Ways Of Transferring Capital From Savers To Borrowers Finance Essay

Ways Of Transferring Capital From Savers To Borrowers Finance Essay Find the most recent financial statements for two companies of same industry which are listed in KLSE (Kuala Lumpur Stock Exchange). Evaluate the financial position and performance for each of these two companies using accounting ratio analysis. You are required to compute and compare the accounting ratios between these 2 companies, and conclude the results of your findings. The limitations or problems of using accounting ratios for performance analysis should be included in your conclusion. Identify and discuss three different ways of transferring capital or fund from savers to borrowers in the financial market. 1.0 Introduction What is accounting ratios? Accounting ratios are the ratios which used in calculation and indicate the relationship between figures from the financial statements of a company. The financial statements are the statements that summarized a companys activities either quarterly or annually. It consists of a profit and loss account and a balance sheet. In accounting, accounting ratios are often used in interpreting and evaluating a companys overall financial condition and business performance. Accounting ratios are classified into 5 categories for measuring 5 different aspects of business performance. The 5 aspects are shown as follow: Profitability of company Liquidity of company Asset management of company Debts management and capital gearing of company Market value of investment to ordinary shareholders / common stockholders 1.1 Profitability of company Gross profit markup Gross profit markup (%) = Gross Profit x 100 Cost of goods sold Gross profit margin Gross profit margin (%) = Gross profit x 100 Net sales value Operating profit margin on sales Operating profit margin (%) = Operating profit before interest and before taxation x 100 Net sales value Profit margin on sales Profit margin on sales (%) = Net income available to common stockholders x 100 Net sales value Basic earning power (BEP) Basic earning power (BEP) = Operating profit before interest and before taxation x 100 Total assets Return on total assets (ROA) Return on total assets (ROA) = Net income available to common stockholders x 100 Total assets Return on total equity (ROE) Return on total equity (ROE) = Net income available to common stockholders x 100 Common equity 1.2 Liquidity of company Current ratio / Working capital ratio Current ratio / Working capital ratio = Current assets Current liabilities Liquid ratio / quick ratio / acid-test ratio Liquid ratio / quick ratio / acid-test ratio = Liquid assets Current liabilities 1.3 Asset management of company Inventory turnover or stock turnover Inventory turnover or stock turnover = Cost of sales Average stock value Fixed asset turnover Fixed asset turnover = Net sales Fixed assets net book value Total assets turnover Total assets turnover = Net sales Total assets Debtor ratio Debtor ratio = Debtor Credit sales Debtor payment period Debtor payment period = Debtor x 365 days/ 52 weeks / 12 months Credit sales Days sales outstanding (DSO) Days sales outstanding (DSO) = Debtor x 365 days Credit sales 1.4 Debts management and capital gearing of company Debts ratio Debts ratio = Total debts Total assets Capital gearing ratio Capital gearing ratio = Prior charge debts capital Total capital Debts equity ratio Debts equity ratio = Total debts Common Equity Times interest earned Times interest earned = Profit before interest and before taxation Interest charges Creditor ratio Creditor ratio = Creditor Credit purchase Creditor payment period Creditor payment period = Creditor x 365 days / 52 weeks / 12 months Credit purchase 1.5 Market value of investment to ordinary shareholders/ common stockholders Earnings per share Earnings per share = Net income available to common stockholders Number of ordinary shares in issue Price / Earnings ratio Price / Earnings ratio = Market price per ordinary share Earnings per share Dividend cover Dividend cover = Earnings per share Net ordinary dividend per share Earning yield Earning yield = Gross earnings per share x 100 Market price per ordinary share Dividend yield Dividend yield = Gross ordinary dividend per share x 100 Market price per ordinary share Price / cash flow ratio Price / cash flow ratio = Market price per ordinary share Net cash inflow per ordinary share Market price / book value ratio Market price / book value ratio = Market price per ordinary share Net book value per ordinary share 1.6 Companys background Gamuda was incorporated on 6 October 1976. It was listed on the main board of the Kuala Lumpur Stock Exchange (KLSE) on 10 August 1992. In Malaysia, Gamuda is a leading infrastructure group. It has a wide range of business activities all over the world. Its core competencies are engineering and construction, infrastructure concessions, and also township development. Besides, they have mega projects such as internationally acclaimed SMART (Stormwater Management and Road Tunnel), intra-urban highways, Kaohsiung Mass Rapid Transit System in Kaohsiung, Taiwan, and so on. On the other hand, WCT was incorporated on 14 January 1981 as WCT Earthworks Building Contractors Sdn Bhd. Then, it went public on 1 April 1994 and listed on the Kuala Lumpur Stock Exchange (KLSE) on 16 February 1995. The business nature of WCT Berhad contains engineering and construction, property development, and also assets management. The business coverage of WCT is in Malaysia and abroad. Its projects and services include F1 international racing circuit, international airport, hydroelectric dam, township planning development and so on. Then, the next step is applying the accounting ratios to calculate the 2 companiess business performance. The companies are Gamuda Berhad and WCT Berhad. In order to compare these 2 companies, the selection is inter-firm which is comparing based on the industry average. It is because they have the same business nature. Before doing comparison, a person must obtain the financial statements of a company. In general, the financial statements are released in annually basis, but some of the companies are quarterly basis. Financial statements are the vital resource for a researcher used to calculate and compare the companies business performance. The financial statements adopted from Gamuda Berhads annual report 2010, whereas WCT Berhad is 2009. Figures inside the income statement and balance sheet are used in apply to the accounting ratio in calculating purposes. After done the calculation, there is a standard weigh available in each accounting ratio to interpret the data. Each answer gen erated is referring to the weigh in comparison and generate a comment. These 2 annual reports of Gamuda and WCT are adopted from their official website in the column of the investor relations. The website address of Gamuda is http://www.gamuda.com.my, whereas website address of WCT is www.wct.com.my. 1.7 Calculation worksheet Types of ratio Calculation of Gamuda Berhad Calculation of WCT Berhad Profitability Gross profit markup (%) = Gross profit x 100 Cost of goods sold = RM 422976000 x 100 RM 2032167000 = 20.81 % = RM 354659000 x 100 RM 4311943000 = 8.23 % Gross profit margin (%) = Gross profit x 100 Net sales value = RM 422976000 x 100 RM 2455143000 = 17.23 % = RM 354659000 x 100 RM 4666602000 = 7.60% Operating profit margin on sales (%) Operating profit before = interest before taxation x100 Net sales value = RM 259852000 x 100 RM 2455143000 = 10.58% = RM 244145000 x 100 RM 4666602000 = 5.23 % Profit margin on sales (%) = Net income available to common stockholders x 100 Net sales value = RM 280693000 x 100 RM 2455143000 = 11.43 % = RM 147098000 x 100 RM 4666602000 = 3.15 % Basic earning power (BEP) = Operating profit before Interest and before taxation x100 Total assets = RM 259852000 x 100 RM 6550910000 =3.97% = RM 244145000 x 100 RM4478484000 = 5.45 % Return on total assets (ROA) = Net income available to common stockholders x100 Total assets = RM 280693000 x 100 RM 6550910000 = 4.28% = RM 147098000 x 100 RM 4478484000 = 3.28 % Return on total equity (ROE) = Net income available to common stockholders x 100 Common equity = RM 280693000 x 100 RM 325752500 = 8.62 % = RM 147098000 x 100 RM 1250246000 = 11.77 % Liquidity Current ratio = Current assets Current liabilities = RM 4203173000 RM 1930241000 = 2.18 : 1 = RM 2553187000 RM 1807550000 = 1.41 : 1 Acid-test ratio = Liquid assets Current liabilities = RM4123435000 RM1930241000 = 2.14 : 1 = RM 2439478000 RM 1807550000 = 1.35 : 1 Asset Management Inventory turnover = Cost of sales Average stock value = RM 2032167000 RM 79738000 = 25.49 times = RM 4311943000 RM 113709000 = 37.92 times Total assets turnover = Net sales Total assets = RM 2455143000 RM 6550910000 = 0.37 times = RM 4666602000 RM 4478484000 = 1.04 times Debtor ratio = Debtor Credit sales = RM 1607772000 RM 2455143000 = 0.65 : 1 = RM 1472655000 RM 4666602000 = 0.32 : 1 Day sales outstanding (DSO) = Debtor x 365 days Credit sales = 0.65 x 365 days = 237.52 days = 0.32 x 365 days = 116.8 days Debts management and capital gearing of company Debts ratio = Total debts Total assets = RM 3243187000 RM 6550910000 = 0.50 : 1 = RM 2991508000 RM 4478484000 = 0.67 : 1 Debts equity ratio = Total debts Common equity = RM 3243187000 RM 3257525000 = 1 : 1 = RM 2991508000 RM 1250246000 = 2.39 : 1 Times interest earned = Profit before interest and before taxation Interest charges = RM 259852000 RM 43813000 = 5.93 times = RM 24414500 RM 50308000 = 4.85 times Market value of investment to ordinary shareholders / common stockholders Earnings per share = Net income available to common stockholders Number of ordinary shares in issues = RM 280693000 2025888000 shares = RM 0.14 = RM 147098000 777712000 shares = RM 0.19 Price earnings ratio = Market price per ordinary share Earnings per share = RM 3.20 per share RM 0.14 per share = 22.86 times = RM 2.60 per share RM 0.19 per share = 13.68 times Earnings yield = Gross earnings per share x 100 Market price per ordinary share = (100/75 x RM 0.14) x 100 RM 3.20 = 5.83 % = (100/75 x RM 0.19) x 100 RM 2.60 = 9.74 % Market price per book value = Market price per ordinary share Net book value per ordinary share = RM 3.20 per share (RM 325752500 / 2025888000 shares) = RM 3.20 RM 1.61 = 1.99 : 1 = RM 2.60 per share (RM 1250246000 / 777712000 shares) = RM 2.60 RM 1.61 = 1.61 : 1 1.8 Ratios comparison between Gamuda and WCT 1.81 Profitability Gross profit markup and gross profit margin Based on the profitability ratios calculations result generated above, Gamuda Company is generating higher profit compared to WCT Company. The both gross profit markup and gross profit margin of Gamuda is higher than WCT. High gross profit earned by Gamuda shows that it has effective and efficient control in lowering its purchasing cost and production cost. Lower gross profit earned by WCT indicates it does not effective and efficient control in lowering its purchasing cost and production cost. Besides, both operating profit margin and profit margin on sales of Gamuda is higher than WCT. Higher profit margin earned by Gamuda shows it has an effective control in lowering its expenditures and interest cost. Whereas it indicates WCT is ineffective in controlling its expenditures and interest cost. Basic earning power, return on total assets, and return on common equity However, in basic earning power and return on common equity, Gamuda is lower than WCT. Return of asset of Gamuda is slightly higher 1 % than WCT only, which is 4.28 % and 3.28 % respectively. It shows that WCT is generating higher profit regarding to its effective and efficient in using its assets and capital in the business. In contrast, Gamuda is ineffective and inefficient in employing its assets and capital. 1.82 Liquidity Current ratio In liquidity aspect, the current ratio of Gamuda and WCT is 2.18: 1 and 1.41: 1 respectively. If the current ratio is higher than average of industry, it means a company has a larger amount of current assets to pay its current liabilities. Besides, it proves that a company has a stable financial condition. In contrast, when current ratio is lower than average of industry, it shows the companys financial condition is unstable. The company has lower amount of current assets to pay its current liabilities. Acid test ratio On the other hand, acid test ratio of Gamuda is 2.14: 1, whereas WCT is 1.35: 1. When a companys acid test ratio is higher than average of industry, it shows that it has larger amount of liquid assets to pay its current liabilities. In contrast, lower acid test ratio shows a company has lower amount of liquid assets to pay its current liabilities. 1.83 Asset management Inventory turnover In asset management aspect, the inventory turnover of Gamuda is 25.49 times and WCT is 37.92 times. Higher inventory turnover shows that a company experiences fast stock turnover, so stocks are not accumulated, and no money to be tied up. WCT has a higher inventory turnover than Gamuda. It means that WCT has fast turnover, less stocks to be accumulated, and less money to be tied up compared to Gamuda. Total assets turnover Besides, total assets turnover of Gamuda is 0.37 times, and WCT is 1.04 times. Total assets turnover of WCT is higher than Gamuda. WCT has higher sales generated from its business due to its effective asset usage which increases the production volume. Debtor ratio days sales outstanding Debtor ratio of Gamuda is 0.65: 1, and WCT is 0.32: 1. Besides, the day sales outstanding of Gamuda are 237.5 days, and WCT is 116.8 days. Higher debtor ratio and day sales outstanding shows that Gamuda gives a longer credit time to its debtors which cause a longer time to collect back the money. Gamuda may accumulate the debts balance and experiences shortage of money which unable to finance its current liabilities. In contrast, WCT has a lower debtor ratio and day sales outstanding. It has shorter debtor payment period, experience less debts balance, and less money to be tied up from its debtors. 1.84 Debts management and capital gearing Debtor ratio In debts management and capital gearing aspect, WCT has a higher debts ratio compared to Gamuda. The higher debts ratio shows that a company experiences heavy debts and high interest cost. It may cause a company unable to pay back the debts, and forced to sell its assets to pay. Debts equity ratio Debts equity ratio is used to measure the proportion of company debts with its common equity. Both Gamuda and WCT debts equity ratio is higher than 0.5:1, but WCT is higher than Gamuda which are 2.39:1 and 1;1 respectively. It means these 2 companies operate at a high gear with larger proportion of prior charge debts capital. It views as unstable capital structure and bearing the high interest cost financed by larger proportion of profit. Time interest earned / Interest cover Both companies experience high capital gearing ratio, but WCT is higher than Gamuda. It means WCT experiences low times interest earned and indicates it is bearing the high interest charges in relation to its profit. 1.85 Market value of investment to ordinary shareholders / common stockholders Earnings per share Lastly, in market value of investment to ordinary shareholders / common stockholders, WCT has a higher earnings per share compared to Gamuda. It shows that WCT has a higher business growth and higher profit earnings. In converse, lower earnings per share shows that a company experiences a low business growth and low profit earnings. Price earnings per share Besides, WCT has a lower price earnings ratio compared to Gamuda. Lower price earnings ratio shows that Gamudas earnings per share is very high which influenced the common stockholders have to take shorter period use their profit earning to recover back their share investment amount. If the earnings ratio is high, it shows that a companys earnings per share are very low and the common stockholders spend longer period use their profit earning to recover their share investment amount. Earning yield The earning yield of WCT is higher than Gamuda. If the earning yield higher than the average of industry, it shows that a company has high net income and very attractive to the common stockholders. However, when the earning yield is lower than average of industry, it shows that a company has low net income and not attractive to the common stockholders. Market price per book value Besides, the market price per book value of WCT is lower than Gamuda. If market price per book values is lower than the average of industry, it means the share market price decreases below its real asset value and becomes attractive to common stockholders. In converse, if the market price per book value is higher than the average of industry, it means its share market price increases over its real asset value and become not attractive to the common stockholders. 1.9 Conclusion Based on the result of 5 aspects of accounting ratio above, WCT Company has a better overall business performance than Gamuda Company. Firstly, WCT has higher BEP and ROE which shows WCT is generating higher profit regarding to its effective and efficient in using its assets and capital in the business activities. Secondly, WCT has a higher inventory turnover than Gamuda. It indicates that WCT has fast turnover, more liquid, less stocks to be accumulated, and less money to be tied up compared to Gamuda. Thirdly, total assets turnover of WCT is higher than Gamuda. WCT has higher sales generated from its business due to its effective asset usage which increases the production volume. Fourthly, WCT experiences a lower debtor ratio and day sales outstanding than Gamuda Company. WCT has shorter debtor payment period, experience less debts balance, more liquid and less money to be tied up from its debtors. Fifthly, WCT has higher earnings per share compared to Gamuda. WCT has a higher busi ness growth and higher profit earnings. Sixthly, WCT experiences lower price earning ratio compared to Gamuda. Lower price earnings ratio shows that WCTs earnings per share are very high. It enables the common stockholders have to take shorter period use their profit earning to recover back their share investment amount. Seventhly, the earning yield of WCT is higher than Gamuda. When the earning yield higher than the average of industry, it shows that a company has high net income and very attractive to the common stockholders. Lastly, the market price per book value of WCT is lower than Gamuda. When market price per book values is lower than the average of industry, it means the share market price decreases below its real asset value and becomes attractive to common stockholders. Thus, WCT is more attractive than Gamuda. On the other hand, while doing inter-firm comparison, there are several limitations in applying the ratio and trend analysis. The first limitation must select the same industry norms and compare based on the industry average. The second limitation is each firm experiences a different financial and business risk profile. It also affected by the analysis differently. The third limitation is accounting policies. Each firm applies different accounting policies. For example, in small firm, it groups its stationery in current assets. However, in large firm, it groups it into expenses. The fourth limitation is the size of the firm would experience different level of risk from its competitors, structure, and returns. The fourth limitation is the area and environment of a firm. Home-based firm and multinational firm operate differently in different countries. 2.0 Introduction What is financial market? Financial market is a mechanism where surplus funds are gathered from the people who intended to lend out their money. Furthermore, it acts like a platform where provides the opportunities for the organizations and individuals who are short of money to borrow funds. Financial markets have different categories. Each financial market deals with a different type of financial instrument of its maturity and the asset backing it. Different financial markets serve different types of customers, and operate in different parts of the country. Financial markets are different from physical asset markets. Physical asset markets also called as tangible asset markets or commodities market which deal with the physical products like gold, crude oil, real estate, and machinery. Whereas the financial markets deal with the financial instruments like shares, bonds, notes, mortgages, and so on. Besides, these 2 markets can operate as the spot market or future market. Spot markers can be defined as goods are being traded on the spot and delivery within several days. Conversely, the goods that are being traded in future market are for future and delivery on future date. It could be six months or a year in future. 2.1 Types of financial markets 2.11 Primary markets There are various financial markets in each country. The first type is primary markets. It is the market for corporations to raise capital by issuing new securities or shares. The corporations collect the funds by selling off the new issued stocks in the primary market transaction. 2.12 Secondary markets The second type is secondary markets. Secondary markets are the markets in which existing and already outstanding securities or other financial assets that are traded among the investors after they have been issued by the corporations. 2.13 Initial public offering market The third type is initial public offering (IPO) market. It is a market that provides the company or corporations go public by offering new securities or shares to the public for the first time. Once the corporation or company went public, it will be listed on the stock exchange. These companies or corporations are usually newly established and go public to collect capital. 2.14 Private markets The fourth type is private markets. It is a financial market where the transactions are worked out directly between 2 parties. Private markets are different from the public markets where standardized contracts are traded on organized exchanges, but private market could perform privately without going to public where the transaction may be structured in any manner that appeals to the 2 parties. Bank loans and placement of debts with insurance are the examples of the private market transaction. 2.15 Consumer credit markets The fifth type is consumer credit markets. Generally, it deals with the loans on autos and appliances, loans for education, vacations, and so on. 2.16 Mortgage markets The sixth type is mortgage markets. Mortgage markets deal with the loans for the purposes of residential, commercial, industrial real estate, and also farmland. 2.17 capital markets The seventh type is capital market. Capital markets deal with the stocks or shares, intermediate or long-term debts in which funds to be loaned and borrowed for long periods. It usually more offered in one year or more than one year. 2.18 Money market The eighth type is money market. Money market deals with short-term, highly debt securities in which funds to be loaned and borrowed for a short period which usually less than one year. 2.2 Three ways for transferring capital or fund between savers and borrowers 2.21 Direct transfer from savers to borrowers The first way is direct transfer from savers to borrowers. It usually happens when a corporation (borrower) wants to collect funds by issuing and selling new securities or bonds to the savers (money lender). In this selling process, it does not pass through any financial institution which the corporations directly deliver the securities to the savers who in return pay money to the corporation. Therefore, it is a direct flow where the funds are directly transferred from the savers to the corporations. The following diagram can fully explain the process between corporations and savers. Issue corporations securities or bonds to Corporations (Borrowers) Savers (Money lenders) Receive capital or fund from Diagram 2.21.1- Direct transfer from savers to borrowers 2.22 Indirect transfer from the savers to the borrowers through investment banking house The second way is indirect transfer from the savers to the borrowers through investment banking house. It normally happens when an investment bank underwrites the issuance of a corporations securities where the investment bank acts as a middleman to facilitate the issuance of corporations securities. Indeed, investment bank purchases the corporations securities and then resell it to the savers. It means the money paid by the savers in purchasing corporations securities is passed to the investment bank and to be received by the corporation (borrower). Thus, money of savers and securities of company is only passing through the investment banking house. As a result, the fund is indirectly transferred through the investment banking house from the saver (money lender) to the corporation (borrower). The below diagram can fully explain the process among the investment banking house, corporation, and saver. Investment Banking House (Middle man) ( Corporations (Borrower) Savers (Money lender) Issue corporations Resell corporations securities to securities to Receive fund from Receive fund from Diagram 2.22.1- Indirect transfer from the savers to the borrowers through investment banking house 2.23 Indirect transfer from the savers to borrowers through a financial intermediary The third way is indirect transfer from the savers to borrowers through a financial intermediary. It usually happens when a financial intermediary like bank or a mutual fund collects the funds from the savers by issuing its own securities or certificate of deposit to the savers. After that, the financial intermediary uses the collected funds from the savers to buy and keeps the other corporations securities as its investments. It means that the money paid by the savers to purchase the securities or certificate of deposit issued by the financial intermediary. Then, the money passed to the financial intermediary, and then the financial intermediary paid the money for purchasing the other corporations securities. In fact, there are many people prefer holding the certificate of deposit and the securities issued by the financial intermediary. The reason is they are safer and more liquid than the mortgages and loans. Thus, financial intermediaries are greatly increasing the efficiency of m oney and capital markets. The below diagram can fully explain the process among the financial intermediary, saver, and corporation. Savers (Money lender) Corporations (Borrower) Financial Intermediary (Money lender to corporation) / (Borrower from saver) Issue corporations Issue intermediarys securities to owns securities to Receive fund from Receive fund from Diagram 2.23.1- Indirect transfer from the savers to borrowers through a financial intermediary 2.3 Types of financial intermediaries and its role Investment banking house is an organization that underwrites and distributes the new securities issued by the corporations which helps the corporation in obtaining the funds for financing. In Malaysia, examples of investment banking house are CIMB bank, Affin bank, and Maybank. Financial intermediary are the specialized financial organization that facilitate the transfer of funds from the savers to the borrowers. There are several types of financial intermediaries. 2.31 Commercial bank The first type is commercial bank. It is a traditional departmental store of finance which serves a huge population of savers and borrowers. Besides, commercial banks are the major institutions that handled checking accounts and through which Federal Reserve System increased or decre

Roger and Me1 Essay -- essays papers

Roger and Me1 The Modes Moore Employs Roger and Me is the story of Michael Moore’s quest to right the wrong done to Flint, Michigan by Roger Smith, CEO of General Motors. GM factories closed down in Flint, resulting in unemployment for of thousands of workers. These laid off auto workers are products of generations of auto workers. GM has been a Flint way of life since the factories first opened. But, finding that operation and labor costs were substantially less in Mexico, Roger Smith filled for bankruptcy and closed the plants down. The consequences of this shut-down were devastating to Flint. The rat population exceeded that of humans, houses were abandoned, and families who couldn’t afford the rent were evicted. The citizens who remained in Flint were now residents of the city with the highest crime rate in all of America. These are just a few of the issues which spurred Michael Moore’s pursuit for the illusive Roger Smith. Roger and Me, on a basic level falls into the Interactive category with its involved interviews and archival footage. On page thirty-three, Nichols comments on the use of archival footage in the Interactive Mode of Documentary. Writing that old news clips are often appended onto expert and witness interviews as to avoid reenactments and voice of god commentaries. Moore uses archival footage in several different ways. First, he uses it to show the way Flint t used to be. There are shots of a parade used while Moore talks about growin... Roger and Me1 Essay -- essays papers Roger and Me1 The Modes Moore Employs Roger and Me is the story of Michael Moore’s quest to right the wrong done to Flint, Michigan by Roger Smith, CEO of General Motors. GM factories closed down in Flint, resulting in unemployment for of thousands of workers. These laid off auto workers are products of generations of auto workers. GM has been a Flint way of life since the factories first opened. But, finding that operation and labor costs were substantially less in Mexico, Roger Smith filled for bankruptcy and closed the plants down. The consequences of this shut-down were devastating to Flint. The rat population exceeded that of humans, houses were abandoned, and families who couldn’t afford the rent were evicted. The citizens who remained in Flint were now residents of the city with the highest crime rate in all of America. These are just a few of the issues which spurred Michael Moore’s pursuit for the illusive Roger Smith. Roger and Me, on a basic level falls into the Interactive category with its involved interviews and archival footage. On page thirty-three, Nichols comments on the use of archival footage in the Interactive Mode of Documentary. Writing that old news clips are often appended onto expert and witness interviews as to avoid reenactments and voice of god commentaries. Moore uses archival footage in several different ways. First, he uses it to show the way Flint t used to be. There are shots of a parade used while Moore talks about growin...

Perpetual Increase of Tuition Fee Essay

Introduction: Like any other individuals, we are pursuing our right in every ways, delivering our thoughts and standing for what is due. We live side by side of our political system; adhere to what is implemented, grasp what has been told and act supposedly. The people is the basic unit of the nation that should be valued, cared and needs be sustained to augment their knowledge and skills in order to have cooperation in uplifting the economy and the living situation of every individual. Education is essential, basic and a must to a person for education is the source of knowledge and can improve you eventually as you step up in every stage that is prepared for a long time. The knowledge that has been thought will be passed down up to the next generation. It truly depicts that education is very treasure for everyone. This is something that can inform you from the lowest up to the highest information that could help you achieve your ambition and goals even how hard it is. But how is education be attained and sustained if it costs too high that even a single bar of it can’t be grasp? How could we possibly digest education when it is deprived to us because of costly tuition fee rate? Is education nowadays a right or just a privilege? Discussion: Our country is indeed aiming for quality education. Every school promotes its unique and exquisite style of performance and in every State Universities and Colleges is having their center of Excellency. But on the other side of the story tuition fee is always increasing and again and again inflating. Majority of the settlers here in our country is having difficulty striving just to uplift the way of living they have. This could be the means of conflict between the students and the learning institutions. â€Å"Higher education for a better nation† but how our nation will be better if this education they offered can’t be afforded? Just in this time many of my fellow youth are studying not inside the learning institution but they are studying how they can supply their daily needs and studying what job they are in. Unemployment rate has never been going down it always strikes the sky above. Why not create or craft new and effective formula and try to break down the problems into pieces. We are facing financial crisis and here comes the inflated tuition fees what is the outcome of it? Probably crushed and ruined dreams of every youth will be as huge as a mountain. It is in this environment that the government intervention is needed. Our tuition fees are not Income Generation of our Alma matter, we are not investors here and we are not investing just to build glamorous buildings and infrastructure, because we just need a simple apparatus just to learn perfectly. Students are investing for their future and we are not business partners of every learning institution. We came to feed ourselves of information not to feed the institution. Students are being aggressive because of this scenario happening they form groups and parties leading to an action appealing this kind of imbalance movement tuition fee hike. Of course they are full of potentials some of them are really solid leaders and if this scenario will continue eventually they will be like handicap persons who cannot move because they were tangled down in the reason of they do not hold degrees. As what we are claiming and what has been told to us by our hero Dr. Rizal â€Å"Youth is hope of our nation† if youth are not properly equipped of information how can we stand for that claim? If we are not properly educated we will be wasted. Truly if this problem will arise gradually nothing would be left for our youth. Our future depends on what we are studying if this would be taken away from us because of the tuition fee hike our lives will be fruitless and our nation wouldn’t be productive enough. Education is a must for everyone in fact education is right but what we are facing today is now a privilege. Education is a long term solution to the problems that we face. So what effect does it have on students? The increase in tuition fee every year means additional loan and burden to parents and more money comes out from the pocket for tuition. So if a student budget a certain amount of money for his or her whole course of study, that student will have to add extra amount of money to the old budget in order to be able to pay all his or her tuition fees. Some students strive to work just to sustain its study, double their time and their effort just to have more savings and for other school projects and requirements. Instead of focusing their mind and ability performing student responsibilities it was divided into different activities in order to sustain the education they have. It can result to stop schooling for a while just to earn more money and save more and more to prepare for its education. It can also be the cause of delay for their future and just a waste of time if they will stop and again another fruitless for their lives again. Depression, frustration and disappointment will be felt by these students. The students also become desperate to debt just to continue and pursue their dreams. So much stress imparted to these students. These effects are really inevitable if this burden continue. Students are the source of man power if they are equipped with the best offensive knowledge and defensive techniques supporting our system providing strong foundation from what they have learned. Conclusion: High tuition fee can motivate students to strive more and learn how to value education more, because nothing more education is a right, the fact that we can’t deny. But as of now we are still a developing country. We should not quickly shift and leap forward for costly tuition fee. Many of our youth is dreaming of education especially tertiary level education. Government should take a look of it; it is also under its jurisdiction to embrace with attention. Give out hope to these youth to pursue the dreams they want. Recommendation: Since it’s somewhat impossible to stop the increase, the least we could do is to give more options to people who clearly have little capability to send themselves to a learning institution. We can still promote scholarship grant or any internship in universities just to ease up the tuition fee bills. But in this time we should make sure that those beneficiaries are much more deserving so that it will not be wasted. Government should donate some facilities or buildings just to lessen the tuition fee, like sponsoring from other groups or any party list groups. We should also consider the life style of the people or income they receive comparing to the tuition fee, if necessary to decrease the tuition in such way students can grab somehow. Reaching out to students what is due to them. We can help one another in formulating solutions to simplify things correctly. As what University of the Philippines created called STFAP or Socialized Tuition and Financial Assistance Program, we can adopt this idea and be regulated in every learning institution. I think it could be more practical in this way so that students may not carry heavy loads. For those who came from low income families they will be receiving monthly allowance and instead of working at night just to sustain education they have. Under the STFAP, you can get benefits with regard to tuition fee payments, laboratory fees and, in some cases, a monthly stipend from the university. The brackets with their corresponding benefits are as follows: * Bracket A (income of over PhP1,000,000 annually) students pay the full tuition fee at PhP1,500 per unit * Bracket B (income of PhP500,001 to PhP1,000,000 annually) students pay only the base tuition at PhP1,000 per unit * Bracket C (income of PhP250,001 to PhP500,000 annually) applicants pay 60% of the base tuition at PhP600 per unit * Bracket D (income of PhP135,001 to PhP250,000 annually) students pay 30% of the base tuition at PhP300 per unit * Bracket E1 (income of PhP80, 001 to PhP135, 000 annually) and Bracket E2 (income of PhP80, 000 or less annually) students do not have to pay tuition fees. Additionally, Bracket E2 students get a monthly allowance valued at PhP12, 000 every semester or about PhP2, 400 every month. Students categorized under Brackets A through D also have to pay full laboratory and miscellaneous fees amounting to about PhP2, 000 upon enrolment.

Free Essays on The Rattler

Though most people have never experienced an actual encounter with a snake, they are given to understand that snakes are fearful creatures. We tend to believe that if we cross paths with a snake, it spells doom. We think of the fangs, the venom, and the sprightly nature of the snake as being the cause of fatalities. However, the author of â€Å"The Rattler† provides a totally different opinion of his encounter with a snake. In this case, the snake is coy and appears to be harmless; contrary to one’s expectation. The author of â€Å"The Rattler† leads the reader to believe that animals possess admirable qualities which humans can learn from; the author does this by describing the gestures, and feelings of the snake through the man’s point of view, causing the reader to compare them to those of the man. In describing certain gestures of the snake, the author pinpoints certain qualities and traits of the creature which are unassuming ; these gestures are then contradicted by the man’s contrasting actions. One particular lack of an action comes much to the surprise of the reader’s preconceived ideas of snakes. That is, when the man approaches the snake, it’s â€Å"head was not drawn back to strike.† This detail tells the reader that the snake does not wish to harm. It is merely staying away from others, and not provoking anger or fear from anything around it. Another gesture provided by the author, is when the man returned with the hoe, the snake had not moved. This detail depicts the snake to be confident, and bold, yet in a harmless manner. Just because the much larger man spotted it, this was not going to intimidate it or scare it off. Most of the time when one sees a wild creature of any species, that creature scurries away, in an attempt to esca pe possible harm. But the snake in the passage showed courage and fearlessness without using any of his defensive traits. And lastly, the author writes that the snake â€Å"... Free Essays on The Rattler Free Essays on The Rattler Though most people have never experienced an actual encounter with a snake, they are given to understand that snakes are fearful creatures. We tend to believe that if we cross paths with a snake, it spells doom. We think of the fangs, the venom, and the sprightly nature of the snake as being the cause of fatalities. However, the author of â€Å"The Rattler† provides a totally different opinion of his encounter with a snake. In this case, the snake is coy and appears to be harmless; contrary to one’s expectation. The author of â€Å"The Rattler† leads the reader to believe that animals possess admirable qualities which humans can learn from; the author does this by describing the gestures, and feelings of the snake through the man’s point of view, causing the reader to compare them to those of the man. In describing certain gestures of the snake, the author pinpoints certain qualities and traits of the creature which are unassuming ; these gestures are then contradicted by the man’s contrasting actions. One particular lack of an action comes much to the surprise of the reader’s preconceived ideas of snakes. That is, when the man approaches the snake, it’s â€Å"head was not drawn back to strike.† This detail tells the reader that the snake does not wish to harm. It is merely staying away from others, and not provoking anger or fear from anything around it. Another gesture provided by the author, is when the man returned with the hoe, the snake had not moved. This detail depicts the snake to be confident, and bold, yet in a harmless manner. Just because the much larger man spotted it, this was not going to intimidate it or scare it off. Most of the time when one sees a wild creature of any species, that creature scurries away, in an attempt to esca pe possible harm. But the snake in the passage showed courage and fearlessness without using any of his defensive traits. And lastly, the author writes that the snake â€Å"...

Crouching Tiger essays

Crouching Tiger essays Winner of four Academy Awards and two Golden Globe Awards, "Crouching Tiger Hidden Dragon" paved a new path for foreign language films in America. It was the dream of the director, Ang Lee, to one day produce a Chinese tradition film that depicted the fantasy world of martial arts with its own specific laws; where people can fly and almost anything can happen. Unlike most martial arts film in the industry base solely on fight scenes, Lee was able to have "Crouching Tiger Hidden Dragon" a film that included the sense of fantasy, action, power, and romance. Yet, without the help of the whole cast, Lee's incredible dream would probably remain a fantasy only in his own mind. The setting of the film took place during the 19th century where China was left untouched by the western civilization while the Chinese tradition and its breathtaking landscape sworn the entire plains of main lands. Two excellent swordsman masters (Chow Yun fat and Michelle Yeoh) are challenged with the disappearance of the most treasured Green Destiny sword. The sword was stolen by a young aristocrat (Zhang Ziyi) who reveled her hidden talent of superb fighting skills by demonstrating it upon anyone who stepped in her way. Each warrior and fighter though tough and fierce in their appearance, at the end all have to face their weakness: the inescapable, enduring love. The most intriguing part of the film was the excellent choreographed fight scene. Both Lee and his fight choreographer Yuen Wo-Ping worked carefully together to bring out the best in Wusho martial arts. By simply adding traditional Chinese music into the fighting scenes such as the perpetual pounding of the drums, Lee was able to transform a simple scene into a beautiful artistic dance. Every move corresponded with each beat making it seems as the fighters were dancing to an musical score. The power and aggressiveness were still present in the scene, yet instead of harsh violent blow, each punch...

Report Essay Example | Topics and Well Written Essays - 1750 words

Report - Essay Example ket that is really efficient in which the voluntary exchange is mutually beneficial in terms of the value agreed upon between these two parties based on freely-available information. However, a truly efficient market is only in theory because no matter how people will try to be efficient, there will always be distortions in a capitalist market. The distortions can be the lack of adequate or timely information, resulting in less than optimal distribution of the goods and services produced within a certain economy. The sub-optimal distribution results in what we call as an externality to the two-party transaction that involves other third parties not included specifically in that transaction between a seller and a buyer. As used in economics theory, externalities refer to the so-called transaction spill-over effect in which the actual costs or benefits of a product or service are not fully transmitted in the prices. In other words, the actual price being agreed upon between seller and buyer is not the actual cost of production because of market inefficiencies or there might be unintended benefits to third parties other than the buyer. Externalities can even cause significant social problems if not at all examined, checked and corrected immediately (Hunt, 2002, p. 397). Externalities are defined by economists as the unintended result in terms of benefits or costs to other third parties. This means some people will end up carrying the burden of costs although they are not a party to the transaction (spill-over effects) or conversely, a third party will benefit somehow although he or she is not the buyer of a particular product or service. There are many examples of externalities in capitalist societies because externalities are one form of the so-called market failures which in turn results when the allocation of goods and services in a free market is not totally efficient. A free capitalist market is supposed to be self- regulating in which the best interests of

The Various Definitions of Freedom Coexisted in 17th Century America Essay

The Various Definitions of Freedom Coexisted in 17th Century America - Essay Example People were blocked of their rights by ascertaining classes on them like slaves, puritans, indentured servants, and many more. Even though there were divisions in the degree of freedom all of them meant the same and wanted to acquire it at any cost. Puritans To begin with, during the 16th century, Puritans was the name conferred on to the most extreme Protestants of the Church of England who thought that the English Reformation had not succeeded in renovating the principles and structure of the church. They wanted to decontaminate their national church by abolishing every piece of Catholic influence. In the early 17th century some puritan groups separated from the Church of England and headed to what is now New England. The reason behind their flight was that the repeated protests and complaints of the Puritans against the Anglican Church, the official state church of England where they were added as officials, ended the authorities to take action against the puritans. In 1630 Archbi shop of Canterbury William Laud, an anti-puritan Church leader had put a charge over the outspoken Puritan ministers by making it a criminal offense to attend Puritan worship services and succeeded in pursuing all puritans from opposing to the Anglican Church. ... Landowners in the American colonies made use of the European indentured servants as well as the forced laborers by enslaving the Africans. In the beginning, only few slaves were imported from Africa but later on when the tobacco farming got expanded, large number of slaves was imported from Africa. The landowners found slavery more economical than hiring a European laborer. At the end of the 17th century, the slavery and the slave transportation in the northern America were so cruel. During their course of travel from Africa, those slaves found too ill to endure the trip were thrown out to be drowned. As they landed in America they were treated as goods which can be easily bought or sold. The masters made advantage of the freedom of slaves and rejected their right of living. Even the rebellions and conspiracies of the slaves have reduced the slavery to some extent, that is not all enough for the slaves to be granted freedom. Evidently for the slaves, freedom meant nothing but escapin g from the arrogance of their masters; and the only way to achieve this was to ensure some constitutional privileges. Indentured Servants An employer getting into contract with a young and unskilled laborer to work for him for a fixed period of time is called indenturing a servant. Such indentured servants are not paid any wages other than transportation, lodging, food and clothing. They usually work as helpers in farms or as house servants for 4 to 7 years. Many of such servants were seized by force or recruited from the slums of London or of Bristol. These young people too had to suffer on their way to America as the slaves did. Once reaching their masters, they endured a lot of