Chemical engineering course work in clean process technolgy Coursework

Chemical engineering course work in clean process technolgy - Coursework Example Nuclear energy provides a carbon free alternative to fossil fuel, but after the Fukushima disaster in 2011, the acceptance of nuclear plants has become very difficult. Most new generating plants will continue to be based on fossil fuels. A study by BP plc., titled â€Å"Energy Outlook 2035†, quoted by Mark Webster, shows that over the next 20 years CO2 emissions from the non-OECD region will grow as shown in Figure 1 (Webster). The chart shows that CO2 emissions from the OECD countries would level off at the levels prevailing in 2013 but the emissions from the non-OECD countries would rise rapidly. The red line marked IEA 450 is the target of 450 ppmv (parts per million volume) of CO2 concentration in the atmosphere that the International Energy Agency considers as the absolute upper limit to prevent a temperature rise exceeding 20C. This is considered the upper limit of temperature rise to prevent disastrous climate change (Webster). The vast majority of these new power plants will be coal fired since coal is the most abundant fossil fuel. A coal plant has an operating life of about 50 years and the need is for a technology that can be retrofitted to existing fossil fuel power plants to capture CO2 emissions from the flue gases before they are emitted into the atmosphere. Post-combustion chemical absorption technology is the most promising of the carbon capture technologies presently available. Carbon dioxide emissions also occur from many other industrial processes other than power generation. These include steel mills, cement plants and oil refineries. Post-combustion chemical absorption technology can be readily applied to these industries as well. The schematic diagram of the post-combustion chemical absorption process is as shown in Figure 2 from a presentation by Dr. Stanley Santos of the International Energy Agency. The flue gases

The chuseok Essay Example | Topics and Well Written Essays - 750 words

The chuseok - Essay Example Culture is very important to the people of the world. According to the dictionary, culture is defined as â€Å"the totality of socially transmitted behavior patterns, arts, beliefs, institutions, and all other products of human work and thought† (The American Heritage ® Dictionary). Culture allows people to experience the world and carry out daily functions based on their traditions. We often learn our culture from the people in our environment, such as family members, close friends, and our community. Culture consists of the foods that we cook and eat, our living arrangements, communication with society, and our behavior. In order to get a full picture of Korean culture in my speech today I am going to give you a glimpse into a celebration that is called Chuseok or Korean Thanksgiving! I first learned of this holiday when an acquaintance of mine travelled overseas to Korea. When I learned more about Chuseok, I realized just how close the similarities were to our Thanksgiving holiday. Chuseok is celebrated on the 15th day of the 8th lunar month. It is the most important holiday to the Korean people. It is a time in which they honor their ancestors and give thanks for the fall harvest. Although there are no pilgrims in Korea, ancestors are similarly valued. Students and parents alike rarely take time off in Korea but during this holiday everything shuts down. People join their families to celebrate, bearing harvest fruits or vegetables. The celebration begins in the morning when food and wine is offered to the spirits of the late ancestors. (Encyclopà ¦dia Britannica. 2010) After this the families often go to visit the graves of their ancestors and care for the site. I recently interviewed a young Korean about the celebrations. He told me the following: â€Å"All Korean children look forward to Chuseok as one of the funnest times of year. The food is delicious and the fact that you are surrounded by brothers and sisters and

Capital structure and approaches to capital structure

Capital structure and approaches to capital structure It is defined as the mix or proposition of a firms permanent long-term financing represented by debt, preference stock, and common stock equity. Capital structure theory suggests that firms determine what is often referred to as a target debt ratio, which is based on various tradeoffs between the costs and benefits of debt versus equity. The term capital structure refers to the percentage of capital (money) at work in a business by type. Broadly speaking, there are two forms of capital: equity capital and debt capital. Each has its own benefits and drawbacks and a substantial part of wise corporate stewardship and management is attempting to find the perfect capital structure in terms of risk / reward payoff for shareholders. This is true for Fortune 500 companies and for small business owners trying to determine how much of their startup money should come from a bank loan without endangering the business Lets look at each in detail: Equity Capital This refers to money put up and owned by the shareholders (owners). Typically, equity capital consists of two types: 1) contributed capital, which is the money that was originally invested in the business in exchange for shares of stock or ownership and 2)  retained earnings, which represents profits from past years that have been kept by the company and used to strengthen the  balance sheet  or fund growth, acquisitions, or expansion. Many consider equity capital to be the most expensive type of capital a company can utilize because its cost is the return the firm must earn to attract investment. A speculative mining company that is looking for silver in a remote region of Africa may require a much higher  return on equity  to get investors to purchase the stock than a firm such as Procter Gamble, which sells everything from toothpaste and shampoo to detergent and beauty products. Debt Capital The debt capital in a companys capital structure refers to borrowed money that is at work in the business. The safest type is generally considered long-term bonds  because the company has years, if not decades, to come up with the principal, while paying interest only in the meantime. Other types of debt capital can include short-term commercial paper utilized by giants such as Wal-Mart and General Electric that amount to billions of dollars in 24-hour loans from the capital markets to meet day-to-day working capital requirements such as payroll  and utility bills. The cost of debt capital in the capital structure depends on the health of the companys balance sheet a triple AAA rated firm is going to be able to borrow at extremely low rates versus a speculative company with tons of debt, which may have to pay 15% or more in exchange for debt capital. Other Forms of Capital There are actually other forms of capital, such as  vendor financing  where a company can sell goods before they have to pay the bill to the vendor, that can drastically increase return on equity but dont cost the company anything. This was one of the secrets to  Sam Waltons success at Wal-Mart. He was often able to sell Tide detergent before having to pay the bill to Procter Gamble, in effect, using PGs money to grow his retailer. In the case of an insurance company, the policyholder float represents money that doesnt belong to the firm but that it gets to use and earn an investment on until it has to pay it out for accidents or medical bills, in the case of an auto insurer. The cost of other forms of capital in the capital structure varies greatly on a case-by-case basis and often comes down to the talent and discipline of managers. SEEKING THE OPTIMAL CAPITAL STRUCTURE Many middle class individuals believe that the goal in life is to be debt-free. When you reach the upper echelons of finance, however, that idea is almost anathema. Many of the most successful companies in the world base their capital structure on one simple consideration: the cost of capital. If you can borrow money at 7% for 30 years in a world of 3% inflation and reinvest it in core operations at 15%, you would be wise to consider at least 40% to 50% in debt capital in your overall capital structure. Of course, how much debt you take on comes down to how secure the revenues your business generates are if you sell an indispensable product that people simply must have, the debt will be much lower risk than if you operate a theme park in a tourist town at the height of a boom market. Again, this is where managerial talent, experience, and wisdom comes into play. The great managers have a knack for consistently lowering their  weighted average cost of capital  by increasing productivity, seeking out higher return products, and more. To truly understand the idea of capital structure, you need to take a few moments to read Return on Equity: The DuPont Model  to understand how the capital structure represents one of the three components in determining the  rate of return  a company will earn on the money its owners have invested in it. Whether you own a doughnut shop or are considering investing in publicly traded stocks, its knowledge you simply must have. Question on our minds: Can the total valuation of a company (debt+equity) and the cost of capital be affected by changing the financing mix. The imperfections in the market play a vital role in the valuation of a company. This data is of utmost importance to the suppliers of capital. Changes in the financing mix are assumed to occur by issuing debt and repurchasing common stock or by issuing common stock and retiring debt. Example 1. Assume a company whose earnings are not expected to grow and which pays out all of its earnings to its shareholders in the form of dividends. All kinds of market imperfections are not considered in the current example, for simplicity in calculations. We are concerned mainly with 3 different rates of return. The first is The yield on companys debt, ki = = The second rate of return that we are concerned with is ke = = With our assumptions that the firms earnings are not expected to grow and which has a 100 percent dividend payout, the firms earning per price represents the market rate of discount that equates the present value of the perpetual stream of expected constant future dividends with the current market price of the common stock. The third rate to be calculated is ko = = These 3 different rates of return affect the amount of financial leverage, which is the debt to equity ratio. ko is defined as the overall capitalization rate of the firm. It is designed as the weighted average cost of capital, and can also be expressed as ko = ki [] + ke [] Calculating A Companys Capital Structure Review your companys most recent financial statements to find all of the capital components. Highlight all of the debt of the company and the equity (including common and preferred shares, capital contributions and retained earnings). Add up the total debt and equity It will be equal to your companys assets on the balance sheet because the debt and equity is what paid for those assets. Your capital structure is the percentage that each funding source represents of your companys total funding. Lets look at an example. Lets say you have the following capital components: bank loan $176,500, retained earnings $54,300, common stock $12,500. That makes your total capital $243,300. To calculate your capital structure, take the dollar amount of each capital source and divide it by the total capital. In the above example, the bank loan is 72.5%, retained earnings 22.3%, capital stock 5.2% for a total of 100%. Monitor your companys capital structure over time. Debt tends to be the most expensive source of capital and, over time, you will determine the most effective blend of debt versus equity financing for your particular situation. Calculating your actual capital structure will allow you to track how closely you are following your ideal capital structure. Factors Affecting Capital Structure The factors that affect the decisions taken regarding capital structure can be divided into three major types: Internal Factors External Factors General Factors INTERNAL FACTORS Cost of Capital The cost of capital is the cost of the companys funds. It consists of debts and equity. When a company raises funds for its operations there are certain costs involved. When decisions regarding the capital structure are taken, managers ensure that the earnings on the capital are more than this cost of capital. In general, the cost of borrowing capital is less than the cost of equity capital. This is because the interest rate on loans and borrowings is less than the dividend rates and also the dividends are a function of the companys profits and not expenditure. Risk Factor When decisions regarding capital structure are to be taken, the risk factors considerations are an important issue. If company raises its funds through debts, the risks involved are of two types: The company has to repay the lenders in a fixed time period and at a fixed rate, whether or not the company makes profit or goes into loss. The borrowed capital is secured capital. Hence, if the company fails to make the payments, the lenders can take possession of the companys assets. If the company goes for funds through equity capital there are minimum risks. As the dividends are an appropriation of the companys profits, if it does not make any profit, it is not obliged to make the payments. In contrast to debt capital, here the company is not expected to repay its equity capital. And also the equity capital is not secured. Control Factor When additional funds are to be raised, the control factors are very essential in deciding the capital structure of the company. When a company decides to issue further equity shares the control of the company may be at stake. Hence, it may not be acceptable to its shareholders and owners. This factor is not vital in case of debt financing, except when financing institutions stipulate the appointment of nominee directors in the Board of Directors of the company. Objects of Capital Structure Planning They are- Maximize profit of the owners Issue transferable securities Issue further securities in a way that does not dilute the holdings of the present owners EXTERNAL FACTORS General Economic Conditions: If the economy is in the state of depression, equity funding is considered as it involves less risk. While, if the economy is booming and the interest rates are forecasted to fall, debt funding is given preference. Interest Rate Levels: If the interest rates are high in the capital market, equity funding is preferred until the interest rate levels fall down. Policy of Lending Institutions: If the terms and policies of the financing institutions are rigid and harsh, debt financing should be ignored and equity financing should be tapped. Taxation Policy: The government has taxation policies which include corporate taxes as well as individual taxes. The government includes individual taxes on both borrowings as well as dividends. Also income tax deductions are offered on interests paid on borrowings. All these factors have to be considered while planning capital structure. Statutory Risks: While planning Capital Structure, the statutory risks given by the Government and other statutes are to be considered. GENERAL FACTORS Constitution of the company: If the company is private limited, the control factors are essential while if the company is public limited, the cost factors are essential. Characteristics of the company: Companies which are small and in the early stage have weak credit standings and bargaining capacity, hence they have to rely on equity financing. While big companies have strong credit standings and they can source their funds from borrowings with acceptable interest rates. Stability of earnings: The companies which have stable earnings and the risks involved are less, go for debt funding as they can handle the high risk factors. While companies whose earnings are forecasted to be fluctuating, usually go for less risky equity funding. Attitude of the Management: For a company with conservative management, the control factor is more important, while a company with a liberal management considers the cost factors to be more important. Approaches to Capital Structure Net Operating Income Approach Traditional Approach Net Income Approach Modigliani Miller Approach Net Operating Income Approach David Durand proposed the net income approach to capital structure. This approach looks at the consequence of alterations in capital structure in terms of net operating income. Under this approach, on the basis of net operating income, the overall value of the firm is measured. Therefore this approach is identified as net operating income approach. The NOI approach entails that: Largely the value of the firm does not depend on the degree of leverage in capital structure and hence whatever may be the change in capital structure the overall value of the firm is not affected. In the same way, the overall cost of capital is not affected by any change in the degree of leverage in capital structure. The overall cost of capital is independent of leverage. Under the net income approach, the overall cost of capital is unaffected and remains constant irrespective of the change in the ratio of debts to equity capital when the cost of debt is less than that of equity capital whereas it is assumed the overall cost of capital must decrease with the increase in debts. How is this assumption justified? With the increase in the amount of debts the degree of risk of business increases. As a result the rate of equity over investment in equity shares thus on one hand the WACC decreases with the increase in the amount of debts; on the other hand cost of equity capital increases to the same tune. Therefore the benefit of leverage is mopped away and the overall cost of capital remains at the same level. In other words there are two parts of the cost of capital. Interest charges on debentures. The increase in the rate of equity capitalization resulting from the increase in risk of business due to higher level of debts. OPTIMUM CAPITAL STRUCTURE This approach suggests that whatever the degree of indebtedness of the company, market value remains constant. Despite the change in the ratio of debt to capital in the market value of its equity shares remains constant. This means that there is no optimal capital structure. Each capital structure is optimal in approach of net operating income The market value of the firm is determined as follows:   The value of equity can be determined by the following equation and   The Net Operating Income Approach is based on the following assumptions: Example: ABC Ltd., is expecting an earnings before interest tax of Rs.1,80,00,000 and belongs to risk class of 10%. You are required to find out the value of firm % cost of equity capital if it employs 8% debt to the extent of 20%, 35% or 50% of the total financial requirement of Rs. 90000000. Solution Statement showing value of firm and cost of equity capital   20% Debt 35% Debt 50% Debt Earnings before interest tax EBIT ($) 18000000 18000000 18000000 Overall cost of capital 10% 10% 10% Value of firm (V) = EBIT Cost of Capital{EBIT/Cost of Capital} 180000000 180000000 180000000 Value of 8% debt (D) 18000000 (20% ÃÆ'- 90000000) 31500000 (35% ÃÆ'- 90000000) 45000000 (50% ÃÆ'- 90000000) Value of equity (V D) 162000000 148500000 135000000 Net profit (EBIT Interest) 16560000 (18000000 1440000) 15480000 (18000000 2520000) 14400000 (18000000 3600000) (Cost of equity (Kc) 10.22% 10.42% 10.66% (Net profit/value of equity) ÃÆ'- 100 (16560000/ 162000000) ( 15480000/ 148500000) ( 14400000/ 135000000) It is apparent from the above computation that the overall cost of capital value of firm; re-constant at different levels of debt i.e., at 20%, 35% and 50%. The benefit of debt content is offset by increase in the cost of equity. The overall cost of capital (k0) remains constant and can be verified as follows: Overall Cost of Capital k0 = kd   (D/D+S) + Ke   (S/D+S) 20% Debt K0 =   $4,00,000/$40,00,000   ÃÆ'-8% + $36,00,000/$40,00,000 X   10.22% = 0.008 + 0.092 = 0.10 or 10% 35% Debt K0 = $7,00,000/$40,00,000   ÃÆ'-8% + $33,00,000/$40,00,000 X   10.42% = 0.014 + 0.0859 = 0.0999 Or 10% 50% Debt K0 = $10,00,000/$40,00,000   ÃÆ'- 8% + $30,00,000/$40,00,000 X   10.66% = 0.02 + 0.07995 = 0.0995 or 10% Traditional Approach Traditional approach is a  middle-way approach between net operating income approach the net income approach. According to this approach: (1) A best  capital structure  does exist. (2) Market value of the firm can be increased and average cost of capital can be reduced through a prudent manipulation of leverage. (3) The cost of debt capital increases if debts are increases beyond a definite limit. This is because the greater the risk  of business  the higher the  rate of interest  the creditors would ask for. The rate of equity capitalization will also increase with it. Thus there remains no benefit of leverage when debts are increased beyond a certain limit. The cost of capital also goes up. Traditional Approach Thus at a definite level of mixture of debts to equity capital, average cost of capital also increases. The  capital structure  is optimum at this level of the mix of debts to equity capital. The effect of change in  capital structure  on the overall cost of capital can be divided into three stages as follows; First stage In the first stage the overall cost of capital falls and the value of the firm increases with the increase in leverage. This leverage has beneficial effect as debts as debts are less expensive. The cost of equity remains constant or increases negligibly. The proportion of risk is less in such a firm. Second stage A stage is reached when increase in leverage has no effect on the value or the cost of capital, of the firm. Neither the cost of capital falls nor the value of the firm rises. This is because the increase in the cost of equity due to the assed financial risk offsets the advantage of low cost debt. This is the stage wherein the value of the firm is maximum and cost of capital minimum. Third stage Beyond a definite limit of leverage the cost of capital increases with leverage and the value of the firm decreases with leverage. This is because with the increase in debts investors begin to realize the degree of financial risk and hence they desire to earn a higher rate of return on equity shares. The resultant increase in equity capitalization rate will more than offset the advantage of low-cost debt. It follows that the cost of capital is a function of the degree of leverage. Hence, an optimum  capital structure  can be achieved by establishing an appropriate degree of leverage in  capital structure. Net Income Approach This approach states that, the cost of debt and the cost of equity do not change with a change in the leverage ratio(when D/E changes), due to which it is observed that there is a weakening in the cost of capital as the leverage increases. The cost of capitalcan be calculated by the use Net income approach; weighted average of cost of capitalcan be explained by the following equation; http://lh6.ggpht.com/cemismailsezer/R4_ZkNJ-ThI/AAAAAAAAADY/RZYaGVynnUw/image%5B5%5D where: Ko: average cost of capital Kd: cost of debt Ke: cost of equity B: market value of debt S: market value of equity As we know that cost of debt is less than cost of equity (Kd http://lh6.ggpht.com/cemismailsezer/R4_ZlNJ-TjI/AAAAAAAAADo/de5aDk2tbUo/image%5B8%5D The Net Income Approach assembles the investment structure of the firm which has a major influence on the value of the firm. Therefore, the use of control will change both the worth of the organisation cost of capital. Net Income is exploited in approaching the market value that firm possesses. In this analysis Ka decreases when the D/E ratio increases as the proportion of debt, cheaper source of finance, increase in the capital structure vice versa. Assumptions of net income approach the perception of risk is not altered by the use of liability for the investors; as a result, the equity capitalisation rate i.e. ke, and the debt capitalisation rate kd, remain constant with changes in leverage The debt capitalization rate is less than the equity capitalization rate The corporate income taxes are not considered. Numerical example: Assume that a firm has an expected annual net operating income of Rs.2, 00, 000, an equity rate, ke, of 10% and Rs. 10, 00,000 of 6% debt. The value of the firm according to NET INCOME approach: Net Operating Income NOI 2, 00,000 Total cost of debt Interest= KdD, (10, 00,000 x .06) 60,000 Net Income Available to shareholders, NOI I 1, 40,000 Therefore: Market Value of Equity (Rs. 140,000/.10) 14, 00,000 Market value of debt D (Rs. 60,000/.06) 10, 00,000 Total 24, 00,000 Note: The cost of equity and debt are respectively 10% and 6% and are assumed to be constant under the Net Income Approach Ko = Kd (D/V) + Ke (S/V) = 0.06 (10, 00,000/24, 00,000) + 0.10 (14, 00,000/24, 00,000) = 0.025 + 0.0583 = 0.0833 or 8.33% Modigliani Miller (MM) Approach Assumptions of the MM Approach Capital market is perfect. It is so when: Information is freely available Problem of asymmetric information does not exist Transaction cost is nil There is no bankruptcy cost Securities are fully divisible 100% payout ratio Investors and managers are rational Managers act in interest of shareholders Combination of risk and return is rationally chosen Expectations are homogenous Equivalent risk class No taxes Investors can borrow in personal A/C at same terms of firm. Proposition I Value of the form is equal to the expected operating income divided by discount rate appropriate to its risk class. It is independent of capital structure i.e. where, V = Market Value of the Firm D = Market Value of the debt E = Market value of the equity O = Expected Operating Income r = Discount rate applicable to risk class to which firm belongs Proposition I is almost similar to the Net Operating Income Approach. MM used arbitrage argument to prove this approach. MM argues that identical assets must sell for same price, irrespective of how they are financed. Arbitrage Process If the price of a product is unequal in two markets, traders buy it in the market where price is low and sell it in the market where price is high. This phenomenon is known as price differential or arbitrage. As a result of this process of arbitrage, price tends to decline in the high-priced market and price tends to rise in the low-priced market unit the differential is totally removed. Modigliani and Miller explain their approach in terms of the same process of arbitrage. They hold that two firms, identical in all respects except leverage cannot have different market value. If two identical firms have different market values, arbitrage will take place until there is no difference in the market values of the two firms. Example: Let us suppose that there are two firms, P and Q belonging to the same group of homogenous risk. Firm P is unlevered as its capital structure consists of equity capital only Firm Q is levered as its capital structure includes 10% debentures of Rs.10,00,000 According to traditional approach, the market value of firm Q would be higher than that of firm P. But according to M-M approach, this situation cannot persist for long. The market value of the equity share of firm Q is high but investment in it is more risky while the market value of the equity share of firm P is low but investment in it is safe. Hence investors will sell out equity shares of firm Q and purchase equity shares of firm P. Consequently the market value of the equity shares of firm Q while fall, while the market value of the equity shares of firm P will rise. Through this process of arbitrage therefore, the market values of the firms P and Q will be equalized. This is true for all firms belonging to the same group. In equilibrium situation, the average cost of capital will be same for all firms in the group. The opposite will happen if the market value of the firm P is higher than that of the firm Q. In this case investors will sell equity shares of P and buy those of Q. Consequently market values of these two firms will be equalised. Proposition II MM Proposition II states that the value of the firm depends on three things: Required  rate  of return on the firms assets (ra) Cost of debt of the firm (rd) Debt/Equity ratio of the firm (D/E) An increase in financial leverage increases expected Earnings per Share (EPS) but not share prices. Proposition II states that an expected rate of return of shareholders increases with financial leverage. Expected ROE is equal to expected rate of return on assets plus premium. The formula for re is: re = ra + (ra-rd)x(D/E) Implications of Proposition II- rd is independent of D/E and hence re increases with D/E. The debt crosses an optimal level, the risk of default increases and expected return on debt rd increases. Limitations of MM Approach- Leverage irrelevance theory of MM is valid if perfect market assumption is correct but actually it is not so. Firms are able to pay taxes and investors also pay taxes. Bankruptcy cost can be very high. Managers have their own preference of a type of finance. Managers are better informed than shareholders i.e. asymmetry of information exists. Personal leverage is not possible to be substitute of corporate leverage. 100% payout ratio is not possible normally. Analysis of Companies TVS Motors: TVS Motors hold one of the top ten two wheeler manufacturer and number three positions in Indian market, with turnover of $1 billion in 2008-2009 and is the flagship division of TVS group which is of worth $4 billion. TVS Motors manufactures wide range of two wheelers ranging from two wheelers for domestic use to two wheelers for racing. Manufacturing units are located at Housar and Mysore Himachal Pradesh Indonesia Has production capacity of 2.5 million units per year with strength in design and development TVS has recently launched 7 new products. Till now TVS has sold more than 15 million two wheelers and has employed 40000. TVS motor is the only Indian company to win Deming award for quality control in 2002. TVS Network spans over 48 countries. Particulars 2007-08 (in crores) 2008-09(in crores) OPERATING INCOME 45.31 121.08 INTEREST ON DEBT( I) 11.47 64.61 EQUITY EARNING 33.84 56.47 COST OF EQUITY (Ke) 4.13% 4.21% MARKET VALUE OF EQUITY 819.37 1341.33 COST OF DEBT (Kd) 1.72% 7.13% MARKET VALUE OF DEBT 666.34 905.98 VALUE OF FIRM 1485.71 2247.31 COST OF CAPITAL (Ko) 3.05% 5.39% WACC Calculation: For 2007-08 WACC= weke + wdkd We = E/(D+E) Wd = D/(D+E) = 1/(1.84) x 0.413 + 0.84/(1.84) x 0.172 = 0.2284 +0.078 = 3.051% For 2008-2009 WACC= weke + wdkd We = E/(D+E) Wd = D/(D+E) = 1/(2.11) x 4.21 + 1.11/(2.11) x 7.13 =1.995 +3.750 = 5.75% Hero Honda: Hero Honda Motors Limited is largest and most successful two wheeler manufacturers in India and it is India based. Hero Honda was a joint venture between Hero group and Honda of Japan till 2010 when Honda sold its entire stake to Hero. In 2008-09 Hero Honda sold 3.7 million bikes with 12% growth rate and captured 57% of Indian markets share. Hero Honda Splendor is worlds largest selling motorcycle sold more than 1 million units in 2001-03.C:UsersAAdityaDesktopindex.jpg In December 2010, the Board of Directors of the Hero Honda Group have decided to terminate the joint venture between Hero Group of India and Honda of Japan in a phased manner. The Hero Group of India would buy out the 26% stake of the Honda in JV Hero Honda. Under the joint venture Hero Group could not sell into international markets and the termination would mean that Hero Group can exploit global opportunities now. Since last 25 years the Hero Group relied on their Japanese partner Honda for R D for new bike models. So there are concerns that the Hero Group might not be able to sustain the performance of the Joint Venture alone. WACC calculation: For 2007-08 WACC= weke + wdkd We = E/(D+E) Wd = D/(D+E) = 1/(1.07)x34.73%+0.07/(1.07) x 8.33% = 33% For 2008-09 WACC= weke + wdkd We = E/(D+E) Wd = D/(D+E) = 1/(1.04)x32.41%+1.04/(1.04)x10.20% = 31.55% Particulars 2007-08 (in crores) 2008-09 (in crores) OPERATING INCOME 1201.96 1367.77 INTEREST ON DEBT( I) 13.76 13.47 EQUITY EARNING 1188.22 1354.3 COST OF EQUITY (Ke) 34.73% 32.41% MARKET VALUE OF EQUITY 3421.25 4178.65 COST OF DEBT (Kd) 8.33% 10.20% MARKET VALUE OF DEBT 165.18 132.05 VALUE OF F

The United States Contribution to the Rise of Pinochet Essay -- Pinoch

The United States Contribution to the Rise of Pinochet The date September 11th is not only a date of terror for the United States, but for the country Chile it also marks the anniversary of a new error of fear. On September 11th, 1973 General Augusto Pinochet overthrew President Salvador Allende, a democratically elected socialist. For seventeen years after this Pinochet dictated over Chile and caused for the murder of over three thousand Chileans, the disappearance of over a thousand, and the torture and jailing of tens of thousands more. What might be even more shocking though, is that the United States had a direct contribution to this brutal dictators rise. The United States’ fear of communist nations developing and the ignorance of secretary of state Kissinger to mention the human rights abuses that Pinochet was responsible for, allowed for the United States to assist in the brutal tyranny (Kornbluh 2003, pages 19-22). The United States dire fight to end communism caused them to severely overlook the evil of Pinochet. In search around the globe for rising communism President Nixon instructed the CIA to cause the downfall of Allende, despite a 1970 CIA report that stated â€Å"‘the US has no vital national interest within Chile,’ and that the world ‘military balance of power would not be significantly altered’ if Allende came to power† (Kornbluh 2003, page 19). Even before Allende became President the fear of having a successful socialist or...

Lago’s Motiveless Malignancy

S. T. Coleridge regarded Iago as â€Å"A being next to the devil, only not quite the devil whose explanatory soliloquies were ‘the motive hunting of motiveless malignity’†. From your reading so far, to what extent do you agree with this view? Iago is one of Shakespeare’s most compelling and sophisticated villain. He is considered as such because of the trust that Othello puts in him and which he betrays while maintaining his reputation of an honest and reliable man.Shakespeare presents Iago as cynical, quick witted and opportunistic, therefore having all qualities of stage villains in revenge tragedies. He is eaten up by jealousy and hatred, and this leads him to seek ways to destroy Othello by poisoning his mind against Desdemona. Iago is a master in pretending and destroying. Most of the times we see that he enjoys having an audience, because we see that he has a lot of soliloquies where he outlines his plot very clearly. However he is rather mysterious e specially when he refuses to speak at the end of the play.In fact, it is this silence that led to Coleridge concluding that he has a â€Å"motiveless malignity†. The same critic also viewed Iago as â€Å"being next to the devil†. Here Iago is no longer considered as the epitome of evil, but he is seen as an example of an emotionally limited man, driven by jealousy. Most other Shakespearean characters do bad things in order to achieve a particular goal. Often the motive is ambition as in Macbeth or revenge, as in Hamlet. The thing about Iago is that we really never know for certain why Iago acts In this way.However, many people think that the possible motive for Iago’s actions is envy, particularly towards Desdemona, Cassio and Othello. Iago sees them as more noble, generous and in the case of Cassio, more handsome than he is. This is reflected in the line when he says: â€Å"He hath a daily beauty in his life that makes me ugly†. In addition, Iago suspect s his wife, Emilia, of infidelity with Cassio. Iago’s relationship with Roderigo is driven by callous greed, and when his â€Å"purse† becomes a dangerous inconvenience, he kills him.His motives for destroying Othello’s happiness are driven by negative impulses. Iago holds a grudge against Othello for promoting Cassio instead of him. Apart from normal jealousy, Iago is also eaten uo with sexual jealousy. He hates Othello because he suspects that the general has â€Å"twixt my sheets .. done my office†. And because of this paranoia, Iago determines to use the goodness of Othello’s wife, Desdemona to â€Å"enmesh them all†. Another motive, for Iago to hate Othello is racism.His low opinion of him is very clear in many of his speeches, especially in the way that he mentions him. Iago wants to degrade those that he despises. Iago is self-contained, egotistical and confident. These qualities help him in his treacherous quest. He is also very succ essful because he is able to play several roles convincingly, and is able to adapt his style to suit any occasion. Iago only reveals his true nature in his soliloquies. And this is why it is difficult for us to see the real motive beneath the appearance that he creates to cover his true self.

The application of SMS Notification-Based Library

A library management system, also known as an automated library system is software that has been developed to handle basic housekeeping functions of a library. A Library is a temple of learning which plays a pivotal role in the overall development of a society. But, it is a known fact that libraries are not always safe and secure places and they are facing a variety of security concerns which includes the theft, mutilation of library materials and other unethical losses.But, it is the duty of the librarian to pep the library buildings, shelves and stacks open and free without losing items to make available or putting individuals at unacceptable risk from the malicious, avaricious or senseless acts of others. This study aims to develop a Library Management System which is more flexible and less time consuming. According to Manhandling et. Al (201 1), Libraries and information centers are very important in the development of any country,Manhandling(2011). Longitudinal spend on the ALMS is relatively small compared to other core corporate systems.There is an increasing drive for cost reduction through institutional workflow review, yester integration and the streamlining of corporate functions, recognition that the world is changing and that libraries need to change too, taking full account of the complex systems ecology within which they operate ,changing perceptions of what a library collection is and does, including collection and circulation, resource discovery, changes in ownership and control, personalization and seamless access to resources, Veronica, A. T. Al (2008). Comprehensive, flexible and more automated ALMS is yet to be recognized by the community. Libraries are increasingly aware of the need to ‘liberate' their data to allow users to rate new and innovative services and applications. To do so their platforms will require easy-to-use and accessible services for discovery and delivery. It is evident from the cited studies that a Library Managem ent System (ALMS) is very important in the development of any country.This study proposes to make use of a biometric device using a biometric, students can now easily transact in the library as compared to the manual process. This study is expected to contribute positively to establishing a way forward for Library Management. A significant part of the study focuses on the roles librarians lay in support of the research process, and the related expectations of researchers. Librarians believe their current role of providing expert advice and teaching on information literacy will continue to be important in the future.But while many researchers agree with this, libraries will need to ensure that effort is put into securing significant take-up of their expertise and advice by the research community. There are some significant differences between researchers' and librarians' views as to the future role of libraries in supporting research, and there is a need for dialogue teen them to ens ure that library services and expertise are developed and deployed in the most effective way. References: Veronica, A. Et. Al (2008).But the last decade has brought a sea-change in relationships between researchers and libraries. Technological developments and the availability of information resources online have changed how research is done, and also the services that academic libraries provide to their research communities. Both researchers and librarians have welcomed the benefits these changes have brought, adapting rapidly o them and seeking to exploit their potential to the full. And they both look forward to further change in the coming years.Figure 1 – Conceptual Framework of SMS Notification-Based Library Management with Biometric With the help of this system there are new features and process that a user will face in order to manage a Library in a fast and flexible way of working such as in borrowing books and in the process of getting information of the applicant f or registration purpose. Here, we developed LMS foALMShe sake of the user and the applicant in order to reduce the requirements that are manually brought. In Figure 1 above you'll see the new concept of borrowing and registering a mobile user in a private or a public library.This system is designed not Just in a one directed field of service the said system is developed to be a generic Library service. a) We'Ae chose to develop this system in order to make it more helpful and easy to use in a Library station whether it is a public or a private library usage. Here we've included a mobile user applicant in order to make his/her notified by the system automatically when the due date comes after borrowing books in the Library. b) In Bhere there can be no oubt tboutmuch of the literature in this area speculates on the future role oflibrbilberriese of which is particularly clear.Since 1995, or what TenopiTenor the â€Å"postweposted†, libraries have been seen as in danger of  "substitution†, HofmanHofmann. The web is becoming â€Å"a ubiquitous source of information† giving an â€Å"illusion ofdeptoptedomprehensiveness†, GriffiGriffith) that leads to a questioning of the valueovalueries and their collections. This review will not speculate on these future roles, butwilbobtail instead on the certainty of changing technology, increasingly digital nformaunpretentiousnessocietal shifts that have changed user expectations of library services.

Free Essays on Landmines

Reflection The current landmine situation is one that undoubtedly deserves United States’ attention and unquestionably demands our action. Unfortunately, the US has not completely risen to this call. Although under President Clinton in 1994, we became the world’s largest contributor to humanitarian mine clearance, we have yet to sign the Mine Ban Treaty. This critical issue is now under a formal policy review by the Bush Administration in which they will decide if changes are necessary. According to guest lecturer, Dr. Arcangeli, The US Military Demining Program has four main goals. The first is to relieve the plight of the civilian population. This entails going to these countries and aiding them in developing their own system of demining. Though indirectly, this will most certainly assist in the spread of democracy. It begins to place the power, or at least the sense of power, in the hands of the people. Beginning with the feelings of governmental significance, civilians will instinctively become increasingly more involved with their government. The second goal is that is enhancing regional stability. The lands that have all these minefields are very destabilizing to the communities around them. They result in displace population, poor farm production, many lives ripped apart. This also takes a serious toll on the economy of the surrounding areas. Thirdly, the United Sates military wasn’t to promote the US foreign policy. Traditionally, the US ha s leaned to the isolationist side of international relations, but Nixon and the Post Cold War began to bring us out of seclusion. This trend continued with Carter and his involvement with Egypt and Israel, and also with Reagan, who saw the Berlin Wall fall. Our current President, however, is beginning to lean in the direction of isolationism. The military is hoping that through their de-mining efforts other states will see an example of how to deal in the realm or... Free Essays on Landmines Free Essays on Landmines Landmines The definition of a land mine, can be defined, as a device designed to kill or maim the person who triggers it. In other words, whether you’re one of the 87% of soldiers in Cambodia, or, one of the 30% of innocent women and children who are killed on average by land mines land mines kill who ever when ever. Something that can cost less than five American dollars to produce your average AP (antipersonnel mine), is generally small in diameter, frequently less than 10 centimeters across, and is difficult to detect. In some cases, the color and shape of the mine help to camouflage it so that it becomes virtually invisible at a glance. The fact that experts say there are around 60-70 million of these killers scattered throughout 60 countries all over the world is a scary thought. Although the civil war in Angola is over, on average 120 people are killed a month there due to land mines. Afghanistan, Angola, Cambodia, Iraq, and Laos are of the top five countries affected by land mines day in and day out. These people must watch every step in order to survive a daily routine where for there very next step could be there last. Bosnia, Croatia, Georgia, Mozambique, Myanmar, Nicaragua, Somalia, Sri Lanka, and Sudan are also badly mine fertile countries that are known to have very bad problems with land mines. The vast majority of casualties are men, often soldiers. For instance, 87% in Cambodia and 76% in Afghanistan are men. However, in some countries women and children account for over 30%. In some cases, the overwhelming number of casualties have been civilians, this often coincides with a period of refugee return to heavily mined areas. In Namibia 88% of post-1980 casualties were civilians, in Mozambique (1994) 68%, and in Georgia (1994-95) 80% were civilians. Children can be undercounted as it is estimated that 85% die before reaching a hospital. In one instance, refugees returned to Hargeisa in northern Somalia in 1991, 75% ... Free Essays on Landmines Reflection The current landmine situation is one that undoubtedly deserves United States’ attention and unquestionably demands our action. Unfortunately, the US has not completely risen to this call. Although under President Clinton in 1994, we became the world’s largest contributor to humanitarian mine clearance, we have yet to sign the Mine Ban Treaty. This critical issue is now under a formal policy review by the Bush Administration in which they will decide if changes are necessary. According to guest lecturer, Dr. Arcangeli, The US Military Demining Program has four main goals. The first is to relieve the plight of the civilian population. This entails going to these countries and aiding them in developing their own system of demining. Though indirectly, this will most certainly assist in the spread of democracy. It begins to place the power, or at least the sense of power, in the hands of the people. Beginning with the feelings of governmental significance, civilians will instinctively become increasingly more involved with their government. The second goal is that is enhancing regional stability. The lands that have all these minefields are very destabilizing to the communities around them. They result in displace population, poor farm production, many lives ripped apart. This also takes a serious toll on the economy of the surrounding areas. Thirdly, the United Sates military wasn’t to promote the US foreign policy. Traditionally, the US ha s leaned to the isolationist side of international relations, but Nixon and the Post Cold War began to bring us out of seclusion. This trend continued with Carter and his involvement with Egypt and Israel, and also with Reagan, who saw the Berlin Wall fall. Our current President, however, is beginning to lean in the direction of isolationism. The military is hoping that through their de-mining efforts other states will see an example of how to deal in the realm or... Free Essays on Landmines Landmines: Deadly Leftovers â€Å"Landmines are the thing for defense in the future. We have covered the works with them and they have done much execution.† -General Gordon, British Army, 1884. General Gordon’s analysis of landmines in the future has proved to be startlingly true, but it’s hard to imagine Gordon or anyone else for that matter predicting that most landmine casualties would be innocent civilian’s decades after the mines were planted. The modern mine was created during WWII with the development of 16 different anti-tank mines, and 10 anti-personnel mines. Since these first mines were planted in the earth’s soil and waterways millions of people, mostly civilians have been killed and maimed. Along with the physical harm to humans, the environment has been dramatically altered in the areas where mines are present. The major problem with a mine is that it is a killer that will not discriminate. A mine can be tripped by the foot of a soldier, the snout of cattle, or the hand of a child. It will kill all three equally. It is estimated that 71 people die every day from mine explosions. Some are killed instantly; others bleed to death hours later. In Cambodia there are more mines than people and it is not uncommon to see whole families of amputees. Once the mines are positioned it is almost impossible to track exactly where it is. Mine fields have caused the troops placing them to retreat because of their inability to determine where they are. Areas that have been found to be laden with landmines have forced whole villages to leave their land behind and move into larger towns and cities. This greatly throws off the social and economic balance in the areas where these refugees move too. Most are farmers or herders and have no skills other than agricultural which makes it almost impossible to find work. With over 110 million landmines buried in the earth’s soil around the world there is undeniab...