helps a financial manager make decisions. We will write a custom essay sample on Explain Why Market Prices are Useful to a Financial Manager or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page The valuation principle is an analysis between the value of the benefits and the value of its costs. It is the foundation of financial decision making and it provides a basis for making decisions within a company. Understanding the valuation principle is very useful in assisting a financial manager in the company’s overall well being. The valuation principle also utilizes the market prices as well. â€Å"The value of a commodity or an asset to the firm or its investors is determined by its competitive market price. The benefits and costs of a decision should be evaluated using those market prices. When the value of the benefits exceeds the value of the costs, the decision will increase the market value of the firm. † (SU3finance) Describe how the Net Present Value is related to cost-benefit analysis. Net present value is the sum of discounted net cash flows over the period. It is also defined as the difference between the present value of a project or investment’s benefits and the present value of its costs. (SU3finance) When properly calculated, the NPV is a relatively objective method of determining the improvement in national wealth resulting from a proposal. Cost-benefit analysis is the wider process of proposal selection. NPV analysis is just one tool which may be applied in Cost Benefit Analysis. Slack states, â€Å"Cost-benefit analysis (CBA or COBA) is a major tool employed to evaluate projects. It provides the researcher or the planner with a set of values that are useful to determine the feasibility of a project from an economic standpoint. † (Cost/Benefit Analysis) It produces easy results which are easy to comprehend. The end product is a â€Å"benefit-cost ratio that compares the total expected benefits to the total predicted costs. † (Slack) NPV is usually obtained from the cost-benefit analysis. It is obtained by subtracting the discounted costs and negative effects from the discounted benefits. A negative NPV should be rejected because society would be worse off. Explain how an interest rate is just a price. An interest rate is a rate which is charged or paid for using money. Price is the amount of money that is expected or required for something. That is basically what an interest rate is. Whenever you take out a loan, you are charged an interest rate. They expect you pay this certain amount in order to borrow their money. Also, the price of investment quality bonds is usually linked to interest rates. When interest rates rise, the price of a bond will decline. When interest rates fall, the price of a bond will rise. The interest rate is referred to the coupon rate of a bond. The coupon rate is the price that will be paid for the bond. Also, the fixed rate of interest will be the amount that will be paid when a bond is first issued, until the interest rate matures. Describe how a bond is like a loan. A bond is basically a debt security that is sold by a corporation or the government. Whenever the public wishes to borrow from the bank (including corporations), the bank issues out loans. You pay interest regularly on a bond and then on the principal amount sometime in the future like you would a loan.

Kasura Levy Essays - Health, Psychiatry, Personal Life,

Kasura Levy Dr. Shilts Writing 1010.06 November 10. 2017 Educational attainment and health Thesis Statement: Because of the ir income deficit and general susceptibil ity to depression , students who drop out of high school before graduation maintain a higher risk for physical and mental health problems later in life. I. A. Current Problem: Educational attainment rates are decreasing in the United States while healthcare costs are increasing. B. Population/Area of Focus: Unskilled or low-skilled adult workers C. Key Terms: healthy, well-educated II. A. Historical Employment Overview: Unskilled laborers in the past were frequently unionized and adequately compensat ed for their work . B. Historical Healthcare Overview: Unskilled laborers in the past were often provided adequate health care and benefits . C. Current Link between Education and Employment Type: Increasingly, uneducated workers work i n unskilled or low-skilled jobs. D. Gaps in the Research: Little information exists exploring the health implications of the current conditions in low-skilled jobs. III.: Conditions of employment affect workers' physical health. A: Unskilled work environments are correlated highly with worker injury. B : Unskilled work environments rarely provide healthcare o r adequate injury recovery time. IV. Conditions of employment affect workers' mental health A: Employment in a low-skilled position is highly correlated w ith dangerous levels of stress . B: Stress is highly corre lated with mental health issues. V. Physicalhealth and mental health correlate directly with one another. A: Mental health problems and physical health problems are highly correlated . B: Stress ma nifests itself in physical form. VI. People with more financial worries have more stress and worse physical health. A: Many high-school d ropouts face financial problems. B: Financial problems are often correlated with unhealthy lifestyle choices such unhealthy food choices, overconsumption/abuse of alcohol, chain smoking, abusive relationships, etc. VII. Conclusion A: Students who drop out of high school are at a higher risk for both mental and physical health problems throughout their lives. B: Society needs educational advocates; educators need to be aware of this situation and strive for student retention in order to promote healthy lifestyles and warn students of the risks associated with dropping out of school.

English Atonement essays

English Atonement essays Atonement is a fund concept in the Jewish and Christian religions. 'Yom Kippur', the day of atonement is the most sacred day in the Jewish calendar. The need for atonement arises when an individual has committed a crime about which he feels guilty and for which he wishes to make amends, to the wronged party. Christmas too are required to atone for their sins if they want them to be forgiven by the confessor. She needed to atone for the crime she committed at the age of thirteen. Within the half hour Briony would commit her crime. When Briony appears in the fountain and library scene, she misinterprets what she sees. Though she was very young, she genuinely believed in Robbie's guilt even if that belief was based upon a mixture of childish ignorance and indignation. However, Briony was not helped to reexamine her story but felt only encouragement to stick with it, since she was desperate for adult attention and convinced that she knew better than her sister Cecilia, and she could protect her. Thus, she will later be tortured by remorse. It is the night of the attack and early morning that followed that will trouble her more than the legal processes. Her own vile excitement. Briony center stage. She takes the letter from Cecilia's bedroom and give it to the inspector. Also she shows them where she had seen Robbie attacking Cecilia ; that could earn her praise. The inspector tells her just as you see me, You saw him with your own eyes. Briony tells him Yes, I saw him. Yes she was a child. But not every child sends a man to prison with a lie. Briony's atonement starts when she abandons her ambition to go to Girton College, Cambridge , choosing to the humble job of nursing instead. Cecilia says I get the impression she's taken on nursing as an act of penance. Briony's novel has been My fifthy-nine year assignment.&qu...

How to Make Yogurt With Chemistry

How to Make Yogurt With Chemistry Yogurt is made by fermenting milk. Its high in protein, calcium, and probiotics (good bacteria). Heres how to make yogurt and a look at the chemistry of yogurt. Chemistry Yogurt forms when bacteria ferment the sugar lactose (C12H22O11) into lactic acid (C3H6O3). The lactic acid makes the milk more acidic (lower the pH), causing the proteins in milk to coagulate. The main protein in dairy milk is casein. The acidity gives yogurt its tangy flavor, while the coagulated proteins result in a thickened, creamy texture. There is no simple chemical equation for yogurt production since multiple reactions occur. Several types of bacteria can ferment lactose. Yogurt cultures may contain Lactobacillus delbrueckii subsp. bulgaricus, other Lactobacillus strains, Streptococcus thermophilus, and bifidobacteria. Recipe You can make yogurt from any type of milk. Although most yogurt is made from bovine milk (e.g., cow, sheep, goat), the fermentation process works on other types of milk, as long as they contain a sugar for the bacteria to ferment and protein that can be coagulated. Yogurt can be made from soy milk, coconut milk, and almond milk. The first time you make yogurt, you need a starter culture as a source of the bacteria. You can use ordinary store-bought yogurt with active culture or you can use freeze-dried yogurt starter. If you use a commercial yogurt starter, follow the packaging directions, since activating the culture varies depending on the product. Once you make your first batch of yogurt, you can use a couple of tablespoons of it to start future batches. While it may seem like you would want to add more active culture to a recipe, adding too much bacteria produces a sour yogurt rather than a pleasantly tangy yogurt. Ingredients   1 quart milk (any kind)1/4 to 1/2 cup non-fat dry milk (optional)2 tablespoons plain yogurt with live cultures (or you can use freeze-dried bacteria instead) Recipe Set the starter yogurt out at room temperature while you prepare the milk. This warms the yogurt so that it wont chill your recipe too much when you add it later.Heat the milk to 185 °F (85 °C). The purpose of this step is to re-pasteurize the yogurt, preventing any unwanted bacteria from growing, and to denature the proteins so that they will be able to coalesce and thicken the yogurt. The easiest way to do this is to use a double boiler or set your container of milk inside a pan of water. Heat the water to near-boiling. Dont worry- the ​​milk cant boil using this technique. If you have to heat the milk directly, stir it constantly and watch the temperature to make sure it doesnt boil or burn. If you do not have a thermometer, the milk will start to froth at 185 °F (85 °C).Once the milk reaches the temperature or starts to froth, remove it from heat and allow the milk to cool 110 °F (43 °C). One way to do this is to place the container of milk in a cold wat er bath. Otherwise, you can leave the milk on the counter and allow it to cool. Either way, stir the milk occasionally so that the temperature is uniform. Dont proceed to the next step until the temperature of the milk is below 120 °F(49 °C), but dont let the milk cool below 90 °F (32 °C). 110 °F (43 °C) is the optimal temperature. At this point, you can add nonfat dry milk. This is an optional step that helps the yogurt thicken more readily, plus it adds nutritional content to the yogurt. Its purely a matter of preference, whether you add the dry milk or not.Stir in the starter yogurt.Put the yogurt into clean, sterile containers. Containers can be sterilized by boiling them. The reason for sterilizing the containers is to prevent unwanted mold or bacteria from growing in your yogurt. Cover each container with plastic wrap or a lid.Keep the yogurt as close to 100 °F (38 °C) as possible and undisturbed, to bacterial growth. Some ovens have a proof setting that you can use. Other ideas include setting the yogurt on a heating mat (being sure to check the temperature) or placing the containers in a warm water bath. Youll have a custard-like yogurt after about 7 hours. It wont resemble store-bought yogurt because that has thickeners and additional ingredients. Your yogurt should have a yellowish or greenish liq uid on top, a creamy custard texture, and may have a cheesy odor. The thin yellowish liquid is whey. You can pour it off or mix it in, whichever you prefer. Its completely edible, though you may add fruit, flavorings, or herbs, according to your taste. If you leave the yogurt at this temperature longer than 7 hours, it will thicken and become tangier. When the yogurt is the thickness and flavor you want, refrigerate it. Homemade yogurt will keep for 1-2 weeks. You can use yogurt from this batch as a starter for the next batch. If you are going to use yogurt as a starter, use unflavored yogurt, within 5-7 days.

Religious Concepts in a Kantian Philosophy Essay

Religious Concepts in a Kantian Philosophy - Essay Example This research will begin with the statement that Immanuel Kant was an immensely popular and influential philosopher in 18th century Germany, who produced a wide array of works on metaphysics, ethics, aesthetics, and, most relevantly, religion. Probably the most amazing aspect of Kantian philosophy is the completeness of his theoretical and practical philosophies—a distinction he himself used wonderfully in creating his set of works. The difference between pure and practical reason forms the need for his two most seminal works, Critique of Pure Reason and Critique of Practical Reason, the latter of which is more relevant to his consideration of religion. In that work and others, he fleshes out the difference between a constitutive picture of religious concepts and a regulative picture of religious concepts. Accepting the latter as a legitimate answer to one troubling antimony, Kant derives a critical philosophy which evaluates the notion of â€Å"religious knowledge†. Sc eptical of such a possibility, Kant endeavors to move religion into the realm of the non-cognitive such that claims to know what is beyond experience—the phenomenon—are immediately cast aside. The regulative approach to religious concepts Kant adopts the view that human beings should use the belief in God merely as a system of reward and punishment in morality. God, despite existing outside the realm of natural cause-and-effect, has the power to reward goodness and punish evil, thereby making human beings committed to being moral.

Modern Risk Analysis Based on PRA Essay Example | Topics and Well Written Essays - 1500 words

Modern Risk Analysis Based on PRA - Essay Example This risk assessment leads to an output of ranging risks prior to the experiences of the receptors. Proper probabilistic risk assessments require adequate description of the input parameters. For this to happen, it requires that distributional data be available and further be adequate in describing the already identified input parameters. PRA purely employs probability and probability distributions in the characteristic analysis. Probability denotes the chances of occurrence of an uncertain phenomenon. The uncertainty constitutes occurrence of risk. Through PRA, risk assessments can be carried out and the levels of risk therein identified. Use of probability in the assessments of risk can be used in the understanding, quantifying and management of risk. Such a process can further be analysed in relation to the limitations of quantifying risk using probability. Reasons why probability is chosen as opposed to other measures of uncertainty Probability quantifies the description of level s of risk, characterized by the aspect of uncertainty or variability associated with risk estimates. Risk therefore becomes comprehensively characterized by using probability, which would not be the case when point estimate measure of risk is used (UKOOA, 2006, pg. 134). This feature therefore makes probability a better measure of risk than the point estimate method. Quantitative analysis of risk allows for diverse treatment of uncertainty variables used in the determination of underlying risks prior to the probability of occurrence of the identified risks. Risk management requires the use of flexible tools of analysis as well as availability of vast information in regard to what is being accounted for. In this regard, probability becomes the best measure of uncertainty. Uncertainty constitutes risks, and it is the risks that risk managers ought to address. Probability allows for flexibility in the analysis and treatment of variables in the probability equation (U.S. Environmental P rotection Agency, 2005, pg. 78-79). Following this, a large volume of information can be derived, thereby allowing risk managers to make choices among alternatives. Other measures of uncertainty do not provide for flexibility and variant information, making risk managers fixed to the choices they make or to the scope that they can manage risks using such measures as a baseline. Managers need to assess and evaluate high-end risks, and the best gateway to succeeding in that is using probability in measuring levels of risk. Limitations of quantitative approach to risk The quantitative approach to risk is time consuming. It is procedural and treatment and analysis of variables require adequate time. Step by step consideration of variables is necessary in order to ensure that each and every aspect that constitutes risks is identified and accounted for (Stern and Fineberg, 1996, pg. 157). This process is characterized by huge requirement of resources. Adequate resources need to be pulled into place. Finances are required at every step of the quantification process. Gathering data and information is expensive. The management should be aware of these requirements before such an approach to risk is adopted. In order to come to a critical and fundamental understanding of the risks through the quantification approach all required information should first be in place. Data collection, cleaning, editing, analysis and reporting require that enough resources be allocated for the purposes.

Faction of a society Essay Example for Free

Faction of a society Essay A particular faction of a society endures a great deal of pressure of the working population; that is, those who are making a living for themselves and their families. Indeed, wellness in the workplace has become a critical concern for organizations. Paid employment is a major determinant of good physical and mental health for men and women. In the United States and other societies where people are socialized into a strong work ethic, satisfying work enhances health, life satisfaction, and well-being. The impact of work is seen in Sigmund Freud’s answer to the question of what normal people should do well. For Freud, it is â€Å"to love and to work. † In other words, good psychological functioning emphasizes both one’s work and one’s family. The ideal is to create an environment where work and family are not opposed to one another, this is the same premise Nick Whitten’s article â€Å"Workplace Truly Family-friendly† encapsulates (Whitten, 2006). Whitten tackles how mothers in Forest Hall Day Nursery are allowed to bring their children with them to work. Indeed, rather than giving them. Indeed, many social scientists are no longer asking whether it is good or bad that mothers work. Instead, they are finding that a more important issue is whether the mother, regardless of employment, is satisfied in their situation (Burns and Scott, 1994). Certainly, serious concern is frequently voiced about the future of the nation’s children as more and more mothers enter the work force. With the entry of women into the labor force, arrangements for childcare are shifting from care in the home to care outside the home. As such, employers shall indeed consider rethinking flexible working schedule as a major scheduling change in today’s clocks. Society has to begin to consent that mothers, like fathers, are capable of taking over the task of being the breadwinner as well as being a parent. Many people may fear that the working mother represents a loss to children in terms of supervision, love, and cognitive enrichment. But like what Forest Hall Day Nursery practices, why not give this arrangement for childcare that is shifting from care in the home to care outside the home a try? References Burns, Ailsa. and Cath Scott. (1994). Mother-Headed Families and Why They Have Increased. Lawrence Erlbaum Associates. Whitten, Nick. â€Å"Workplace Truly Family-friendly. † Available online: http://findarticles. com/p/articles/mi_6783/is_2006_August_10/ai_n28366056/? tag=content;col1. Accessed 5 May 2009.