St. Augustine as the True Heir of Plato Essay - 1144 Words

Aristotle and St. Augustine have both been influenced by Plato. Their philosophy on morality, politics, and the purpose of life has been platonically influenced. St. Augustine is the true heir of Plato because he has taken Plato’s ideal state, and revealed the implications of the lives that the citizens of the earthly city lead, in the City of God. Plato’s state is an ideal state, that would not function in reality. St. Augustine has taken Plato’s notions, and have furthered the implications of living a life that strives towards a common good. The consequences, whether negative or positive, cannot be seen in the earthly state, but can be seen in the City of God. The Republic is Plato’s notion of an ideal state. Within the state, there†¦show more content†¦They are educated through their strict curriculum, and due to the virtues that they learn, they are able to rule in a just manner (Plato 515a). The purpose of life for Plato is to create a just s tate. Through a broad education, and a democratic government, justice can be pursued. Justice is defined as the harmony that results when everyone is actively engaged in fulfilling his role and does not meddle with that of others (Plato 434e). When each person follows their role in life, stability can be achieved in the state. Aristotle’s society in The Politics, is that of a realistic society, a city of man. Aristotle defines a citizen as a political animal, which means that for man to optimize the society in which he lives in, he must be politically active (Aristotle 1253a). By nature, they want to cooperate together in society. Aristotle defines a citizen as a person who has full political rights to participate in judicial or deliberative office. (Aristotle 1275b) Each citizen has the ability to possess moral virtues. This is in contrast to Plato’s ideal state, where only the ruling class is able to be politically involved. Each citizen is able to posses private pro perty, for one should call the city-state happy not by looking at a part of it but at all the citizens (Aristotle 1329a). This means that all classes of the state as a whole should be happy, not just one sole tier. In Plato’s ideal state, the Guardians are prohibited from owning private property beyondShow MoreRelatedCleanth Brookss Essay Irony as a Principle of Structure9125 Words   |  37 PagesMarx understood it. But this ‘orthodoxy’ does not in the least strive to preserve what Mr. von Struve calls the ‘aesthetic integrity’ of Marx’s system. On the contrary, our underlying premise here is the belief that in Marx’s theory and method the true method by which to understand society and history has finally been discovered. This method is historical through and through. It is self-evident, therefore, that it must be constantly applied to itself, and this is one of the focal points of theseRead Moresecond sex Essay13771 Words   |  56 Pagesdefined by limiting criteria, without reciprocity. In the midst of an abstract discussion it is vexing to hear a man say: You think thus and so because you are a woman; but I know that my only defense is to reply: I think thus and so because it is true, thereby removing my subjective self from the argument. It would be out of the question to reply: And you think the contrary because you are a man, for it is understood that the fact of being a man is no peculiarity. A man is in the right in beingRead MoreExistentialism vs Essentialism23287 Words   |  94 Pagesthe ideas, and a number of so-called existentialists who rejected the title. Perhaps the central feature of existentialism that can be seen in these points is the  focus on the individual. Existentialists reject the idea that there is a fundamentally true human nature. Instead, they point out that those who seek to understand human nature undervalue the individual. The individual is free, as Sartre says, â€Å"radically free†. The individual can shape its own life and defy its so-called nature. The individual

Capital Market Is The Lifeblood Of Business And Industry

1.0 Introduction Capital is the lifeblood of business and industry and capital market is the main source for raising capital. It provides long-term fund for industries and creates investment scope for the mass. Capital market plays a vital role in industrial, and thus overall economic, development of a country. Bangladesh stock market seems to be extremely volatile; the price fluctuations of this market are so high. As a result, confidence of investors in the market place fell drastically during the two bubbles-burst episodes. Market insiders said that this lack of confidence following the ongoing liquidity crisis in the market is due to lower participation of investors. This upward and downward swing is a characteristic feature of the market and is termed as stock market volatility. The year 2010 was noticed as the abnormal bullish trend with all the barometers touched the historical height, consequences has been happened in year 2011 as all the barometers gone to the bearish condition. As a result most of the individual investors who are the middle class earning investors lost their valuable money. Most of the time, the collapse is attributed by the negative attitude of investors, liquidity crisis, insider trading, placement shares, stock split, omnibus account, strong manipulation and money whitening. Hence general investors have lost confidence on the capital market an they are the victims. It is true that the market does not move on its own accord, there are forcesShow MoreRelatedEvery Running Business Needs Working Capital957 Words   |  4 Pages Every running business needs working capital. 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Capital Budgeting Techniques And Pricing Model

Question: Which is numerical question please answer that numerical problem as well. please look into the assignment and confirm me about both the parts if you can solve? Answer: Introduction Part 1. Topic: CAPM Capital asset pricing model is one which describes connection between between risk and the presumed rate of return on assets when they are held in a well-diversified portfolios (Schall, Lawrence, Gary William, 1978).). CAPM has several assumptions that include: Investors are logical and act reasonably enough when choosing among alternative investment projects on the basis of the expected return and standard deviation. Investors are risk averse Investors maximize utility of the end of period wealth. Thus, CAPM is a single stage Investors have homogenous expectations regarding property Concequently, every investor will have the same notion of a satisfactory set. Investors can borrow and loan out money a rate which is considered to be free from all risks. All assets are marketable and perfectly divisible. The capital market is efficient and perfect. The CAPM is given as follows: Ri = Rf + {E(Rm-Rf)} Where; Ri- required rate of return of security i Rf = risk-free rate of return E(Rm) expected market rate of return beta that is calculated as follows: = Cov (im) 2m Cov(im)- Covariance between the rates of return in the market together with the asset. 2m covariance of the market return 2. Explain the relationship between the Security Market Line and the Capital Market Line, using diagrams and examples to illustrate your explanation When and E(Ri) are graphed, the following relationship can be observed; E(Ri) All correctly priced asset will lie on the security market line. Any security off the line will either be overpriced or underpriced. According to Pinches George (1996), the security market line, for this reason, shows the pricing of all asset if the market is relatively constant. If the investor was to undertake a given level of risk, he or she would expect the rate of return present in the market. 3. Briefly set out arguments in favor of and against - the theory, outline its uses and make a critique of its underlying assumptions. CAPM is a single period model, and it looks at the end of the year returns. CAPM is not quantifiable since the investors expectations cannot be measured. CAPM assumes that the required rate of return relies on the beta in the stock market. However, other factors such as inflation sensitivity and dividend payment have an impact on the return of the security (Scott David 1999) 3.1. Limitation of CAPM Though CAPM is widely applicable to many states, it has some several fatal weaknesses which include: CAPM is founded on some asssumption which are actually not realistic. 1. They include:Existence of the risk-free asset. 2. All property being perfectly divisible and marketable (human capital is not distinct. Existence of homogenous expectations about the expected returns. 1. Asset returns are spread out over a normal distribution. 2. No taxes. Ideally, there is no way a country can survive without taxes since taxes are the main source of government revenue (Pike, 1996). 3. No commissions. CAPM postulates that commissions are non-existent and do not count and hence should be done with. According to Petry Glenn (1975), this is not true in the real world since the central bank as well as other financial institutions render commissions thus disregarding the model. 4. Conclude with an overall assessment of the theory and state any recommendations you may have for your study. If CAPM was to be used, that would mean that the market would be central institution where investors make all their investments (Klammer 1972). This is also to validate the point that there should be uniform expectations by investors in the same market. Additionaly, the risk premium existing in the market can be seen to be subject to systemic risk which is measured by covariance with the market. CAPM provides for risks and it acknowledges that the value of assests in the security market are prone to variations brought about by risks. Hence the return amount of each asset is an estimate which is the expected return based on past returns (Levy, Haim Marshall 1994) CAPM model believes in the existence of equilibrium in the market prices and returns. However, these factors are dictated by the economic behavior of each individual which is generally deemed to be rational. 5. Conclusion a brief overall assessment of the CAPM theory. The CAPM is by no means a perfect model. The model is not applicable in the modern economies which are characterized by massive fluctuations brought about by recessions and depressions over the economic regimes. Emery, Douglas, John (1998) postulated that the assumptions forwarded by the theory compromise with the conditions of the market in the modern world. Other models such as APT are hence preferred as they are more flexible, reliable and convenient to use in evaluating asset returns. 6. Identify any alternatives that have been suggested in place of CAPM in a place of CAPM, Arbitrage pricing theory may be used. APT (Arbitrage pricing theory) This theory was developed in order to overcome several weaknesses associated with CAPM. Ross (1976) formulated APT. APT offered a testable alternative to the capital pricing model. Disparities between CAPM and APT occur at the instant CAPM provides for lineality of returns which are dependent on the rate of return (Fremgen, James 1973). APT however, is also based on the theory that business activities are general and that at equilibrium, the return on abitrage portfolio is zero. That implies that the investments posses a zero systemic risk. Incase the payoffs are postive, then, the risk would eliminated by the arbitrage process which would inturn would add value to the payoffs (Anderson, 1972). In 1976, Ross illustrated that when the opportunity of arbitrage was no longer present, the return amount to expect would be given by: E(Ri) = Rf + 1(Ri-Rf) + 2(R2-Rf)+ .. n(Rn-Rf) + i Where: E(Ri) expected return on the security Rf Risk free rate 1 Sensitivity to changes in factor i i random error term Arbitrate pricing theory Limitations . Though APT model is efficient, it does not highlight the relevant factors to include in the list of elements that affect the investment yields. Nevertheless, it does not indicate the number of factos to take into place when considering the model. However, the most important factors include, inflation, industrial production, spread between low and high- grade bonds as well as the rate of interests included in the loan period regime (Ahadiat Brueggemann 1990). Comparison between APT with CAPM 1. APT is a more powerful model than the CAPM due to some factors such as: 2. APT does not make any assumptions regarding the spread of asset returns while CAPM assumes a normal 3. The APT makes no strong assumption about individuals utility functions. According to Gordon Natarajan 2007), the theory is based on investors who are generally risk averters) 4. The APT allows the equilibrium return to rely on myriad factors rather than only the market . 5. Testing the whole wide collection of assets is not mandatory since the theory is not a must as one can collect only a few samples and obtain the relative prices. 6. APT provides no special requirement in the market unlike CAPM requires that the market portfolio be efficient. 7. The APT is easily extended to a multi- period framework. However, APT models fails to outline the factors which should be put into consideration. Cho (1984) indicated that the returns of securities vary in accorandance to several factors. These factors include: inflation, expected variations in industrial production, risk premium changes in bonds as well as the abrupt fluctuations in the interest rates (Brealey, Richard Stewart 1997). PART 2 Capital Budgeting Analysis You are required to work the following problem, using a discounted cash flow (NPV) analysis. You should model your answer on the text approach in Chapter 8. Gordon Hall is considering replacing an old machine with a new one from Li Ho. The old machine (bought five years ago from Tom Lee) cost $340,000 while the new one will cost $280,000, fully financed by a five year 9% per annum interest only loan. The new machine will be depreciated prime cost to $50,000 over its 5-year life. Gordon estimates that it will be worth $40,000 (salvage value) after five years. The old machine is being depreciated at prime cost to zero over its original expected life of 10 years. However, George can sell the old machine today for $86,000. The new machine will save Gordon $70,000 a year in cooling costs. Other costs are that, one year ago, a feasibility study on the new machine conducted for Gordon by an external firm of consultants, cost Gordon $20,000. With the new machine, Gordon will also lose $10,000 of sales of another product to Tom Lee. With the new machine, a one-off amount of cleaning supplies (current assets) at a cost of $9,000 will be required, and Henry estimates that accounts receivable (also current assets) will increase by $14,000. Both of these increases in working capital will be recouped at the end of the new machines life in five years time Gordons cost of capital is 9%. The tax rate is 30%. Tax is paid in the year in which earnings are received. Required. Calculate the net present value of the proposed change, that is, the net benefit or net loss in present value terms of the proposed changeover. Year 0 1 2 3 4 5 Annual Savings 70,000 70,000 70,000 70,000 70,000 Less Depreciation 50,000 50,000 50,000 50,000 50,000 Taxable Income 20,000 20,000 20,000 20,000 20,000 Tax (30%) 6,000 6,000 6,000 6,000 6,000 Operating Cash flows 64,000 64,000 64,000 64,000 64,000 Net working capital 23,000 -23,000 Investment - 280,000 40,000 Total cash flows -257,000 64,000 64,000 64,000 64,000 81,000 PV C0 = - 257,000 PV C1 = 64,000/ (1.09)1 = 58,715.60 PV C2 = 64,000/ (1.09)2 = 53,867.52 PV C3 = 64,000/ (1.09)3 = 49,419.74 PV C4 = 64,000/ (1.09)4 = 45,339.21 PV C5 = 81,000/(1.09)5 = 52,644.44 Total PV = 259,986.51 Total NPV 2,986.51 Should Henry purchase the new machine? State clearly why. Henry should purchase the new machine since it generates positive cash flows and hence it stands to benefit him. References Ahadiat, N. Brueggemann. R. (1990). Evaluating an investment proposal. Journal of Accounting Education. 8 (2), 299-310 Anderson, C. M. Jr. (1972). The capital budgeting process. London: n.p. 30-32 Brealey, Richard, A. Stewart A. M. (1997). Principles of Corporate Finance. 5th ed. New York: McGraw-Hill Companies. Fremgen James M., (1973) Capital Budgeting Practices: A Survey, Management Accounting. Emery, Douglas, R., John, D., John, D. S. (1998). Principles of Financial Management. Upper Saddle River, NJ: Prentice Hall. 19-25 Klammer, T. (1972). Empirical Evidence of the Adoption of Sophisticated Capital Budgeting Techniques, The Journal of Business 45 (No. 3, July), 387-397 Levy, Haim Marshall S. (1994). Capital Investment and Financial Decisions. 5th ed. New York: Prentice Hall. Pike, R. (1996). A Longitudinal Survey on Capital Budgeting Practices, Journal of Business Finance and Accounting. 23 (1), 79-92. Petry, Glenn H. (1975). Effective Use of Capital Budgeting Tools, Business Horizons 5 (October), 57-65 Pinches, T., George E. (1996). Essentials of Financial Management. 5th ed. New York: HarperCollins. Schall, R., Lawrence, D., Gary, L. William, R. (1978). Survey and Analysis of Capital Budgeting Methods. Journal of Finance 33 (1), 281-288. Scott, David F., Jr., (1999). Basic Financial Management. Upper Saddle River, NJ: Prentice Hall.

Nordstrom Planning a better inventory Essay Example

Nordstrom: Planning a better inventory Essay Nordstrom: Planning a better inventory Question 1 Nordstrom has famously been known for its lean retail prices and its tight inventory. Nordstrom uses demand forecasting to minimize leftover inventory. Nordstrom’s total corporate management is based on two main goals. One is to associate purchasing with demand to keep inventory as lean as possible. Second is to present customers and sales associates with a wide-ranging view of Nordstrom’s entire inventory, including all stores and warehouses. Nordstrom relates purchasing with demand to keep inventory lean and show customers and employees Nordstrom’s inventory. Nordstrom keeps its items in stock for an extremely short period of time so that if a customer wants it, they only have limited time to purchase it. Compared to Macy’s who keep items in their inventory for 119 days, Nordstrom keeps its items in inventory for 62 days. Other than relying on day-to-day sales, Nordstrom only discounts certain items and plans for more profitable and productive sale prices. Question 2 Nordstrom benchmarks to assess the success of their web-based inventor system by discovering what other organizations are doing to succeed and incorporate those ideas into their own operations. Competition for Nordstrom will be intense against Banana Republic, Macys, and Nike; big shoe selling companies but if they take certain qualities from each one and link them with their own, their web-based inventory will be a great success. They could make the web-inventory more user friendly, so it wouldn’t take as long for the customer to find that exclusive item that they want. We will write a custom essay sample on Nordstrom: Planning a better inventory specifically for you for only $16.38 $13.9/page Order now We will write a custom essay sample on Nordstrom: Planning a better inventory specifically for you FOR ONLY $16.38 $13.9/page Hire Writer We will write a custom essay sample on Nordstrom: Planning a better inventory specifically for you FOR ONLY $16.38 $13.9/page Hire Writer Also, they could keep the items that are not in the store after the 62 days online, so the customers are not limited to a certain number of days. Lastly, they could add even more shops to the already huge online inventory. Question 3 Participatory planning includes the people who will be affected by plans and who will be asked to take action. Equitability and transparency are assets that will increase the customers’ belief in the practice of retail. The way employees and managers cooperate within the process will regulate the ending of the process. Effective communication can increase the common understanding of ethics and ideas among customers and form a base for relations and future purchases. The happier a customer feels with the company that they are purchasing from, the more often they will go back to that company and purchase more products. Groups that should be involved are all employees within the company, because the more they are involved, the more comfort there will be among the employees and the customers who will buy the product in the near future. Question 4 Nordstrom has done a lot to their technology department since 2009 to compete with competitors in the online market. If there were ideas that I could suggest for them, I would say that in their search area on the sites, they can still add more functions, such as a rating system where customers can rank the product on how good it is. Companies such as Macy’s and Nike have a customer rating system for clothing, so buyers know which products are being liked and which ones aren’t. Also, in the online inventory, Nordstrom needs to include which products are new, and which ones are old because it is not listed on their site. Companies such as Nike, Banana Republic and Macy’s all have a â€Å"new arrival† tab on their website while Nordstrom does not. Those would be the only inventory management overhaul ideas I would recommend to them. As far as stretch goals are concerned, I would say that Nordstrom needs to concentrate on watching its competitors and reinventing its store and online inventory to keep and gain many more customers. References Mens Apparel: All Clothing for Men Nordstrom. Nordstrom: Free Shipping. Free Returns. All the Time.. Retrieved February 28, 2013, from http://shop. nordstrom. com/c/mens-apparel? origin=leftnav Mens Apparel: stretch shirts | Banana Republic. Apparel, Handbags, Shoes and Accessories for Women and Men | Free Shipping on $50 | Banana Republic. Retrieved February 28, 2013, from http://bananarepublic. gap. com/browse/category. do? cid=79399 Nike Store. Mens Jackets Vests. Nike. Retrieved February 28, 2013, from