Hispanic Migrant Politics And The Homeland Security State...

Alfonso Gonzales provides a riveting and detailed work of Latino migrant politics and the homeland security state. Migration control date back to the mid-20th century. The author presents the actions taken by â€Å"pro-immigrant† groups to counter the hegemonic institutions that criminalize our communities. The book draws on political theory and field research with numerous activists, deportees, and policy makers across the country ranging from Los Angeles to Washington D.C. and abroad (Mexico and El Salvador). Gonzales argues that Latinos face a multidimensional form of political power he coins â€Å"anti-migrant hegemony,† that secures a legitimization for state violence against migrants through a race-neutral dialog regarding crime and combating terrorism. Gonzales presents an array of agents that have a stake in migrant politics and the Homeland Security State. The book ends with discussing how Latino migrant activists and their allies could change the contemporary reality faced by millions of Latinos living in the shadows and ultimately help democratize the United States. The book starts by presenting the complex interaction between Latinos and institutions. He argues that between 2001 and 2012, Latino migrant activists and their allies could not gain momentum following short-term victories because they are against an anti-migrant hegemony. Chapter 1 opens with The Border Protection, Antiterrorism, and Illegal Immigration Control Act (HR 4437) also known as the SensenbrennerShow MoreRelatedIllegal Migration Is The United States1531 Words   |  7 Pagesperiods: the peopling of the original colonies, westward expansion during the middle of the 19th century, and the rise of cities at the turn of the 20th century. The fourth peak period began in the 1970s and continues today†. It is known that the United States of America is home to the second largest Mexican community in the world second only to Mexico itself (Wikipedia). â€Å"The U.S. foreign-born population (legal and illegal) is 40.4 million, or 13 percent of the total U.S. population of 311 .6 million, accordingRead More Dynamics of Change in International Relations Essay1878 Words   |  8 Pagesbe presupposing that the primary motivation of migrants is employment. However, as I will go on to highlight, economic social and political factors in various combinations have always affected the various constant waves of migration throughout history2. I will look at how past and modern flows compare and their effects on global society. There are two main issues around migration: firstly how states can control and regulate migration levels. States are after all sovereign and reserve the rightRead MoreImmigration Reform For Illegal Immigrants2343 Words   |  10 PagesImmigration is a controversial topic among many people in the United States today. A lot of people from different countries often settle in the United States in search of jobs, freedom or a better life in general. The United States has become a hot spot for immigrants because it has much to offer for people seeking a better life. The Immigration Reform Bill has been created in order to make illegal immigrant legal citizen of the United States. This Immigration Reform Bill provides a process for illegalRead MoreEducation for Undocumented Students Essay1908 Words   |  8 Pagesdrug lords. While majority of undocumented immigrants in California are from Mexico, there are a number of other countries that have immigrants finding refuge in America that re side in all states. Undocumented immigrants are a wide group that may encompass the following people groups: asylum-seeking refugees, migrants from war torn countries that are not under a refugee status, and those that arrive at our borders hoping for a better life in America than in their home country. While many do come fromRead MoreThe Effects Of Mexican Immigration On The United States1252 Words   |  6 PagesImmigration Policy in the United States: The Effects of Immigration on the Legal, Native Workforce Christopher R. Surfus, MBA, MPA Western Michigan University School of Public Affairs and Administration PADM-6840 Management of Public Financial Resources Professor Robert Peters, Ph.D. December 3, 2015 Immigration Policy in the United States: The Effects of Mexican Immigration on the Legal Workforce ABSTRACT INTRODUCTION Immigration policy in the United States has been a facet of the politicalRead MoreThe Economic And Political Instability2241 Words   |  9 Pagesreform in the United States? The political and economic condition of Mexico has been characterized by corruption and inequity, thus affecting immigration rates to the United States. Although the political instability rooted within Mexico’s history has been prevalent since its post-colonization, recently, new political presences have aimed to correct the corruption within Mexico’s government to lessen the reasons for emigration, thus impacting a current controversy in American politics regarding immigrationRead More Case Study of an Immigrant Essays3025 Words   |  13 Pagesat the same three jobs, to save money to go back to Mexico to stay. Just for security, they purchased a resident alien card from someone they met on the street and were told that they would be able to take that card down to the social security offices and obtain a valid social security number. So, he went with his brother to the social security office and it worked to his amazement. After he obtained the social security card in the mail, he went to a well known company and applied for a job as aRead MoreProstitution Is The Act Of Sexual Services3065 Words   |  13 Pagesships reached the United States brothel houses. There are many types of prostitution. The two main ones are called pimp controlled prostitution and brothels. Brothels are homes to prostitutes and have a main lady called the madam. Interactions with clients and prostitutes are usually restricted and limited. Brothels usually contain 225-250 prostitutes in their homes. The other common form of prostitution is pimp-controlled prostitution, which is common here in the United States. Pimp controlled prostitutionRead MoreA Research Project On Immigration Detention Centers9708 Words   |  39 PagesRequirements for the Degree of: Bachelor of Science in Homeland Security and Emergency Management May 2017 By Hugh H. Scully II Instructor: James Sytsma â€Æ' SENIOR RESEARCH PROJECT APPROVAL FORM I certify that I have read the project of Hugh H. Scully II entitled instructions for the preparation of the Senior Research Project and that, in my opinion; it is satisfactory in scope and quality for the degree of Bachelor of Science in Homeland Security and Emergency Management at National University. Read MoreA Historical Analysis Of The Immigration Policy3994 Words   |  16 Pagesto the United States. Today, immigration policy is a heavily debated topic under swaying American attitudes. A country, once immigrants themselves, has become increasingly critical of the economic and safety concerns brought by immigrants. As America developed as a county in the late 18th and early 19th centuries, immigration was a common occurrence and given little thought by the government. Naturalization was acquired by residing in the country for two years and individual states controlled the

Human Trafficking Is Wrong And Irrational - 1125 Words

A girl named Jessi was walking down the streets of Reno City, homeless after being discharged from the army. Soon, she began using drugs, and her drug dealer told her to prostitute to make money. This is a problem today around the world. Women think it’s okay to be a prostitute because it earns them money. Well, it’s the total opposite of that, according to victims of this terrible wrongdoing. Human trafficking is wrong and irrational, because it publicly embarrasses women, causes problems in their life, and can end up killing the females if it is continued. Prostitution is a lot more than it seems to be. Prostitution is known as the â€Å"world’s oldest profession† and involves the sexual exploitation of women or children. Many victims of the horrible business are forced to â€Å"sell† their bodies to men and women for sexual relations. Over a hundred years ago, sex trade was tolerated and was allowed on the streets of American cities. Today, this practice is done throughout the U.S., despite it being illegal in forty-nine states. However, many violators of this law are never arrested for the crimes they committed. They kidnap or recruit women and adolescents for this industry, because these are the most vulnerable. There are different reasons why these individuals are pressured into morbid acts like this. Some factors that affect the decision to make people prostitutes can be as simple as unemployment and wanting money. Most women go into sex trafficking because of drugs, shelter,Show MoreRelatedIs Violence ever justified1043 Words   |  5 PagesViolence, the act of causing physical harm to another person willingly, has often been categorized as being an uncivilized, unjustified act. It is mostly known, and commonsensical knowledge that attacking or inflicting harm upon another person is â€Å"wrong†. Most of us frown upon people who resort to such violent acts, and they are punishable by law. However, as we progres s into the 21st century, the line of when the use of violence can ever be â€Å"right† or justified is getting increasingly blurred. TheRead MoreHuman Trafficking Throughout the U.S Essay1763 Words   |  8 Pages The trafficking of human beings has evolved and become more universal and serious over the years. Trafficking of people is equivalent to modern day slavery. The duties and expectations of these people are outrageously irrational. The victims are forced to do unthinkable tasks for people they may or may not know. Anyone can be a leader or a victim of human trafficking. Victims of trafficking programs span from an extensive variety of women, children, and men ranging widely in age. There are two veryRead MoreCriminals Are Rational Decision Makers1541 Words   |  7 Pagesdoing this; their situational factors is where. As for the criminals that are motivated by uncontrollable urges, some of them developed those urges based on the onset of crime. Some emotional drives are irrational, such as violence in the heat of the moment; some psychological drives are irrational such as a mania (e.g. kleptomania, pyromania). I would not live in a society where crime rates are low because of extreme punishments. Punishment should fit the crime. Punishment doesn’t always deter criminalsRead MoreImmigration Reform and Illegal Immigrants Essay1559 Words   |  7 Pagesdemeaning job or a labored extensive place of employment. For example, the construction business is on the rise without enough workers to give a much-needed service. Yet some americans dont have the skill to do such jobs in construction. Although this irrational thought of job heist are untrue, when in comparison some Americans would refuse to work at underpaid or minimum wage job. Instead they would rather not but rather stay home compared to work at and meat factory plant or fast food restaurant. TheRead MoreA Male Dominant Society1816 Words   |  7 PagesAccording to a recent survey (Human rights group 2009): †¢ there are around 40 million prostitutes at work around the globe †¢ in 22 countries around the world the ‘profession of prostitution is not only legal but is also regulated. †¢ 1 in 10 men around the world have purchased a prostitute †¢ In Thailand the sex industry is estimated to be around $35 billion †¢ In US around 80,000 individuals are arrested due to charges of soliciting sex †¢ There is a $58 billion sex trafficking industry around the globeRead MoreThe Death Penalty Research Paper2122 Words   |  9 Pagescrimes. However the death penalty is inhumane and should be abolished in the United States. The death penalty has been around since the beginning of civilization. â€Å"Capital Punishment has been practiced in most known societies over the course of humans history† (Garland 30). The website Introduction to the Death Penalty states that the death was first established for 25 different crimes, however, over the years the laws have changed. Fortunately, only one-third of the world still uses this typeRead MoreMoral Studies3796 Words   |  16 Pages†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 13 5. References †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦... 14 What is moral value? Moral Value is an understanding of how, why, and to what extent humans should value things, whether it is a person, idea, object, or anything else. Moral value emphasizes philosophy of â€Å"good†, â€Å"accurate† and â€Å"wise† responsibility of a human in current society. Peoples nowadays view moral values as part of obligations in life; because people believe that high moral value will earned them respect and trustRead MoreA Moral Evaluation of Child Labor in the Philippines in the Perspective of Immanuel Kant4746 Words   |  19 Pagescontribute for the betterment of the many. They are indeed really important in everybody’s life not only of their own family but also of their fellow human persons. Every person including the child must be respected and valued in virtue of his/her being a human person. Thus, children must and necessarily be treasured by valuing their own dignity as human persons capable of rationalizing for the betterment of the f uture. However, in the Philippines; most of the children in the past and even untilRead MoreWhy Guns Should Be Banned9306 Words   |  38 Pagesvery dangerous to keep around children. I’ve heard that Adam Lanza’s mother didn’t keep her gun locked up. If she would’ve locked it up safely, she and the Sandy Hook Elementary School kids and staff wouldn’t be murdered. Make gun owning and gun trafficking a felony, is my proposal. Like I’ve mentioned before, during the gun ban, that lasted 10 years, there were less mass shootings. I’m not saying this would prevent all shootings from happening, but it would be a step in the right direction. AnotherRead MoreWhy Guns Should Be Banned9315 Words   |  38 Pagesvery dangerous to keep around children. I’ve heard that Adam Lanza’s mother didn’t keep her gun locked up. If she would’ve locked it up safely, she and the Sandy Hook Elementary School kids and staff wouldn’t be murdered. Make gun owning and gun trafficking a felony, is my proposal. Like I’ve mentioned before, during the gun ban, that lasted 10 years, there were less mass shootings. I’m not saying this would prevent all shootings from happening, but it would be a step in the right direction. Another

Aging Process Free Essays

The first article I chose to read was about grief, and how to cope with it. The loss of a loved one cause’s great stress can temporarily interfere with concentration, decision making, and work performance. With enough support and help, grief can promote personal growth of all of those involved in the process. We will write a custom essay sample on Aging Process or any similar topic only for you Order Now According to this article, grief can be triggered by extreme isolation, depression, or other additive behaviors. Other indicators that show one who is dealing with grief may include quick replacement of the lost relationship or avoidance of any reminder of or imitation of the deceased. Many people who experience these symptoms need some sort of intervention by health care professionals. According to this article, there are many different types of grief that one can experience. These types include chronic grief, delayed grief, exaggerated grief, masked grief, and disenfranchised grief. Chronic grief begins as â€Å"normal grief,† but instead of going away, it continues for a very long time. Some people tend to define themselves by their losses, which leads to the development of chronic grief. Delayed grief is when a survivor consciously or unconsciously holds back their feelings in order to avoid pain, such as avoiding discussion of the deceased, or working too much. In masked grief, the survivor is not aware that their response to grief is getting in the way of them performing daily functions. One who is experiencing this may refuse help. Disenfranchised grief can occur when a survivor can’t fully acknowledge the loss of a loved one because the relationship may be considered unacceptable. Those who experience this type of grief may be those who are gay or lesbian partners. There have been many studies done on the effects of care giving to those who are going through grief and loss. In a recent study, 129 spouse care givers were asked to rate their levels of care giving. Those who had little or no involvement in the care of a terminally ill spouse were found to be at higher risk for complicated grief than those with greater involvement. The next article I read was also about coping with grief and loss. This article states that over the past 30 years, health care professionals have shown an increase in interest in the issues related to grief. There have been many different studies done on grief and loss, some of which have the same conclusions and others that differ in outcomes. However, in spite of these varied findings, it seems to be that following the death of a loved one, there tends to be an increase in headaches, dizziness, trembling, etc. It has been recommended that these symptoms can be signs of grief. There has also been an interest on whether or not people who are going grieving a loss require more psychiatric care during their mourning period. There have been few studies done to show some answers, but data is inconclusive. This article defines grief as one who was experienced the loss of a loved one to death. This article also explains that when someone experiences the loss of an important person, there is a tendency for that person to feel helpless, like they are unable to exist without that person. Some may also have mixed emotions of sadness and anger. Aside from the emotional responses to grief, there are also physical features that accompany grief. Some of these features are tightening of the chest, hollowness of the stomach, tightness in the throat, and lack of energy. This article states the order in which grief tends to happen; disbelief, confusion, preoccupation, sense of presence, and hallucinations. There are also a variety of different behaviors that are associated with grief reactions. These can go from sleep deprivation, and loss of appetite, to social withdrawal. Although these articles both discuss grief and loss, they differ in certain ways. The first article talked more about the different types of grief, and described the characteristics of them individually. The first article also discussed the effects of a person who is not involved in care giving to their loved on who is terminally ill. I felt that the second article talked more about the most basic type of grief in full detail. The second article, as opposed to the first article, went into detail about the physical features that also accompany grief. I also think that the second article talked about more broad concepts of grief, where as the first article was more specific in its focus on grief. I really enjoyed the articles that I read. I aspire to become a grief and loss counselor one day, so I felt that these articles really pertained to what I am interested in. I think that they explained things very easy, in words that I could actually comprehend. I believe that grief and loss counselors are very important in society; everyone at some point will lose someone they love, and may need the special support of a professional. I also found this topic to be of relevance because my best friends’ father just passed away about a month ago. I have been helping her mourn and go through the grieving process. Reading these articles made me realize things that I have been doing correct, and maybe some things that I could try to do better to help her through this very hard time. I think that these articles clearly defined grief, and all of the components that go along with it. I feel that everyone should read an article on how to help one cope with grief, just because mourning is a process that is all to common. Helping one get through these times is something that we can all improve upon. As much as I did enjoy both articles, I found my self more intrigued in the second article. It was a bit longer in length, and was very detailed. I think that the second article talked about a lot of different topics associated with grief and loss, where as the first article really just talked about the book definition of grief, and how to cope. How to cite Aging Process, Essays

Financial Management Theory and Practice Limited

Question: Discuss about the Financial Management for Theory and Practice Limited. Answer: Introduction This paper addresses various crucial aspects of financial management which helps in analyzing the financial performance of a firm and preparing estimations and budgets (Brigham and Ehrhardt, 2016). The current paper has been divided into five sub-headings such as financial analysis, operating revenue prediction, interest on loan, choosing investment funds, and bond valuation. The financial analysis has been carried out on the financial statements of Boral Limited, which is engaged in manufacture and supply of building material primarily in Australia and the United States. The company is listed on the Australian stock exchange. Financial Analysis of Boral Limited The financial analysis of Boral Limited carried out here covers financial statements for the year 2016 and 2015. The ratio analysis has been considered to be the most appropriate tool for financial analysis of Boral Limited (Tracy, 2012). The process comprising five steps such as liquidity analysis, asset management analysis, Debt management analysis, profitability analysis, and market value analysis have been followed in conducting the ratio analysis. Liquidity Analysis It refers to the companys ability to pay the short term debt on time. The short term debt here implies the current liabilities which consist of trade payables, expenses payables, and the short term borrowings. The ability of the company to pay short term debt is adjudged based on the sufficiency of the current assets and the sufficiency of the current assets is analyzed by current and quick ratio (Tracy, 2012). The current ratio is computed by dividing the current assets with the current liabilities. The quick ratio is computed in the same manner except that the current assets here do not include inventories (Tracy, 2012). In the case of Boral Limited, the current ratio for the financial year 2015 and 2016 has been found to be 1.89 times and 1.43 times (appendix). It could be observed that the current ratio of the company is falling down in the current year as compared to the previous year. The downfall in the current ratio clearly indicates that the current assets of the company are decreasing relative to its current liabilities. Further, the quick ratio also went down from 1.30 times in 2015 to 0.95 times in the year 2016 depicting that the company is facing problems with liquidity (Appendix). Asset Management Analysis Analyzing the efficiency of management to convert the assets into sales or use the assets effectively to generate sales falls under asset management analysis. The prominent ratios such as asset turnover, inventory holding days, and accounts receivables days are computed to analyze the efficiency of management in regard to asset management (Tracy, 2012). The asset turnover ratio depicts revenues per $ of total assets deployed in the business. The inventory turnover days depicts the time period for which the inventory is usually held in the go-down by the company and accounts receivable days depicts the credit period extended by the company to its customers to pay their dues (Tracy, 2012). In the current case of Boral Limited, asset turnover ratio has been found to be 0.73 times in 2015 and 0.74 times in the year 2016 (Appendix). This indicates that the company was earning revenues of $0.73 by utilizing $1 of total assets in the year 2015 which slightly improved to $0.74 in the current year. Further, the inventory holding days were found to be 65 days in 2015 and 69 days in 2016 (Appendix). Increment by 4 days in the inventory holding period is indicative of inefficiencies of the management in managing inventory. On the other hand, the accounts receivable days were found to be decreasing by 3 days in the current year. The accounts receivable days were 56 days in 2015 which reduced to 53 days in 2015. The decrease in the accounts receivable days indicates improvement in the managements efficiency. Debt Management Analysis The debt management is one of the most important aspects of business. The recklessness in debt management could hamper the companys business severely and endanger its solvency. This is the reason that the investors first look into the debt management of the company before analyzing the profitability (Tracy, 2012). In order to analyze the efficacy and effectiveness of the debt management, two most important ratios such as debt equity ratio and Interest Times ratio have been calculated and analyzed. In the current case of Boral Limited, the debt equity ratio has been found to be 0.66 times in 2015 and 0.65 times in 2016. Thus, it could be observed that there has been slight decrease in the debt equity ratio in the current year as compared to the previous year. The decrease in the debt equity ratio depicts that the company is using less debt as compared to equity in financing its business. However, ideally, it is considered that the company should not use more than $0.33 of debt against the $1 of equity. In the current case of Boral Limited, the debt to equity ratio is much more than the ideal one, thus, the risk of solvency could be higher. Further, the Interest Times ratio was observed to be 4.60 times in 2015 and increasing slightly it reached to 4.91 times in the year 2016. The increment in the Interest Times ratio depicts that the companys ability to repay the debt has improved. Profitability Analysis The analysis of profitability is considered to be the decisive factor for the investor in taking an investment decision. In order to analyze the profitability of the business, two most crucial ratios such as net margin and return on equity are taken for computation and analysis (Tracy, 2012). In the current case of Boral Limited, the net margin ratio has been found to be 5.98% and 5.94% in the year 2015 and 2016 respectively (Appendix). It could be observed that the net margin has dropped slightly in the 2016 as compared to the previous year. The drop in net margin ratio depicts downfall in the profitability of the company. Further, the return on equity was found to be 7.29% and 7.30% for the year 2015 and 2016 respectively (Appendix). This implies that the return on equity has improved a bit in the current year. It could be observed that despite downfall in the net margin ratio, the return on equity has improved in the current year. This implies that the improvement in the return on equity was due to reduction in the shareholders equity in the current year. The shareholders equity reduced from $3,524.10 in 2015 to $3,506.30 in the year 2016 (Appendix). Market Value Analysis The market value analysis covers evaluation of the stocks price of the company. The evaluation in regard to the price of the stock is focused on analyzing that whether the stock of company is over or under valued. The two most crucial ratios such as Price to Earnings (PE) ratio and Market value to Book value ratio are considered essential in this regard (Tracy, 2012). The results of ratio analysis on the financial statements of Boral Limited depict a PE ratio of 17.47 times in 2015 and 17.21 times in 2016 (Appendix). An increase in the PE ratio is considered good for the company and the investors wealth. However, in case of Boral Limited, it could be observed to be slopping slightly downwards, which is indicative of reduction in the wealth of the shareholders. Further, the market value to book value ratio was found to be 1.27 times in 2015 and 1.26 times 2016 (Appendix). There could be observed a slight downfall in the market to book value ratio of the company. The downfall in the market to book value ratio indicates that the company is not performing well in the market. Operating Revenues Prediction Report of Research and Markets has forecasted that the timber and building material supplier industry is to grow at the compounded annual growth rate (CAGR) of 4.63% per year from 2017 to 2021 (Finanznachrichten , 2016). Therefore, it can be expected that the operating revenues of Boral Limited which is a major supplier of timber and building material will rise. The CAGR of 4.63% in the timber and building material industry appears to be sustainable because of innovative products coming into the market. It is expected that the use of decking in construction of buildings will increase which will push the demand of timber and building material industry. Based on the CAGR of 4.63%, the operating revenues for the year 2020-21 have been computed as under: Presently, the company earns operating revenues of $4,311.20 million (Boral Limited, 2016). The current revenues compounded at the rate of 4.63% per annum will rise to $5,406.40 million by the end of 2020-21. Interest on Loan The interest rate computed using the interest expense and the average long term debt of the company is given below: Boral Limited A. Interest Expense ($M) 70.8 B. Average long term debt ($M) 1156.8 C. Interest rate annual (A/B) 6.12% D. Interest rate quarterly 1.53% Thus, the interest rate that would be charged on the loan will be 6.12% per annum or 1.53% quarterly. At this rate of interest, the quarterly installment of loan will be as follows: A Loan amount $300,000 B Tenure (years) 30 C Quarterly periods 120 D Quarterly rate 1.53% E PAVF 54.7898 F Installment quarterly (A/E) $5,475.47 Using the above amount of installment, the loan schedule for first ten years has been presented below: Period Opening outstanding Installment Interest Closing 1 300,000.00 5,475.47 4,590.25 299,114.78 2 299,114.78 5,475.47 4,576.70 298,216.01 3 298,216.01 5,475.47 4,562.95 297,303.49 4 297,303.49 5,475.47 4,548.99 296,377.01 5 296,377.01 5,475.47 4,534.81 295,436.35 6 295,436.35 5,475.47 4,520.42 294,481.30 7 294,481.30 5,475.47 4,505.81 293,511.64 8 293,511.64 5,475.47 4,490.97 292,527.14 9 292,527.14 5,475.47 4,475.91 291,527.57 10 291,527.57 5,475.47 4,460.61 290,512.72 11 290,512.72 5,475.47 4,445.09 289,482.33 12 289,482.33 5,475.47 4,429.32 288,436.18 13 288,436.18 5,475.47 4,413.31 287,374.02 14 287,374.02 5,475.47 4,397.06 286,295.61 15 286,295.61 5,475.47 4,380.56 285,200.70 16 285,200.70 5,475.47 4,363.81 284,089.03 17 284,089.03 5,475.47 4,346.80 282,960.36 18 282,960.36 5,475.47 4,329.53 281,814.41 19 281,814.41 5,475.47 4,311.99 280,650.94 20 280,650.94 5,475.47 4,294.19 279,469.66 21 279,469.66 5,475.47 4,276.12 278,270.30 22 278,270.30 5,475.47 4,257.77 277,052.60 23 277,052.60 5,475.47 4,239.13 275,816.26 24 275,816.26 5,475.47 4,220.22 274,561.01 25 274,561.01 5,475.47 4,201.01 273,286.55 26 273,286.55 5,475.47 4,181.51 271,992.59 27 271,992.59 5,475.47 4,161.71 270,678.83 28 270,678.83 5,475.47 4,141.61 269,344.96 29 269,344.96 5,475.47 4,121.20 267,990.69 30 267,990.69 5,475.47 4,100.48 266,615.70 31 266,615.70 5,475.47 4,079.44 265,219.67 32 265,219.67 5,475.47 4,058.08 263,802.28 33 263,802.28 5,475.47 4,036.39 262,363.20 34 262,363.20 5,475.47 4,014.37 260,902.11 35 260,902.11 5,475.47 3,992.02 259,418.65 36 259,418.65 5,475.47 3,969.32 257,912.50 37 257,912.50 5,475.47 3,946.28 256,383.31 38 256,383.31 5,475.47 3,922.88 254,830.71 39 254,830.71 5,475.47 3,899.12 253,254.36 40 253,254.36 5,475.47 3,875.00 251,653.89 It could be observed from the table shown above that the interest for the first year is $18,278.90 ($4,590.25+4,576.70+4,562.95+4,548.99). Thus, the company can claim a sum of $18,278.90 as interest in its profit and loss statement in the first year. The interest amount of the tenth year would amount to $15,643.28 ($3,946.28, 3,922.88, 3,899.12, 3,875.00). Choosing Investment Funds An evaluation of all the three options is given as below: A fund with a quoted fixed rate of 4.25% compounded semi-annually: A. Amount required to pay loan back 2,000,000.00 B. Rate annual 4.25% C. Compounded Semi annual D. Semi annual rate (B/2) 2.13% E. Terms (years) 3 F. Semi periods (E*2) 6 G. Cash required to invest $1,762,940.19 A fund with a quoted fixed rate of 4.2% compounded monthly A. Amount required to pay loan back 2,000,000.00 B. Rate annual 4.20% C. Compounded monthly D. Monthly rate (B/12) 0.35% E. Terms (years) 3 F. Monthly periods (E*12) 36 G. Cash required to invest $1,763,617.62 Zero coupon bonds maturing in three years and currently trading at $88 per $100 face value: A. Amount required 2,000,000.00 B. Face value of bond 100.00 C. No of bonds required (A/B) 20,000.00 D. Current price of bond 88.00 E. Cash required to invest (C*D) 1,760,000.00 Decision: It could be observed that the cash required for investment at present to get a sum of $2,000,000 after 3 years is lowest in the case of first option. In the case of first option, the company can arrange loan repayment of $2,000,000 by investing $1,762,940.19 today. Thus, it is advisable that the company chooses option one to make investment for arranging money in regard to loan repayment. The yield on the Australian government bond outstanding for 10 years is 2.73% (Blomberg, 2016) and the company has a spread of 570 basis points on this yield. Thus, the yield for companys bond will be 8.43% (2.73%+5.70%). In the case if the bond had been issued for shorter term than 10 years, the yield to maturity would have been lower than the current level. This is because the interest rate (coupon rate) remains higher for the short time period and as the period is enhanced, the interest rates fall downside. For example, the coupon rate on Australian government bond having term to maturity of 10 years is 4.75%, but it goes high to 5.75% if the terms to maturity of the same bond are reduced to 5 years (Blomberg, 2016). Further, there exists an inverse relationship between the coupon rate and the yield to maturity (Gitman, Juchau, and Flanagan, 2015). Thus, if the coupon rate of the bond goes up, the yield to maturity will go down. For example, the Australian government bond having 10 years to maturity has yield to maturity of 2.73%, but it goes down to 2.27% of the term to maturity are decreased to 5 years (Blomberg, 2016). The primary components that play crucial role in determination of the market interest rates are risk free rate, inflation, default risk premium, liquidity premium, and maturity premium. If it is expected that the Australian economy will do well in the upcoming years, there would be less risk of default, rising inflation, liquidity crunch, and instabilities in the market (Brigham and Ehrhardt, 2016). Thus, due to less risk, the premium for risk which is added to the risk free rate in computation of market interest rate will be also be less. Therefore, it could be inferred that the spread on the companys bond would be lower if it is expected that the Australian economy will perform with stability in future (Brigham and Ehrhardt, 2016). If the predictions in regard to the Australian economy go correct, the spread of the companys bond will be decrease. Due to decrease in the spread, the yield to maturity of the bond will go down. The decrease in the yield to maturity of the bond will increase the price of the bond. Thus, the price of the companys bond will increase. This has been illustrated below: When coupon rate and Yield to maturity is same at 8.43% annual Face value 100 Terms (Semi years) 20 Coupon rate 8.43% Yield to maturity 8.43% Half yearly interest 4.22 Yield to maturity (Half yearly) 4.22% Price of bond $100.00 When coupon rate remains at 8.43% but Yield to maturity goes down by 2% Face value 100 Terms (Semi years) 20 Coupon rate 8.43% Yield to maturity 6.43% Half yearly interest 4.22 Yield to maturity (Half yearly) 3.22% Price of bond $114.59 References Blomberg. 2016. Australian Rates and Bonds. [Online]. Available at: https://www.bloomberg.com/markets/rates-bonds/government-bonds/australia [Accessed on: 11 January 2017]. Boral Limited. 2016. Annual report of Boral Limited. [Online]. Available at: https://www.boral.com.au/Images/common/pdfs/annual-reports/Boral-Annual-Report-2016.pdf [Accessed on: 11 January 2017]. Brigham, E.F. and Ehrhardt, M.C. 2016. Financial Management: Theory Practice. Cengage Learning. Finanznachrichten . 2016. Research and Markets- Global Timber Decking Market CAGR of 4.63%. [Online]. Available at: https://www.finanznachrichten.de/nachrichten-2016-09/38476394-research-and-markets-global-timber-decking-market-cagr-growth-of-4-63-by-2020-trends-technologies-opportunities-report-2016-2020-key-vendors-008.htm [Accessed on: 11 January 2017]. Gitman, L.J., Juchau, R., and Flanagan, J. 2015. Principles of Managerial Finance. Pearson Higher Education AU. Tracy. A. 2012. Ratio Analysis Fundamentals: How 17 Financial Ratios Can Allow You to Analyse Any Business on the Planet. RatioAnalysis.net.