Observational Evidence for Dark Energy

Observational Evidence for Dark Energy In this part we concisely discuss the observational evidence of dark energy. The universe seems to be growing at an increasing rate. Dark energy is one of the ultimate cosmological mysteries in modern physics. Even Albert Einstein thinks of a repulsive force, called the cosmological constant, which would counter gravity and keep the universe stable. He unrestrained the idea when astronomer Edwin Hubble experimentally discovered in 1929 that the universe is expanding. Observational evidence for dark energy didn’t come along until 1998; when two teams of researchers discovered it. Some believe that is because the universe is filled with a dark energy that working in the opposite way of gravity. The value for the expansion rate is 73.8 kilometers per second per mega parsec. It means that for every further million parsecs (3.26 million light-years) a galaxy is from Earth, the galaxy seems to be roving 73.8 kilometers per second quicker away from us. Luminosity distance: In 1998 the accelerated expansion of the universe was pointed out by two groups from the observations of Type IA Supernova. We regularly use a redshift to portray the development of the universe. This is identified with the way that light emitted by stellar objects gets to be red-shift because of the emerging of the universe. The wavelength increases proportionally to the scale factor, whose impact might be calculated by the redshift, An alternate essential idea identified with observational tools in an expanding background is associated to the definition of a distance. Actually there are a few methods for measuring separations in the extending universe. For example one frequently manages the comoving separation which stays unaltered throughout the advancement and the physical separation which scales relatively to the scale variable. An alternative method for characterizing a separation is through the luminosity of stellar objects. The separation known as the luminosity distance, assumes an extremely vital part in space science including the Supernova observations. In Minkowski space time the absolute luminosity of the source and the energy flux at a distance d is related through By summing up this to an expanding universe, the luminosity distance, , is defined as Give us a chance to think about an object with total luminosity located at a coordinate distance from a viewer at .The energy of light emitted from the object with time interval is indicated as while the energy which arrives at the domain with radius is written as . We note that and are relative to the frequencies of light at andi.e. and. The luminosities and are , The speed of light is given by, where and are the wavelengths at and. At that point from Eq. (29) we have Also we have used .Linking eqn and eqn The light traveling along the χ direction fulfills the geodesic equation .We then get Where .From the FRW metric [] we find that the region of the circle at is given by .Consequently the observed energy flux is Substituting eqn () we find the luminosity distance in an expanding universe: In the flat FRW background with we can find So the Hubble rate can be stated in term of If we amount the luminosity distance observationally, we can conclude the expansion rate of the universe. The energy density on the right hand side of Equation contains all components present in the universe. Here and link to the equation of state and the present energy density of each component, respectively. where is the density parameter for an individual component at the present age. Hence the luminosity distance in a flat geometry is given by Type 1a Supernova (Standard Candles): To discover distances in space, scientists use entities called standard candles. Standard candles are objects that give a certain, known measure of light. Since cosmologists know how intense these objects actually are, they can measure their separation from us by investigating how dim they appear. For instance, say youre remaining on a road equitably lined with lampposts. As indicated by an equation known as the inverse square law, the second streetlamp will look one-fourth as brilliant as the first streetlamp, and the third streetlamp will look one-ninth as splendid as the first streetlamp, etc. By judging the dimness of their light, you can without much of a stretch figure how far away the streetlamps are as they extend into the separation. For short separations in space — inside our world or inside our neighborhood gathering of adjacent universes — cosmologists utilize a kind of star called a Cepheid variable as a standard candles. These adolescent stars pulse with a brilliance that firmly identifies with the time between beats. By watching the way the star beats, cosmologists can ascertain its real brilliance. Anyway past the neighborhood gathering of universes, telescopes cant make out distinct stars. They can just recognize substantial gatherings of stars. To measure separations to far-flung systems, in this manner, space experts need to discover inconceivably brilliant objects. The immediate confirmation for the current acceleration of the universe is identified with the perception of luminosity distances of high redshift supernovae .The clear magnitude of the source with an absolute magnitude is identified to the luminosity distance through the This originates from taking the logarithm of Eqn () by noting that and are identified with the logarithms of and, individually. The numerical variables emerge in view of customary meanings of and in astronomy. The Type Ia supernova (SN Ia) might be watched when white small stars surpass the mass of the Chandrasekhar limit and blast. The belief is that (SN Ia) are structured in the same way regardless of where they are in the universe, which implies that they have a typical total size M autonomous of the redshift z. Hence they might be dealt with as a perfect â€Å"standard candle†. We can measure the apparent magnitude and the redshift observationally, which obviously relies on the objects we observe. Let us think about two supernovae at low-redshift with and at high-redshift with. As we have effectively said, the radiance separation is roughly given by.By means of the apparent magnitude of at; we find that absolute magnitude is evaluated by from equation. Here we received the quality with At that point the luminosity distance of is gotten by substituting and for equation From Eq. () the theoretical guess for the luminosity distance in a two component flat universe is This estimation is obviously predictable with that needed for a dark energy dominated universe. In 2004 Riess et al. [85] reported the measurement of 16 high redshift with redshift with the Hubble Space Telescope (HST). By including 170 previously known data points, they demonstrated that the universe exhibited a transition from deceleration to acceleration at confidence level. A best-fit quality of was discovered to be In Ref. [86] a probability investigation was performed by counting the data set by Tonry et al. [87] together with the one by Riess et al. [85]. The observational qualities of the luminosity density versus redshift together with the theoretical curves determined from Eq. (41). This shows that a matter dominated universe without a cosmological constant does not fit to the facts. A best-fit assessment of got in a joint study of Ref. [86] is, which is reliable with the result by Riess et al. [85]. See additionally Refs. [88] for late papers about the data analysis . A correlation is made of the constraints on models of dark energy from supernova and CMB insights. The authors argue that models favored by these perceptions lie in unique parts of the parameter space at the same time there is no cover of areas permitted at the 68% certainty level. They happen to propose that this may demonstrate unresolved systematic errors in one of the observations, with supernova observations being more likely to suffer from this problem due to the very heterogeneous nature of the information sets accessible at the time. Current observations of high redshift supernovae from the Super- Nova Legacy Survey have been issued. The overview has planned to diminish efficient failures by utilizing just high quality observations focused around utilizing a solitary instrument to observe the fields. The case is that through a rolling search strategy the sources are not lost and information is of dominant quality. Jassal et al. assert that the information set is in better con currence with WMAP. At the end of the day the high redshift supernova information from the SNLS (Supernova Legacy Survey) task is in superb concurrence with CMB observations. It leaves open the current state of supernova observation and their examination, as thought about to that of the CMB. It ought to be highlighted that the accelerated expansion is by cosmological standards truly a late-time phenomenon, beginning at a redshift .From equation the deceleration parameter is given by For the two component flat cosmology, the universe enters an accelerating phase for When, we have. The issue of why an accelerated extension ought to happen presently in the long history of the universe is known as the â€Å"coincidence problem†. We have focused in this area on the use of as standard candles. There are other conceivable candles that have been proposed and are actively being researched. One such approach has been to utilize FRIIB radio universes [93, 94]. From the comparing redshift angular size information it is conceivable to constrain cosmological parameters in a dark energy scalar field model. The derived constraints are discovered to be reliable with yet for the most part weaker than those decided utilizing Type supernova redshift-magnitude data. Nonetheless, in Ref. [95], the creators have gone further What’s more created a model-free approach (i.e. free of presumptions about the manifestation of the dim vitality) utilizing a set of 20 radio systems out to a redshift z ∠¼ 1.8, which is more remote than the SN Ia information can arrive at. They presume that the current perceptions show the universe travels from quickening to deceleration at a redshift more terrific than 0.3, with a best fit assessment of about 0.45, and have best fit qualities for the matter and dull vitality commitments to in wide concurrence with the SN Ia gauge An alternate proposed standard candle is that of Gamma Beam Blasts (GRB), which may empower the development rate of our Universe to be apportioned to high redshifts (z > 5). Hooper and Dodelson [96] have investigated this plausibility and found that GRB can possibly distinguish dull vitality at high measurable criticalness, however in the fleeting are unrealistic to be aggressive with future supernovae missions, for example, SNAP, in measuring the properties of the dull vitality. In the event that anyway, it turns out there is obvious dull vitality at promptly times, GRBs will give a fantastic test of that administration, and will be a genuine supplement for the SN Ia information. This is a quickly advancing field and there has as of late been declared provisional confirmation for a dynamical mathematical statement of state for dim vitality, taking into account GRB information out to redshifts of request 5 [97]. It is excessively early to say whether this is the right translation, or whether GRB are great standard candles, however the exact truth they could be seen out to such expansive redshifts, implies that in the event that they do end up being standard candles, they will be exceptionally huge supplements to the SN Ia information sets, and conceivably more critical. Cosmic Wave Background The case for an accelerating universe additionally accepted autonomous support from Cosmic microwave Background (CMB). The presence of Dark energy, in whatever structure, is required to accommodate the measured geometry of space with the aggregate sum of matter in the universe. Estimations of cosmic microwave background anisotropies, most as of late by the WMAP satellite, demonstrate that the universe is nearly flat. For the state of the universe to be flat, the mass-energy density of the universe must be equivalent to a certain critical density. The aggregate sum of matter in the universe (counting baryons and dark matter), as measured by the CMB, represents just about 30% of the critical density. This suggests the presence of an additional form of energy to represent the staying 70% [21]. Dark energy and Inflation The flatness and the horizon issues of the standard big bang cosmology are serious to the point that the hypothesis appears to oblige some essential adjustments of the theory made in this way. The most exquisite result is to assume that the universe has experienced a non-adiabatic period and additionally through a period of accelerated expansion, throughout which physical scales evolved much quicker than the horizon scale .This time of positive acceleration, of the primitive universe is called inflation. The inflationary theory is appealing in light of the fact that it holds out the likelihood of determining cosmological amounts, given the Lagrangian portraying the fundamental interactions. In the setting of the Standard Model, it is most certainly not conceivable to join expansion, however this ought not be viewed as a serious problem in light of the fact that the Standard Model itself obliges alterations at higher energy scales, for reasons that have nothing to do with cosmology. The negative dynamic gravitational mass thickness connected with a positive cosmological constant is an early sign of the inflation representation of the early universe; inflation in turn is one sign of the idea that might simplify into evolving dark energy.

Awake the Irish to the Physical Existence of Their Diabolic Environment

A Modest Proposal is a satirical essay written by Jonathan Swift as a way to express the horrific conditions Irish people underwent throughout the 1700’s (McNeil, 2010). Swift describes the evil, unjust and cruel treatment Ireland experienced due to its tyrant the forceful England. He develops a persona, the fictional character, with the intention of leading the Irish towards the truth and reality of their deprivation. The persona alone is insufficient in making the narrator seem reasonable. Thus, the persona utilizes irony that serves the purpose of attacking, exposing and scorning the Irish people. Yet, in order to make cannibalism sound like a practical ironic solution the author wisely uses his wit to imply that cannibalism cannot be more savagely cruel and unethical than what the Irish are permitting their oppressor to do to them. Swift’s use of the persona, irony and wit awakens the Irish to the physical existence of their diabolic environment and convinces them that they should take action in order to cease the circumstances. Fictional persona conceals Swift’s true identity helping him portray to the readers the significance of Ireland’s problems and allowing them to see the truth and reality. The persona identifies a very intelligent, serious and concerned Irishman. He seems to be monstrous for proposing something cruel and evil very calmly as if it is a typical thing to consume the flesh of an infant. In general, the proposition to eat infants makes his proposal diabolic. He proposes: â€Å"at exactly one year old that I propose to provide for them, in such a manner as instead of being a charge upon their parents or the parish, or wanting food and raiment for the rest of their lives, they shall, on the contrary, contribu... ... and wit in order to influence the readers to approach his essay and his proposal with sincerity. However, all he really wanted the Irish to do is buy Irish goods, tax their absentees, become wiser and economical with money and be less indolent. Upon closing, his essay Swift asks the property owners to be more lenient on their people. Swift’s essay presents the Irish with a fanatical solution in order to make them realize the horrible and inhumane circumstances they underwent throughout the 1700’s. Works Cited McNeil Bertrand, Jennifer. "The Ireland of Jonathan Swift's A Modest Proposal." Suite101.com. 14 Nov. 2010. Web. Jan. 2012. . Swift, Jonathan. "A Modest Proposal." Masters of British Literature, Vol. A. New York: Longman, 2008. 1288-294. Print.

Willa Cathers Death Comes for the Archbishop: A Narrative Essay

Willa Cather's Death Comes for the Archbishop: A Narrative When one thinks of a novel, a word that usually will come to mind is fiction. In fact, other meanings for the word novel are new and unique. Although an author may use real places, real time, or base their story on real events in part, their outcome is essentially a creation. We, as readers, are in a sense captive to the writer's imagination and must conform to the rules of the worlds they create. If we accept this, then Willa Cather's piece Death Comes for the Archbishop must be seen as a narration, rather than a novel. She is not fabricating, but rather recounting the story of Father Latour (based on Father Lamy) and his experiences in New Mexico. Her descriptions of the landscapes and people are so recognizably accurate; we can see her more as a reporter than a fiction writer in this book. For example she writes about the desert west of Albuquerque as a "country of dry ashes; no juniper, no rabbit brush, nothing but thickets of withered, dead-looking cactus, and patches of wild pumpkins" which "looks less like a p...

He Says, She Says: A Synthesis Essay -- Essays Papers

He Says, She Says: A Synthesis Communication between men and women is a constant comparison of differing and many times opposite forms of reasoning. But should these differences hinder our ability to communicate with the opposite sex? There are many differing opinions concerning this topic. While trying to understand our differences we have lost site of the fact that somewhere in our conflicting thought patterns and methods of communication is the challenge and intrigue that attracts us to the opposite sex. Rather than seeing our communication diversities as obstacles we should consider them challenges that draw and keep our attention. You do not need to be an expert on human behavior to appreciate gender classified language and its effects on male female relationships, however many experts have attempted to tackle the issue. Deborah Tannen is the author of several books concerning inter-gender relations and addresses the issue of differing reasoning resulting in misunderstanding. Tannen describes differences between male and female communication skills as a series of predetermined thought patterns. She states that men and women simply have a different way of going about communication. She believes that different ways of communicating stem from differing desired results of the conversation at hand. A married couple was in a car when the wife turned to her husband and asked, â€Å"Would you like to stop for a coffee?† â€Å"No, thanks,† he answered truthfully. So they didn’t stop. The result? The wife, who had indeed wanted to stop, became annoyed because she felt her preference had not been considered. The husband, seeing his wife was angry, became frustrate. Why didn’t she just say what she wanted? (Tannen p... ... the office. These anecdotes are entirely anti-female based and sound more like what a paranoid feminist might think than what actually goes through the minds of men and women alike in the workplace. However Josefowitz accurately portrays the inevitable presence of separation of thought patterns between men and women. As much as the problems associated with inter-gender communications are a result of differing ways of expression, so are they results of differing ways of comprehension. So before we point a finger at the opposite sex we must first examine our own. Think not of our communicative troubles as deterrents, but rather as attractions and representations of our exceptional differences. Works Cited - Tannen, Deborah. â€Å"Can’t we Talk?† A Meeting of Minds. - Turner, Robin. â€Å"Male Logic and Woman’s Intuition†. A Meeting of Minds.

Can consumers’ scepticism be mitigated by claim objectivity and claim extremity?

Tan’s (2002) analysis of consumer view of advertisements is based on idea that not all commercials are believable or provide the true picture of commodities depicted therein.Tan has specifically listed for qualities of effective advertisement. First, the commercial has to be believable in consumer eyes; second, the ad needs to be credible passing message; third is that consumers need to see the product being advertised as highly desirable and therefore lead to making purchase decisions.Fourth, the commercial needs to be of greater informational value to consumers. This means that effective advertisements are the ones which provide consumers with new information that helps in decision making processes. Poor information leads to the making of wrong choices that make consumers to avoid the advertised products and even respective company’s goods again.At worst, consumers have greater influence on each other and could therefore lead to fast spreading information on how speci fic company advertisements happen to be duping consumers to purchase defective products. Such occurrence has a long term effect on respective company’s revenue and market share.Consumer watchdogs might further start investigating the accused company and cause disruption in production and marketing processes. The management would end up wasting valuable time attending to hearings with authorities instead of developing long term strategies for their businesses.In understanding that consumers are generally skeptic of advertisers’ messages, Tan has gone further to explain that products are key victims of incredibility compared to services.In other words, consumers are more likely to believe advertisements on services and less on those involving services. Marketers should in this regard make extensive use of Integrated Marketing Communication (ICM) initiatives in ensuring that advertisements are truthful and provide important information to consumers.Effective commercials a re the ones which call on marketers restrain themselves from developing ads that overstate respective products; it is better to have commercials whose messages seem to undermine product effectiveness. Consumers who purchase such products end up being awed by their effectiveness and therefore develop loyalty.ICM has a role of diluting consumer skepticism over advertisements and should be used for that purpose by marketers (Kim 2006). In fact, marketers need to be on the forefront of ensuring that messages contained in ads are completely believable. Secondly, they have to liaise with senior management to ensure the development of organizational culture that involves developing and submitting ads helpful to consumers.This is in understanding that truthful advertisements that help consumers get the right products and services is usually the first step in developing long term relationship with manufacturers (FCC 2000). Repeat business that would be generated by such positive ads could fu rther help companies generate the much important brand loyalty.In addition, consumers satisfied with the advertised products end up becoming marketing tools as they embark on influencing others in respective sphere of influence to purchase the truthfully-advertised products.Tan (2002) further observed that consumer skepticism over advertisements changes with age, with the younger populations (especially from adolescents mid thirties) being more skeptic, whereas the older population are more likely to believe advertisements. Individual companies’ marketing teams should therefore ensure that ICM techniques are used to effectively address the target market.ReferencesFCC, 2000, Truth-in-Advertising Public Forum. Available At:   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   http://www.fcc.gov/Speeches/Kennard/spwek937.htmlKim, Y., 2006., Consumer Skepticism and Ad Credibility. Available At:http://www.ciadvertising.org/sa/fall_05/adv392/yeojungi/index.htmTan, S. 2002. Can consumersâ⠂¬â„¢ scepticism be mitigated by claim objectivity and claim   Ã‚  Ã‚  Ã‚   extremity? Journal of Marketing Communications. Vol. 8, pp. 45-64

Investment Analysis about two companies.-Pratt Ltd and Dana Ltd. Essay

According to a detail investment analysis by assessing performance, efficiency and financial stability between two companies, we may find a company that is suitable for investment. During the period of analysis, accounting ratios are utilized to direct the discussion. However, there are some limitation relates to ratio analysis, which can be addressed further. At last, a company would be recommended by combining discussion of many factors. Introduction Potential shareholder faces two options about whether investing in Pratt Ltd or Dana Ltd. According to detail information from financial statements, we can use accounting ratios to make a better prediction and analysis about potential advantages and drawbacks in investing in one of these companies. Through interpretation of accounting ratios, we can look closely at the financial state of two companies-profitability, efficiency, and financial stability, and then decide which company to invest in. Profitability Profitability relates to companies’ past and future performance, according to Jacklin.et.al(2007), performance is important , not only because it determines investment returns, but also the analysis of performance may provide a good indicator of the risk of bankruptcy. There are a number of ratios that assist in predicting performance. The first one is gross profit margin, which is represented by net sales divided by gross profit. The ratio calculated in Pratt Ltd is 31.2%, while 37% in Dona LTD, which reveals that every dollar sales of returns 0.37$ in Dona is better than 0.31$ in Pratt, after deducting the cost of goods sold. The second ratio is selling expense ratio, which can be represented by sales divided by selling expense. This measures the relative importance of various expenses in the earning of profit by comparing them to the sales for the period. The result is 3.6% in Pratt, compared with 3.9% in Dana, which indicates higher sales revenue involves higher expenses i n Dana than in Pratt. The next one is net profit margin, which measures net sales divided by earnings after interest tax. This reflects final return to shareholders, the result got is 8.9% in Pratt, 10.5% in Dona. Dona achieves a better return for shareholders. The quality of income ratio focus more on cash generated, it is a measure of management’s efficiency. The result got is 43.5% in Pratt, 4.1%in Dana, which indicates that a lower quality of income occurs in Dana, which relates to the level of income in the form of cash flow. The next one is asset turnover ratio, which measures the relationship of sales to total assets. It indicates how effective it is in generating sales from total investment in assets. The result got is 4.86% in Pratt, compared with 4.28% in Dana, which beyond the industry average level. Assuming valuation used the same for each company, the ratio reveals that for every dollar of investment in assets, Pratt produced more sales than Dana. The next ratio is return on assets, which shows earnings from using the total investment in assets results from net profit margin and asset turnover; we can compare firms on their performance in generating profit from their investment in assets. The result is 57.75%% in Dana, which is higher than Pratt’s 56.76%. Both ratios indicate good operating performance, compared with industry average’s 54.39%. However, it is clear that Dana produce more profit than Pratt. Given their low asset turn over rate, Dana has a higher return on sales, because both them are the same type of furniture store. The last ratio to evaluate operating performance is return on equity, which combines the impacts of performance and financial structure. Jackling.et.al(2004) indicates the success or failure of management in using leverage to improve owners’ returns, when compared with ROA. Dana produces 79.87% in ROE, while Pratt brings 78.35%. Both firms experiences better performance than industry average. However, it is wise to chose Dana because more returns can be achieved by the use of leverage. Efficiency Jacking et.al. (2007) indicates that operating efficiency relates to capabilities of firms to manage its assets so that maximum return can be obtained for the lowest level of assets. The first ratio to measure efficiency is inventory turnover. The result got in Pratt is32 days, which is less than 34 in industry average, 36 in Dana. This ratio indicates that Dana takes more time to turn over into sales, compared with Pratt. Inventory levels are higher in relation to sales and may imply poor inventory management in Dana, which results in high inventory holding costs and obsolete stocks that is difficult to sell. However, in Pratt, although it may indicate good management, it also indicates inadequate stock levels, causing lost sales and excessive restocking costs. Therefore, there is no applied standard to justify whether the higher inventory turnover rate, the more efficiency it can achieve. All what we need is a reliable comparable figure, which represents the overall perfect situation. The next ratio is accounts receivable turnover, usually expressed as the average number of days credit customers take to pay their debt to the firm. Generally, a rapid turnover of accounts receivable is desirable, however, it should not be so rapid to require credit terms that deter prospective customers. The maximum allowed normal credit period is 30 days, which is longer than 23 in Pratt, 27 in Dona. Pratt takes fewer days to collect cash perhaps due to lack of credit sales. Besides, it may indicate poor control over accounts receivable in Dana. This may result in some liquidity difficulties and finally, extensive writes-offs of bad debts. The last ratio to measure efficiency is accounts payable turnover, which represent the average number of days the firm takes to pay debts to suppliers of goods and services. Usually, more days firm takes to pay debt, a worse reputation can be established, which may lead to difficulties in gaining finance from suppliers and financiers in the future. The result got is 32 days in Dona, which is longer than 29 in industry average, 25 in Pratt. This indicates Dona’s debt repayment is less efficient than Pratt; perhaps a large amount of leverage finance is used to promote sales. As well as we know, operating performance in Dona is clearly better than Pratt. The financial structure in Dona is complicated, which needs to be reorganized. Inefficiency in Dona may result in discounts for early payment being missed. this would cause larger amount of expenses in Dona. Financial Stability Short-term Jackling.et.al (2007) indicates that short-term solvency can be assessed by liquidity ratios, these ratios reveal whether the entity has managed its liquidity or cash flows accurately, they can also measure the entity’s ability to repay its short-term debts. The first ratio used is current ratio, it indicates that the percentage of debts arising within the next 12 months that can be met by assets expected to be liquidated within the same period. The result got in Dana is 170%, compared with 150% in Pratt. This reveals that Dana has excessive current asset holding, perhaps due to a poor turnover of inventory or accounts receivable. The efficiency achieved in Pratt is better than Dana. However, liabilities are more likely to be repaid within one year in Dana. Another ratio used is quick asset ratio, which excluding the less liquid current assets and the less pressing current liabilities, the result got is 0.64 in Dana and 0.60 in Pratt. Although there is more stable financial structure in Dana, it is not significant if inventory cannot be sold and debtors will not pay. The ideal ratio may depend on how readily inventory and debtors can be converted into cash and how rapidly sales can be converted to a cash flow into the organization. Long-term Jacking et al. (2007) indicates that the main goal of financial management is to balance the maturity structure of assets and liabilities. Debt to assets ratio and debt to equity ratio can be used. Both of the result got in Pratt is 45%.81%, compared with 43%, 76% in Dana. This result indicates that Pratt has higher leverage of the entity, it may result in increase in the cost of finance relating to interest payments and in the risk of bankruptcy. Pratt is less likely to repay all debts because proceeds from liquidation will be insufficient. Moreover, Pratt may be likely to have difficulty borrowing funds or at the least, may accept higher interest charges. The creditors are more likely to take action to appoint an official receiver or liquidate the organization, if it defaults in payment of debenture interest. Another ratio is used, which measures the safety margin of profit over interest payments, is called times interest earned ratio. The result got in Dana is 5.3, which is better than 4.7 in Pratt. It is safer in Dana that interest charges are well covered by EBIT. Limitation Timing problems The analysis is a static one, the ratios produced from the balance sheet show financial position at a point in time. The income summary cannot reveal any trend during the period. The information base The important information is frequently not disclosed, the data that is disclosed lacks detail. The comparison is difficult because of length of time an asset has been held or different valuation policies adopted by entities. End use Ratios use information from the past and they are not good indicators of the future. No evaluation can take place until some standard for evaluation has been established. The use of ratios arises when some ratios appear satisfactory and some appear unsatisfactory. Recommendation Based on my analysis from three areas of profitability, efficiency, financial stability, Dana is more suitable company to be invested in. Operating performance in Dona is clearly better than Dana. Although operating efficiency in Pratt is better than Dana, it reversely reflects that Dana has a more stable financial structure; the credit risk is lower in Dona. There are some limitations for analysis, but for both of two companies, their encountered impact is certain. Reference List: Jackling, B, Raar, J, Williams, B& Wines, G2007, Financial Statement Analysis, Luisa Cecotti, North Ryde.

Asian Agri and the future of Palm oil Essay

Is Tanoto correct that palm oil has a bright future? Tanoto is correct that palm oil – aka the â€Å"golden corp† of Southeast Asia – has a bright future. It is very economic to be produced, due to its high yield and low cost of production compared with production of other edible oils. With higher economic growth, the demand for food and fuel is rapidly growing in the Asian countries of India and China. So, it is likely that we see a similar positive effect on the demand for Palm oil. Additionally, in today’s world, there are health concerns regarding the rise in the use of trans-fat. This has led consumers and packaged goods to companies limit its use. The increasing health consciousness has would contribute to increased use of this commodity as palm oil is trans-fat free. Furthermore, with increasing requirement for biodiesel, palm oil could well become an important part of the renewable fuel and play a vital role in the energy business. If yes, how should Asian Agri strengthen its position? If no, what should Yeo’s strategy be? If unclear, what could Yeo do to improve the global use of palm oil? I think due to the increasing role that palm oil has to play in the global economy, Asian Agri should strengthen its position in the industry and promote the global use of palm oil. They could do this through: Sustainable Production Asian Agri should aggressively stimulate the use of sustainable palm oil. They can do this by keeping to the set of economic, environmental, legal, and social standards set, in the production process of palm oil. Since sustainability will be an important factor for the company to differentiate itself from competitors and to stay strong in the industry, the company should continue to get all its â€Å"properties† certified as â€Å"sustainable†. They can also train middle managers, supervisors and workers on sustainable palm oil production. Expansion With palm oil demand rising, Asian Agri should continue to expand their plantation size. Although there are visible difficulties to acquire land in Indonesia, the company should not desert their expansion plans. I feel that it will be a good choice to diversify geographically, predominantly to countries in Africa and South America where land is abundant. This helps the company to diversify risk both politically and financially. It makes good financial sense to not put all their eggs in one basket – Indonesia, and good political sense as political instability or riots are a very real possibility in Indonesia. Additionally, by growing its trading and sourcing operations, Asian Agri can derive more value from its market expertise and refining activities. This will help the company to establish direct linkages with its customers at the destination market. This could also help reduce supply chain related expenses for of the company. Marketing and Promotion I think Asian Agri can undertake more marketing and promotional activities, which could help them increase market share. They can play off the fact on health advantages that palm oil has over other edible oils. The point that palm oil is trans-fatâ€Å"` free can be put to good use in the marketing campaign, which will help address increasing concerns of trans fat consumption. They can do this through advertisements, usage of social media, and distribution of brochures that will help educate customers. With projections indicating that global palm oil production would nearly double by 2020, it makes sense that Asian Agri to be proactive in its expansion, marketing and promotional plans. Although we recognize the rising anxiety from environmental NGOs and other challenges, the fact remains that palm oil business has very high potential, given sustainable production and good promotion.