Topic picked from the book clockwork orange Research Paper

Topic picked from the book clockwork orange - Research Paper Example R. Deltoid, The prison chaplain, Billyboy, The prison governor, ‘Minister of the interior’, Dr. Branom, Dr. Brodsky, F. Alexander and Cat woman. The novel was purposefully written to show people that their past does not matter, and that whatever they were they can change from their past. Alex is the main character in the book, being portrayed as the violent one. Certain quotations from the book are subject to interpretation, and will be looked at in this essay. The first chapter has a quotation that catches my eye, which reads, â€Å"What’s it going to be then, eh?† There was me, that is Alex, and my three droogs, that is Pete, Georgie, and Dim. Dim being really dim and we sat in the Korova Milkbar making up our rassoodocks what to do with the evening, a flip dark chill winter bastard though dry (Burgess, pg 10). In this extract, Alex has been portrayed as the figurative bad guy in the novel. He has a show of might and rank, calling his friends droogs, mean ing that they answer to him. Alex is liberal, and this can be viewed by the use of his slang language. He uses the language liberally and without worry. I can’t help but notice that he has taken the role of a leader, in that he is the leader of his gang of friends. Alex stands for a typical and highly successful teenager. This can be seen by the way he has dressed while with his gang, â€Å"The four of us were dressed in the height of fashion† (Burgess, pg 10). Also noticeable is how he tells of their wealth, â€Å"Our pockets were full of deng, so there was no real need from the point of view of crasting any more pretty to tolchok some old veck in an alley and viddy him swim in his blood while we counted the takings and divided by four, nor to do the ultra-violent on some shivering starry grey-haired ptitsa in a shop and go smecking off with the till’s guts. But as they say, money isn’t everything.† (Burgess, pg 10) From this extract, I can say th at Alex is in himself a master at the game of violence, and at everything he does. Though he knows violence and has participated in it, he still believes that there is more to life than money. From these quotations, a lot can be studied according to his personality. I can conclude without doubt that Alex is generic, mindless, has considerable knowledge of evil, substantive, is highly individualistic and from the looks of it is likeable from the way he carries himself. As soon as his own boost kicks in, Alex leads his gang into the streets, where they find an old man carrying books home from the library. Sensing his fear, they first play with him for a few moments before beginning to assault him. After ripping apart his books and taking his false teeth together with his clothes, they let him walk away whimpering. The gang continues in their violent spree until the law catches up. He is betrayed by the very people he leads, with his one violent scheme not going according to plan. Dim betrays him, and he finds himself beaten up and being forced to confess to his crimes. This shows that Alex is trusting, though from this it seems he trusts the wrong people. I see this in the extract, â€Å"Bog murders you, you vonny stinking bratchnies. Where are the others? Where are my stinking traitorous droogs? One of my cursed grahzny bratties chained me on the glazzies. Get them before they get away† (Burgess, pg 66). Dim chained him, and the rest were nowhere to be seen. He learns his lesson the hard way.

Blown to Bits Essay Example for Free

Blown to Bits Essay Technology has rapidly advanced, affecting standards on privacy, telecommunications, and criminal law. Every day, we encounter unexpected consequences of data flows that could not have happened a few years ago. Due to the bits explosion, the world changed very suddenly. Almost everything is stored in a computer somewhere. Court records, grocery purchases, precious family photos, radio programs†¦ It is all being reduced to zeroes and ones – â€Å"bits.† The bits are stashed on disks of home computers and in the data centers of big corporations and government agencies. The disks can hold so many bits that there is no need to pick and choose what gets remembered. So much disk storage is being produced every year that it could be used to record a page of information, every minute or two, about you and every other human being on earth. Once something is on a computer, it can replicate and move around the world in a heartbeat. Making a million perfect copies takes but an instant – copy of things we want everyone in the world to see, and also copies of things that weren’t meant to be copied at all. Due to instantaneous transfers, some data leak. Credit card records are supposed to stay locked up in a data warehouse, but escape into the hands of identity thieves. And we sometimes give information away just because we get something back for doing so. A company will give you free phone calls to anywhere in the world—if you don’t mind watching ads for the products its computers hear you talking about. The book presents 7 ‘koans’ or principles regarding the bits and the effect of it on humanity. Koan 1: Even though your computer seems to present pictures, texts, songs, and videos, they are all composed of bits. Everything that’s digital are ruled by bits. Even as we speak, bits are flying through the airwaves by our phones. Koan 2: Every copy made by a computer is perfect. The era of books  being handwritten oftentimes resulting to mistakes, has now been closed by digital explosion. And even though these machines do fail as long as the bits have been communicated, the probability of error of the bits is so slim. Koan 3: Vast as world-wide data storage is today, five years from now it will be ten times as large. Yet the information explosion means, paradoxically, the loss of information that is not online. Outdated software and information not stored in the computer are usually assumed as inexistent. Koan 4: The speed of a computer is usually measured by the number of basic operations, such as additions, that can be performed in one second. The fastest computers available in the early 1940s could perform about five operations per second. The fastest today can perform about a trillion. Koan 5: Exponential growth is actually smooth and steady; it just takes very little time to pass from unnoticeable change to highly visible. In the rapidly changing world of bits, it pays to notice even small changes, and to do something about them. Koan 6: Data stored will all be kept forever, unless there are policies to get rid of it. The Internet consists of millions of interconnected computers; once data gets out, there is no getting it back. Victims of identity theft experience daily the distress of having to remove misinformation from the record. It seems never to go away. Koan 7: In the bits world, in which messages flow instantaneously, it sometimes seems that distance doesn’t matter at all. The instantaneous communication of massive amounts of information has created the misimpression that there is a place called â€Å"Cyberspace,† a land without frontiers where all the world’s people can be interconnected as though they were residents of the same small town. The book introduces two basic morals. The first is that information technology is inherently neither good nor bad—it can be used for good or ill, to free us or to shackle us. Second, new technology brings social change, and change comes with both risks and opportunities. Any technology can be used for good or ill. Nuclear reactions create electric power and weapons of mass destruction. The same encryption technology that makes it possible for you to email your friends with confidence that no eavesdropper will be able to decipher your message also makes it possible for terrorists to plan their attacks undiscovered. The key to managing the ethical and moral consequences of technology while nourishing economic growth is to regulate the use of technology without  banning or restricting its creation.

Process of Matrix Acidizing

Process of Matrix Acidizing CHAPTER ONE INTRODUCTION CHAPTER ONE INTRODUCTION 1.1. Preface: Well stimulation techniques are applied regularly to improve productivity and maximize recovery from oil and gas wells. One of these techniques is matrix acidizing which is probably the most extensively performed job due to its low cost as compared to hydraulic fracturing, and it’s appropriateness to both production improvement and to restore original permeability in damaged wells. Acidizing treatments in general can be classified as : Acid washing Matrix acidizing Fracture acidizing ( or acid-fracturing) In acid washing, the purpose is simply tubular and wellbore cleaning. Treatment of the formation is not considered. Acid washing is most often Carried out to clean out scale and other materials restricting flow in the well. In fracture acidizing, acid is injected into a fracture created by a viscous fluid or the acid itself used to create the fracture. As acid progresses in the fracture, it reacts with the fracture walls, resulting in dissolution etching. Matrix acidizing which is the focal of this research, is defined as the process in which an acid is injected into the formation at pressures below the fracturing pressure of the formation so that fractures are not created. The injected fluid will react with the formation and dissolve some of the materials present and hence eliminate the formation damage and/or increase the permeability in the near-wellbore region.(1)The acidizing process leads to improving the maximum recovery in both sandstone and carbonate reservoirs and increasing economic reserves. In carbonate formations, matrix acidizing acts by forming conductive channels, called wormholes, through the formation. These wormholes penetrate beyond the near-wellbore region, or extending from perforations, as illustrated in figure (1.1). Acid-induced wormholes in carbonate rocks are similar to the holes made by earthworms underground, hence the name.(2) Often, acid will form  primarily single wormhole from limited numbers of perforations, without significant branching. That is the case when strong acids are used, such as HCl. Weaker acids, such as acetic acid, and retarded acid systems tend to create more branching of wormholes, which is preferable but only to a certain range. Retarded acid systems comprise viscosified acids (e.g., surfactant or polymer surfactant-gelled acid, emulsified acid, and foamed acid) or chemically retarded acid. The nature of wormholes created is controlled by the injection rate, temperature, and formation reaction characteristics.(2) In carbonate formations, the most frequently used acid is hydrochloric acid (HCl) which reacts with carbonates and form water (H2O), carbon dioxide (CO2), and a calcium or magnesium salt. Typical reactions in carbonates are(3): For Calcite: 2HCl+CaCO3 CaCl2+CO2+H2O .(1.1) and for Dolomite: 4HCl+CaMg(CO3)2 CaCl2 +MgCl2+2H2O+2CO2 .(1.2) Figure(1.1): CT- Scanned wormhole structures from a core-flood experiment(4) 1.2. Formation Damage: Formation damage is a common expression denoting to the impairment of the permeability by different processes. It is an undesirable functioning and economic problem that can take place during the different phases of oil and gas recovery from reservoirs, such as drilling , hydraulic fracturing, workover operations, and production. Formation damage indicators include permeability impairment, skin damage, and decrease of well performance. Figure (1.2) represents the common formation damage mechanisms in the order of significance.(5) Seven formation damage mechanisms were summarized by Bishop (1997).(6) These mechanism are: Fluid–fluid incompatibilities; for example emulsions formed between formation water and oil-based mud filtrate. Rock–fluid inconsistency; for instance contact of possibly swelling clay by nonequilibrium water-based fluids will reduce near wellbore permeability. Solids invasion; such as the invasion of drilled solids or weighting agents . Phase /blocking; for instance the invasion of water-based mud in the near wellbore region in a gas well. wettability alteration; for example emulsifier adsorption altering the wettability and fluid flow features of a formation. Fines migration; for instance the movement of fine particulates in a rock’s pore structure , as a result bridging and plugging will form in pore throats. Biological activity; such as the bacterial agent that enter into the formation during drilling. 1.3. General Information about Field under Study: The Badra field is located in Wasit governorate 160 Km toward southeast from Baghdad city and extends across the borders to Iran. The Badra-1 discovery well was drilled in 1979. A second appraisal well (BD-2) was drilled in late-1980s but was abandoned due to the war before reaching the planned TD and main target Mauddud reservoir. No DST, coring or production testing were done. Two appraisal wells (BD-4 and BD-5) were drilled; coring and testing was in 2013. In 2011, 169 sq.km seismic 3D acquisition was done and interpreted. Figure (1.3) shows the oil field and Badra field location. Figure (1.2): Classification and order of the common formation damage mechanisms Figure  ­Ã‚ ­Ã‚ ­Ã‚ ­Ã‚ ­(1.3):Zagros Province and Oil fields 1.4. Objectives of the Present Study: The present research aims to design matrix acidizing process for one of the Iraqi oil wells (Carbonate formation) using Hydrochloric acid (HCl) . The purpose is to follow up the formation damage occurrence due to drilling mud and completion fluids and removal, permeability improvement, and minerals dissolution in the carbonate formation caused by the acidizing process. As well as evaluating the matrix acidizing behavior, the effect of rock heterogeneity, and to determine the optimal injection rates of the acid to create channels in these formation. A new laboratory apparatus will be designed and constructed to perform the planned experiments. The setup should reproduce ,as much as possible, the characteristics of the treatments conditions to investigate the effects of matrix acidizing on carbonate rocks having variable mineral composition. Extensive experiments are required to be conducted to study the validation of the operative suitability and reliability of the apparatus under a broad range of pressure, flow rate, volume pumped, and acid concentration along with different additives. The licensed StimPro software will be applied , for the first time, for matrix acidizing process for Iraqi carbonate formation.

Horror and fear at the emergence of the monster in Chapter 5 of Franken

Mary Shelley's Frankenstein is a work of Gothic horror - a branch of romantic fiction characterized by its focus on sublime emotions. The genre is often inspired by nightmares with the intent to inspire horror and emotion in the reader. The era in which the novel was written, around the time of 1816, followed a period of great scientific advancement. Shelley's style is heavily influenced by the romantic poets with whom she spent time and her plot was influenced almost undoubtedly by the scientists of her time, who after its recent discovery had a great fascination with electricity and its effects on the human body. Public displays of experiments were common, something Shelley would have been aware of. The famous French philosopher Rousseau and its setting in the Romantic Era seem also to have influenced the themes in the book with its focus on the necessity of emotion and the importance of protecting nature, something which could actually be seen as the main ?message? of the book. Her book is a warning against the ?over-reaching? of man and she uses the Gothic style to shock 19th Century readers. But what of the modern relevance of Frankenstein? Although the specific techniques used we now know thanks to modern science to be impossible, Frankenstein still has power to inspire fear in the modern reader, perhaps because, with the advancement of Science and the huge opportunities to ?play God? now open to man, Shelly's ideas are just as applicable today. Though told through the triple narration of Frankenstein, the monster and Robert Walton, the bulk of the novel is told from Frankenstein's point of view as he relates his life story to Walton, so that he can learn from Frankenstein's mistakes. His narrative reveals to the re... ...ce breeching comfortable or natural boundaries is something which still causes instinctive unease in the majority of people. That human instinct is exactly what Shelley demonstrated Frankenstein was lacking. It was his abscission from every natural feeling, the understanding of human emotion on more than just a rational level that allowed Frankenstein to create the monster. This parallel between 19th and 20th Century response gives equal if not greater relevance to the novel's themes to modern day. The arsenal of knowledge now available to mankind to commit moral atrocities is even more extensive than in the era which provoked Mary Shelley's cautioning book. Frankenstein has removed the element of glory from succeeding in pushing the boundaries of science, instilling in the reader a greater respect for the true power of nature and for man?s inability to control it.

An Overview of the Life of John Kennedy

John F. Kennedy was one of the most liked and dedicated presidents of the United States of America. His presidency ran The second of nine children, John Fitzgerald Kennedy was born in a three story wooden house on May 29, 1917; in Brooklyn, Massachusetts. His parents were Joseph P. Kennedy and Rose Joseph Kennedy intended for his sons to receive the finest private school education possible. Johns education started at a private Dexter school in Brookline. During fourth, fifth, and sixth grades John enrolled at Riverdale Country Day School. At the age of thirteen, John entered the Canterbury School in Milford, Connecticut. The spring of 1931, John suffered an attack of appendicitis. He had to stay home and rest for the remainder of the school year. Kennedy†s† parents decided to hire a tutor to help him catch-up during the summer. John passed Math, English, and Latin. When he finally recovered completely, he entered Choate, a fine prep school in Wallingford, Connecticut. When John graduated from Choate, in 1935, he planned to study for a year at Londons School of Economics. Then at eighteen years old, John came down with an illness called Jaundice. In the fall, John joined his friends, Lem Billings and Rip Horton at Princeton University. He later had another attack of Jaundice that forced him to miss school for one semester. Johns father then encouraged his son to enter Harvard University in the fall of 1936. John graduated from Harvard in 1940, with a degree in Political Science. He then entered Stanford University in California. While there he studied Economics and tried his hand at writing. During this time, the war was raging in Europe. John decided to enlist in the Navy on September 22, 1941. He served four years and was ischarged when the war ended in 1945. At 28 years of age, he was heading for a successful career as a newspaperman. His father began pushing him towards another career— Politics — He believed that since Johns older brother was dead, that it was his responsibility to run On January 3, 1947, John took the oath of office as a US Congressman. Later, in 1952, Kennedy decided to run for United States Senate. In 1953†¦. Kennedy decided to marry and wed Jacqueline Lee Bouvier. He was 36 and she was just 24 when they were married in a Roman Catholic ceremony. Later that year, John began suffering terrible back pain. In 1955, he underwent surgery to repair a spinal injury. While recuperating, he wrote a book called, Profile in Courage The book was about American Political leaders who defied the publics opinion to vote according to their consciences. For this work, he received the Pulitzer Prize. He then returned to his political career. Although John barely lost the Democratic Vice-presidential nomination in 1956, his overwhelming re-election as Senator in 1958 helped him towards his goal of becoming a Presidential Candidate. In 1960 John Fitzgerald Kennedy became President of the United States. At 43 years of age, he was the youngest man to ever hold this title. On November 22, 1963 John was 46 years old and just ending his third year as President. He was just planning his campaign to run for a second term as President. On this date, John and his wife, Jackie, flew to Texas to take part in his political tour. After there arrival, they got into the back of an open limousine with Texas Governor, John B. Connally and his wife. About 12:30 Mrs. Connally remarked, â€Å"you certainly can†t say that the people f Dallas haven†t given you a nice welcome,† as people lined up everywhere. Before Kennedy could respond, a shot was fired. From a sixth-floor window. a sudden rifle shot rang out, fatally wounding the president, a second shot hit the Governor, and a third shot struck Kennedy in the back of the head, causing his death. At one p. m. , that same day, reporters rushed from the hospital to spread the horrible news. As a victim of assassination— the President of the United States was dead. The whole country mourned the death of J. F. K. Those who knew him or knew of him will forever remember this wonderful man.

Introduction of the Corporate Law Economic Reform Program

Recent corporate failures have raised concerns about the unity of accounting information provided to investors and the independency of hearers ( Cohen et al. , 2007 ) . The major corporate prostrations such as Enron, WorldCom and HIH Insurance have sparked important force per unit area on direction, hearers, managers, the accounting profession and authoritiess ‘ inadvertence function to reexamine the issue of concern moralss and hearer independency ( Ahmed et al. , 2006 ) . These failures have led to regulative reforms in Australia with the debut of the Corporate Law Economic Reform Program ( Audit Reform and Corporate Disclosure ) Act known as CLERP 9 to advance transparence, answerability and hearer independency ( Cooper & A ; Deo, 2005 ) . The literature has shown that net incomes direction is consistently related to the strength of the corporate administration environment and terrible use of net incomes are by and large associated with loose administration ( Bhat et al. , 2006 ) . Reforms by CLERP 9 have changed corporate administration enforcement through compulsory independency demands for hearers, the strengthening of the uninterrupted revelation government and a alteration in enforcement powers of ASIC through the extension of the civil punishment government to persons who are ‘involved ‘ in the breach of uninterrupted revelation proviso with an increased mulct from $ 200,000 to $ 1million. The execution of increased independency demands for hearers and strengthening of the uninterrupted revelation government will motivate direction of houses to move more diligently and with due attention in regard to stockholders ‘ involvements when describing fiscal affairs ( Robinson, 2003 ) . This research reappraisal investigates the association between increasing hearer independency proposed by CLERP 9 and net incomes direction by houses in Australia. It investigates this association by analyzing two groups of listed entities, utilizing a pre/post research design covering the fiscal old ages 2003-2006. The first group of listed entities comprises of houses in the ASX 100, which are referred to in this research reappraisal as ‘compliant ‘ houses, while the 2nd group consists of houses in the ASX Small Ordinaries Index referred to as 'emerging ‘ houses. The two groups are selected as they are likely to act in different ways based on their features including size, media coverage, analyst followers, size of retentions by institutional investors and grade of examination by regulative organic structures.1.1 Research QuestionThe chief research inquiry is: â€Å" Has hearer independency imposed by CLERP 9 reduced net incomes direction of Australian houses? â €  This will be tested analyzing the difference in accumulations behaviour of Australian houses during the pre-CLERP 9 and post-CLERP 9 periods. The research inquiry is to be tested utilizing year-by-year cross-sectional and pooled arrested developments of the theoretical account developed based on anterior literature and theory. The modified Jones ( 1991 ) theoretical account steps net incomes direction as the theoretical account has a high grade of credence within the net incomes direction literature. The cross-sectional and pooled arrested development theoretical accounts are designed jointly to prove the association between net incomes direction and corporate administration enforced by CLERP 9, measured by hearer independency. The arrested development theoretical account besides controls for factors that might hold an impact in the trials such as house size, CEO alterations, Big-4 hearers and big shareholding.1.2 MotivationIn a recent commentary, Justice Owen emphasized the i mportance of the audit map for the capital market as a whole and the trust placed on the audit map by users of fiscal statements ( Robinson, 2003 ) . Justice Owen made several recommendations aimed at heightening the audit map, including the appropriate criterion of independency, the proviso of non-audit services and the relationship between hearers and their clients. The series of corporate dirts in 2000-2002 scoured trust in fiscal studies and in hearers. One of the aims of CLERP 9 is to beef up independency in hearers and to reconstruct unity of fiscal studies by controling net incomes direction and accounting fraud. Therefore, the extent of net incomes direction prior to CLERP 9 and the consequence of the CLERP 9 â€Å" event † on net incomes direction is an of import research subject. Therefore, the primary motive of this research study is to analyze the alteration in net incomes direction in the period taking to CLERP 9 compared to after CLERP 9. This research is motiva ted by the desire to understand the consequence of corporate administration enforcement by CLERP 9 on net incomes direction in Australian houses. The secondary motive is to analyze whether reforms by CLERP 9 to turn to hearer independency have weakened the hearer ‘s economic bond with the client, therefore take downing net incomes direction. There are significant sums of research in the audit literature that suggest that audit efficiencies are gained from cognition spillovers when non-audit services are jointly provided with an audit and therefore, it becomes in the best involvements of audit companies to supply both audit and non-audit services to their clients ( Solomon, 1990 ) . CLERP 9 has been introduced to command the proviso of non-audit services and heighten the unity of fiscal studies. Consequently, this research examines the relation between hearer independency and net incomes direction in the period integrating the debut of CLERP 9 in an event survey attack.1.3 ContributionThe most important part of this research is in look intoing the effects of CLERP 9 reforms on net incomes direction in â€Å" compliant â €  and â€Å" emerging † houses. The impact of CLERP 9 on emerging houses is of import to analyze every bit good since in a recent article published in Alan Kohler ‘s Eureka Report, fiscal instruction adviser, Scott Francis analyzed the recent public presentation of the little cap section of the Australian portion market and stated that the recent returns have been strong with the ASX Small Ordinaries Index surpassing the ASX 100 by 18 % in 2009. However, the Small Ordinaries Index underperformed the ASX 100 by 16 % in 2008 ( Francis, 2009 ) . This shows the intense competition between the two indices and besides shows the possible growing of the emerging houses in the Small Caps Index. In order to keep strong growing rates and get more capital in the market, these houses are besides likely to prosecute in net incomes direction. Therefore, this research will supply grounds associating to the efficaciousness of CLERP 9 reforms in turn toing hearer independency and whether increasing hearer independency constrains net incomes direction in these houses. By analyzing two different groups of houses, this survey will supply an penetration into net incomes direction of these houses in the period prior to CLERP 9 and the period after CLERP 9. This survey besides contributes to bing literature on hearer independency, by supplying grounds in whether hearer independency constrains net incomes direction patterns in compliant and emerging Australian houses. The survey besides provides an penetration into whether emerging houses react otherwise to compliant houses in footings of net incomes direction, during the survey periods before and after the passage of CLERP 9. Regulatory reforms from CLERP 9 have different deductions for different types of houses and through comparing of emerging houses with ailment houses, it is expected that net incomes direction has declined significantly for some group of houses, whilst others have continued in pull offing net incomes. As mentioned earlier, both the groups have different external factors impacting them, hence it will be interesting to analyze the reaction of both groups after the passage of CLERP 9.2.0 LITERATURE REVIEW2.1 Net incomes ManagementNet incomes direction has assorted definitions normally classified as white, grey, or black. â€Å" Beneficial † ( white ) net incomes direction enhances the information value of studies by conveying private information ; the â€Å" baneful â₠¬  ( black ) involves straight-out deceit and fraud ; the â€Å" impersonal † grey is use of studies within the boundaries of conformity with bright-line criterions, which could be either timeserving or efficiency enhancing ( Yonen & A ; Yaari, 2007 ) . The footings â€Å" private addition † ( Schipper, 1989 ) , â€Å" mislead † ( Healy & A ; Wahlen, 1999 ) stress the timeserving feature of net incomes direction and prevent the possibility that net incomes direction can heighten the information content of reported net incomes. Scott ( 1997 ) and Mulford & A ; Comiskey ( 2002 ) suggest the possibility that net incomes direction can happen for signaling intents every bit good. The deduction of their definition is that reported net incomes can be enlightening for users if the direction pick of accounting policies or estimations is perceived to be believable signals of a house ‘s implicit in public presentation. To understand net incomes direction better, the difference between net incomes direction and accounting fraud needs to be distinguished. Academic literature normally defines direction discretions which fall within Generally Accepted Accounting Principles ( GAAP ) as net incomes direction, whereas the Security Exchange Commission ( SEC ) extends its analyzing standards of net incomes direction to outright deceitful accounting ( Yonen & A ; Yaari, 2007 ) . The reading that net incomes direction can happen within the GAAP is consistent between academe and regulator, but whether fraud constitutes net incomes direction is equivocal in academic definitions. Brown ( 1999 ) argues that the difference between net incomes direction and deceitful coverage is frequently really narrow and ill-defined. Net incomes direction incorporates a prejudice and use of just value of reported net incomes, hence regulators frequently view it as bad and therefore be given to sort it as fraud. However, there is a clear differentiation between fraud and net incomes direction depending on the managerial purpose to deceive investors. Any presentation of reported net incomes which deviates from the just net incomes of the house but falls into the boundary of fraud can be defined as net incomes direction.2.2 Two cardinal conditions of Earnings ManagementThere is no substantial function for fiscal revelations within perfect and efficient markets since fiscal statements are wholly relevant and dependable and hence, directors and users of fiscal statements would hold no struggle over accounting judgements excluding the range for accounting use ( Watts & A ; Zimmerma n, 1979 ) . Unfortunately, in our universe of progressive and uncomplete markets, the ideal status does non ever prevail. Two types of market imperfectnesss exist as a consequence:2.2.1 Information AsymmetryThe two rules of fiscal describing – relevancy and dependability, straight reflects the function of accounting information and are aimed to decide the cardinal job of information dissymmetry. The released information is relevant information with regard to the house ‘s future chances, and is dependable information free of managerial use. Where fiscal revelation and judgements ab initio are aimed to cut down the information dissymmetry between directors and foreigners, it has been progressively argued that director ‘s ability in exerting discretion is likely to enforce costs on the users of accounting information. Dye ( 1988 ) and Trueman & A ; Titman ( 1988 ) point out that the being of information dissymmetry between directors and stockholders is a necessary status for net incomes direction. Schipper ( 1989 ) besides highlights the status for net incomes direction being the continuity of asymmetric information, but she unwinds the status by reasoning that the out of use communicating can be eliminated through the enforcement of contractual agreement. From the position of a positive association between the conservativism of accounting estimations and corporate revelation, Imhoff & A ; Thomas ( 1994 ) supply empirical grounds in back uping this line of statement. They conclude that houses who unwrap more information are more likely to hold conservative accounting estimations ( prosecuting in less net incomes direction ) . Richardson ( 1998 ) uses the bid-ask spread and the scattering in analysts ‘ prognosiss as a step of information dissymmetry and finds a positive association between ne t incomes direction and the degree of information dissymmetry.2.2.2 Agency CostssThe 2nd cardinal status for the being of net incomes direction is bureau costs which is based around the theoretical model of the bureau theory. Jensen and Meckling ( 1976 ) developed the bureau theory to explicate the link between principals ( stockholders ) and agents ( directors ) . Principals use contracts to actuate agents who would otherwise hold struggles of involvement with principals. Although the primary map of catching is designed to aline the inducements between principals and agents ( Deegan, 1996 ) , the rawness and the rigidnesss in binding of contracts create bureau concerns, which lead to use of the coverage procedure. Watts & A ; Zimmerman ( 1986 ) suggest that the ex-post managerial discretions are made to increase compensation or to avoid debt compact misdemeanors. They use Positive Accounting Theory to exemplify how directors choose accounting methods to accomplish coveted accountin g Numberss and therefore act upon the house ‘s contractual agreements. In fact, grounds of net incomes direction pattern to bring forth higher direction compensation suggest that the design of contracts to aline the inducements of the agents with those of the principal might non be the optimum solution in extenuating bureau costs ( Hart & A ; Holmstrom, 1987 ) . Watts & A ; Zimmerman ( 1978 ) take the position that directors ‘ pick of accounting methods is to maximise their ain public-service corporation, where the public-service corporation is a map of the direction compensation and the house ‘s stock monetary value. Therefore, undertaking which is designed to work out bureau struggles non merely raise room for managerial self-interested behaviour, but besides imposes extra costs on stockholders if it is used in advancing directors ‘ ego involvements instead than that of stockholders.2.3 Two viing positions of Net incomes ManagementNet incomes direction arises from information dissymmetry job and bureau struggles that occur when equit y ownership is separated from the daily operation of the corporation and directors have a comparative information advantage over stockholders. On one manus, these market imperfectnesss create an environment for directors to prosecute in accounting discretion to advance their opportunism at the disbursal of stockholders. On the other manus, they besides create an chance for directors to utilize accounting discretion to pass on their company ‘s performance-related information in an appropriate mode with investors ( Trueman & A ; Titman, 1988 ; Dye, 1988 ; Schipper, 1989 ) . Net incomes direction literature reflects these two viing positions as timeserving behaviour and signaling mechanism.2.3.1 Opportunist behaviourThe position of timeserving behaviour takes the position that directors use information dissymmetry between foreigners and insiders to maximise their public-service corporation in covering with compensation, debt contracts and ordinances. Investors are thereby misled by the undependable information reported. Watts & A ; Zimmerman ( 1978 ) used self-interest attack in explicating directors ‘ discretional behaviour over reported net incomes to act upon contractual results. Opportunist net incomes direction illustrates directors ‘ desire to impact wealth transportation between related undertaking parties and themselves. Positive Accounting Theory states that proprietors expect directors to exert discretion towards their personal addition and take this into consideration when they offer directors with compensation programs. The value of direction compensation contracts drive up managerial outlook and therefore increases the degree of discretions itself. Scott ( 1997 ) refers to this as â€Å" unexpected † managerial discretion which consequences in a net loss in the aggregative stockholder wealth. In a catching relationship, nevertheless, directors are more risk averse compared with other undertaking parties. Capable to restraints of these contracts, they will try to maximise their personal wealth. Dye ( 1988 ) and Fudenberg & A ; Tirole ( 1995 ) demonstrate that risk-averse directors without entree to capital markets will hold an inducement to prosecute in net incomes direction.2.3.2 Signing mechanismThe advocates of the signaling perspective argue that directors manage net incomes to convey their inside information about houses ‘ chances and therefore it serves as a signaling mechanism. Directors may be able to impact the stock monetary value by prosecuting in net incomes direction making a smooth and turning net incomes threading over clip. As such, net incomes direction can be a signal mechanism through which inside information about the house can be communicated from the direction to investors. A figure of surveies have modeled some signifier of information dissymmetry and depicted net incomes direction as rational equilibrium behaviour ( Hunt et al. , 1997 ; Bartov et al. , 2002 ; Lev, 2003 ; Dye, 1988 ) . These surveies document signaling grounds of net incomes direction to ease efficient communicating between directors and information users to better the value relevancy of fiscal coverage and enhance investors ‘ ability in foretelling house ‘s public presentation. Further, the signaling position besides implies that net incomes direction is sometimes demanded by stockholders. Beidleman ( 1973 ) and Dye ( 1988 ) argue that stockholders will demand for net incomes direction for two grounds. First, directors can cut down the cost of capital through a drum sander, more predictable income watercourse. Second, Dye ( 1988 ) states that a more stable income watercourse influences prospective investors ‘ perceptual experience of house value. Since current stockholders will sell their portions to the following coevals of future stockholders, directors will move on behalf of the current stockholders and have an inducement to pull off net incomes to maximise the merchandising monetary value received by the current stockholders ( Easton & A ; Zmijewski, 1989 ; Chaney & A ; Lewis, 1995 ) .2.4 Motivations to prosecute in Earnings Management2.4.1 Contracting IncentivesFiscal information and studies of a house drama an of import function in set uping and supervising contracts between a house and its stakeholders ( Sweeney, 1994 ) . Debt suppliers and creditors of houses commonly include contracts that are linked with fiscal statement information in order to protect their involvements. Watts and Zimmerman ( 1978 ) indicate that such contracts encourage houses to pull strings net incomes for the fiscal statements to look attractive to creditors. Under footings of the debt contract houses are required to show their fiscal information in a mode that is consistent with the understanding in order to avoid punishments under the contract. DeFond & A ; Jiambalvo ( 1994 ) found grounds that houses apply income-increasing accumulations as a agency of avoiding the effects of debt contract misdemeanor. There are besides other contractual inducements for directors to pull off net incomes, for illustration in a direction buyout contract ; directors have an inducement to understate net incomes in an effort to get a house at a lower monetary value ( Wu, 1997 ) . In coup d'etat or amalgamation contractual scenes, Easterwood ( 1997 ) found grounds that mark companies of hostile coup d'etats attempt to blow up net incomes in the period prior to a hostile coup d'etat effort to deter their stockholders from back uping the coup d'etat.2.4.2 Capital Market ExpectationsCapital markets use fiscal information to put security monetary values. Investors use fiscal information to make up one's mind whether to purchase, sell or keep securities. Market efficiency is based upon the information flow to capital markets. When the information is wrong, it may non be possible for the markets to value securities right ( Xie et al. 2003 ) . To this extent, net incomes direction obscures existent public prese ntation and lessens the ability of stockholders to do informed determinations. Prior surveies have examined the inducements of directors to pull strings net incomes in an effort to act upon assorted capital market participants. Dechow et Al. ( 1996 ) and Teoh et Al. ( 1998 ) supply grounds that directors inflate net incomes prior to seasoned equity offerings. These findings are consistent with the contention that directors seek to pull off pre-issue net incomes in an effort to better investors ‘ outlooks about future public presentation ( Xie et al. 2003 ) . Directors besides engage in net incomes direction to run into and crush net incomes benchmark as failure to run into net incomes benchmarks are believed to increase uncertainness about the company ‘s future chances and a perceptual experience among foreigners that there are deep, antecedently unknown jobs at the company ( Graham, 2006 ) . The importance of these concerns increases with the grade of net incomes counsel that the company provides. There is a common belief that everyone plays the net incomes game, losing net incomes marks indicate that a company has no available slack to present net incomes. Therefore, the market assumes that losing the mark means the company is potentially confronting serious jobs and must hold already used up its ‘cushions ‘ ( Graham, 2006 ) .2.5 Net incomes Management and CEO Compensation IncentivesAn built-in constituent of houses ‘ net incomes direction is the proportion of CEO compensation that is attached to company ‘ s stocks and options. Bergstresser & A ; Philippon ( 2006 ) supply grounds that net incomes direction is more marked at houses where CEO ‘s entire compensation is closely tied with houses ‘ stocks and options. Evidence from Bergstresser et Al. ( 2006 ) indicate that companies with more incentivized CEOs have higher degrees of net incomes direction as these CEOs appear to be more aggressive in their usage of discretional constituents of net incomes to impact their house ‘s reported public presentation. They argue that CEOs whose entire compensation consists chiefly of stock and options have an inducement to pull strings net incomes so that the house can describe a net income and supply favourable intelligence to investors ; taking to an addition in portion monetary value. Tiing CEO compensation to company stocks may hold the consequence of promoting CEOs to work their discretion in describing net incomes, with an oculus to pull strings the portion monetary value of the company ( Bergstresser & A ; Philippon, 2006 ) .2.6 Net incomes Management and Corporate GovernanceLeuz et Al. ( 2003 ) found empirical grounds that net incomes direction occurs less often where outside investors are provided more rigorous protection by the state ‘s legal administration system and occurs more often in states where the legal administration system provided to outsider investors is weak. Leuz et Al. ( 2003 ) argues that the presence of a administration environment that provides strong, well-enforced protection of the rights of corporate foreigners serves to restrict the ability of inside direction to get private control benefits through net incomes direction. Wells ( 2002 ) provides empirical support that incoming CEO ‘s take an ‘earnings bath ‘ in the twelvemonth of the CEO alteration. DeAngelo ( 1988 ) provides direct grounds of net incomes direction subsequent to CEO alteration and notes that the period subsequent to CEO alteration, incoming directors take an ‘earnings bath ‘ from both non-cash write-downs and unexpected accumulations and that they attribute this to the former direction. Incoming CEO ‘s may hold considerable inducements to minimise reported income in the initial phase of their term of office. This arises as a effect of accounting income being mostly irrelevant to managerial public assistance during the first fiscal twelvemonth of term of office, which is typically a partial twelvemonth ( Wells, 2002 ) . Incoming CEO ‘s are non held responsible for past public presentation and may explicitly impute past public presentation to prior direction. Consequently, income may be deferred to subsequent periods when it will more probably have a positive impact on compensation either through expressed contracts or inexplicit wagess. In this scene, the entrance CEO is typically associated with past determinations, inexplicit unfavorable judgment of which may be embodied in downwards net incomes direction ( Wells, 2002 ) . Furthermore, the surpassing CEO is unable to restrain such behaviour and this high spots an of import corporate administration issue ( Godfrey et al. , 2003 ) . Klein ( 2002 ) found grounds of a negative relation between board independency and unnatural accumulations, proposing that decrease in board independency is accompanied by big addition in unnatural accumulations. In add-on to Klein ( 2002 ) , Xie et Al. ( 2003 ) found consequences that suggest lower degrees of net incomes direction is associated with greater independency on the board of managers. These findings indicate that independency of the board of managers is of import in restraining the leaning of directors to prosecute in net incomes direction. Based on the literature on board independency, this research will use a variable to command for board independency in the cross-sectional and pooled arrested development theoretical accounts.2.7 Net incomes Management and Auditor IndependenceHearers are appointed as an independent party to supply an sentiment as to whether fiscal statements supply a ‘true and just ‘ position ( Chapple & A ; Koh, 2007 ) . Independence is by and large understood to mention to a mental province of objectiveness, deficiency of prejudice, personal involvement, prior committedness to an involvement, or susceptibleness to undue influence or force per unit area. Independence is important in the auditing profession and this has come into light through the failures of Enron and WorldCom. Without independency, investors and stakeholder will lose assurance in audit studies, the hearer ‘s sentiment will non be believable, and besides fiscal statements will lose credibleness, therefore lead to future corporate failures as was the instance of Enron ( Chapple & A ; Koh, 2007 ) . It is in direction ‘s involvements to hold an external audit to cut down bureau costs: deficiency of a believable independent audit will increase cost of capital, restrict entree to capital and enforce terrible limitations on direction ‘s actions. The demand of hearer independency is critical and any damage or perceived damage of independenc y will increase bureau costs ( Firth, 1997 ) . Literature has expressed concerns about the effects of hearers ‘ proviso of non-audit services on the independency of hearers. For illustration, Beeler & A ; Hunton ( 2001 ) reference that the proviso of non audit services arguably strengthens the hearer ‘s economic bond with the client, thereby cut downing hearer independency and increases hearer ‘s inducement to assent to client force per unit area, including force per unit area to let net incomes direction. Firth ( 1997 ) suggests that any existent or sensed damage of hearer independency will earnestly impact the credibleness of fiscal statements. One possible signal of hearer independency jobs is the grade to which the audit house is economically bonded to a client. Supplying joint services leads the hearer to agree with direction ‘s positions on questionable accounting patterns because challenging these patterns will probably ensue in the loss of non merely the audit fee, but besides consultancy assignments ( Firth, 1997 ) . DeFond et Al. ( 2002 ) besides suggests that although hearers have market-based inducements to stay independent, auditor independency may be threatened when hearers provide non audit services to their clients. Increased economic bonding between hearer and its client ensuing from non audit services induces the hearer to decide differences in the client ‘s favor in order to keep tenure ( Simunic, 1984 ) . The issue of mensurating the economic bond and economic importance of a client to the hearer is further addressed by Ashbaugh et Al. ( 2003 ) , who argue that the amount of audit and non audit fees, i.e. entire fees best captures the expressed economic bond between hearer and client. Motivated by turning public and regulative concerns over possible hurtful effects of non-audit services, new ordinances control the proviso of non-audit services and heighten the unity of fiscal studies ( Ferguson et al. , 2004 ) . A host of empirical surveies have examined the relationship between hearer independency, non-audit services and net incomes direction. Empirical grounds from Frankel et Al. ( 2002 ) indicated that non audit fees are positively related with the magnitude of discretional accumulations, while audit fees are negatively associated with net incomes direction. Ferguson et Al. ( 2004 ) examined the association between non audit services and net incomes direction activity and found grounds coverage net incomes direction to be significantly and positively related to non audit services. This is consistent with their statement that higher degree of economic bonding between hearer and client ensuing from non audit services may cut down hearers ‘ willingness to re strain net incomes direction activity.2.8 Corporate Law Economic Reform Program ( CLERP 9 )Severe use and fraud have been associated with loose corporate administration, deficiency of hearer independency and executive inducements construction conducive to timeserving behaviour ( Leuz et al. , 2003 ) . Recent planetary corporate failures have sparked important force per unit area on direction, hearers, managers, the accounting profession and authoritiess ‘ inadvertence function to reexamine the issue of concern moralss and hearer independency. These corporate failures have led to formal authorities questions to look into the grounds behind these unexpected corporate prostrations. In Australia, the failure of HIH Insurance led to the enquiry into the fortunes environing its failure. The study of the HIH Royal Commission indentified a figure of possible breaches of the Crimes Act and the Corporations Act. It was besides found that there was grounds on deficiency of audit inadvertence, transparence, answerability and hearer independency ( Robinson, 2003 ) . The study ‘s policy recommendations on corporate administration, fiscal coverage and confidence were considered into the CLERP 9 amendments for the Corporations Act as these amendments changed the manner the jurisprudence recognized the direction and administration of companies and corporate groups. On 25th June 2004, the CLERP 9 Bill gained blessing of Parliament and came into consequence as the Corporate Law Economic Reform Program ( Audit Reform and Corporate Disclosure ) Act 2004 ( Cth ) on 1 July, 2004. The CLERP 9 Act contains a figure of agendas covering with: audit reform, fiscal coverage, wage of managers and executives, uninterrupted revelation, hearer independency, write offing of options, conformity controls and encouragement of greater stockholder engagement at meetings ( Robinson, 2003 ) . Since the debut of CLERP 9, scrutinizing criterions have become statutory and non simply professional duties. CLERP 9 embodies recommendations associating to auditor independency and audit quality. One of the most of import alterations CLERP 9 made was set uping the Auditing and Assurance Standards Board ( AUASB ) as a statutory organic structure and making the Financial Reporting Council ( FRC ) which is responsible for the inadvertence of the AUASB and for O.K.ing its strategic determinations. Under the CLERP 9 Act, hearers are now required to supply to their clients a written declaration that the hearer has complied with the hearer independency demands and any applicable codifications of professional behavior ( Chapple & A ; Koh, 2007 ) . Section 324CA of CLERP 9 enforces rigorous demands of the proviso of both audit and non audit services to the same client and house every bit good as to the fortunes that will amount to a struggle of involvement. The new liability model is designed to promote a ‘culture of conformity ‘ by doing it an offense to transgress the independency demands and puting liability on all members of an audit house and all managers of audit companies. The debut of CLERP 9 has brought many reforms in a manner of beef uping the independency of hearers so investors, stakeholders and the populace in general can hold higher assurance in audit studies and in the long-term public presentation of companies. Enhancing auditor independency came through the signifier of subjecting Australian public companies and their external hearers to detailed commissariats regulating hearer independency, and beef uping bing hearer independency through ( Robinson, 2003 ; Federal Treasury, 2003 ; Cooper & A ; Deo, 2005 ) : A new general criterion of hearer independency Auditor rotary motion Restrictions on employment relationships between hearers and audit clients A compulsory chilling off period before members of an audit house can go a manager or officer of the audit client Self-review menace was addressed by CLERP 9 necessitating two things: compulsory revelation of fees paid for non audit services in certain classs and a statement from the audit commission to be included in the one-year study that it is satisfied that the proviso of those services is compatible with auditor independency. In drumhead, the literature reappraisal presented a treatment on net incomes direction and assorted topics in relation to net incomes direction such as hearer independency, CEO compensation inducements, corporate administration, etc. From net incomes direction literature, it is apparent that capital market outlooks and undertaking inducements are the few of the chief motives driving directors to prosecute in net incomes direction.3.0 HYPOTHESIS DEVELOPMENT3.1 Net incomes Management 2003-2006The debut of increased regulative reforms to heighten the corporate administration environment will supply strong, well-enforced protection of the rights of corporate foreigners and will function to restrict the ability of inside direction to get private control benefits through net incomes direction ( Wright et al. , 2006 ) . Anterior literature has suggested that the deficiency of corporate administration enforcement could enable directors to more easy run into analysts ‘ prognosiss, misus e the company ‘s financess and run into net incomes marks through net incomes use ( Hope, 2003 ) . Australian houses are expected to follow CLERP 9 reforms rather exhaustively as any non-compliance will ensue in important punishments and bad image. Conformity with demands of hearer independency introduced by CLERP 9 will cut down the economic bond companies have with their hearers, and this is expected to ensue in hearers supplying nonsubjective audit studies free from any prejudice and direction force per unit area. With the debut of CLERP 9, it is interesting to analyze the consequence CLERP 9 has on the net incomes direction patterns of these houses. It is expected that the compliant group of houses ( ASX 100 ) will react faster to CLERP 9 reforms than emerging houses ( Small Ordinaries Index ) . First, it is expected that compliant houses have an equal internal administration construction in topographic point to better transparence and to guarantee the market that these houses are one measure in front of the remainder of the houses. Compliant houses would hold prepared for CLERP 9 prior to its debut, and therefore the consequence of CLERP 9 as an ‘event ‘ in these houses will be less as compared to the consequence on emerging houses. Compliant houses are besides under heavy examination from regulators than the rising houses, while the houses in the compliant group are all audited by the Big-4 hearers. Therefore, it is expected that CLERP 9 will hold an consequence on net incomes d irection in the station CLERP 9 period for the compliant houses. Compliant houses have less to derive and are risk averse, whilst rising houses would desire to turn and raise capital and in order to make so, direction will be inclined to ‘play ‘ with accounting Numberss to pull possible investors. It is expected that CLERP 9 will heighten transparence, better hearer independency and these are expected to act upon the net incomes direction patterns of emerging houses. As indicated by Wright et Al. ( 2006 ) , the debut of increased regulative reforms to heighten the corporate administration environment will function to restrict the ability of inside direction to get private control benefits through net incomes direction. These treatments hence lead to the undermentioned hypotheses: Hypothesis 1: Net incomes direction is expected to diminish in the station CLERP 9 period for the ASX 100 â€Å" compliant † houses. Hypothesis 2: Net incomes direction is expected to diminish in the station CLERP 9 period for the ASX Small Ordinaries Index â€Å" emerging † houses. Hypothesis 3: Net incomes direction is expected to be low ( high ) when hearer independency is high ( low ) in ASX 100 â€Å" compliant † houses and ASX Small Ordinaries Index â€Å" emerging † houses. Hypothesis 4: Net incomes direction is positively associated with CEO equity based compensation.4.0 RESEARCH METHOD4.1 Sample DescriptionThe sample for this survey consists of Australian houses selected indiscriminately from the ASX 100 and ASX Small Ordinaries Index. This will guarantee that the sample from each index will be relative to the population. The survey period is between 2003 to 2006, covering four fiscal old ages. The houses will be classified in the two classs ( ASX 100 and ASX Small Ordinaries Index ) for each twelvemonth of the survey identified from the Standard & A ; Poor peoples ( S & A ; P ) database and information from the Australian Stock Exchange ( ASX ) . The first group of houses includes the ASX 100 index, which are the 100 largest stocks listed on the ASX and 50 houses will be picked indiscriminately for this sample. The index is float-adjusted, with securities that are extremely liquid and hence, institutionally investable ( Standard & A ; Poor peoples, 2 007 ) . The 2nd group includes 50 houses besides picked indiscriminately based on the ASX Small Ordinaries which is used as an institutional benchmark for little cap Australian equity portfolios ( Standard & A ; Poor peoples, 2007 ) . The sample from both the indices will be grouped together in a pooled arrested development and a silent person variable for emerging and compliant houses will be used to find size. Datas for the independent and control variables will besides be obtained from the undermentioned beginnings: Connect 4 on-line database, Fin Analysis on-line database and through company one-year studies. The sample choice standards are as follows: ( i ) houses continuously listed on their relevant constitutional list and ( two ) all necessary informations available for the research method adopted in this survey.4.2 Measuring Net incomes ManagementAnterior net incomes direction surveies have developed several trials for observing net incomes direction. Healy ( 1985 ) tested net incomes direction through the appraisal of accounting policy alterations, McNichols & A ; Wilson ( 1988 ) tested the discretional accrual constituent of a individual history and Jones ( 1991 ) used the estimation of the discretional constituent of entire accumulations to prove for net incomes direction. Net incomes direction can be achieved by assorted agencies such as the usage of accumulations and alteration s in accounting methods. However, net incomes direction through the use of accumulations is believed to be the favoured instrument because accumulations have no direct hard currency flow effects and hence, are less likely to be ‘undone ‘ by the market ( Trueman & A ; Titman, 1988 ) . Accrual net incomes is considered superior to hard currency flows because it overcomes the timing and mismatching jobs built-in in mensurating hard currency flows ( Dechow, 1995 ) . In add-on, accumulations let directors pass on their private, inside information and hence, better the ability of net incomes to reflect the implicit in economic value. At the same clip, directors could mistreat the flexibleness permitted by GAAP by prosecuting in aggressive coverage of accumulations that can sabotage the informativeness of reported net incomes. The usual starting point for the measuring of net incomes direction is entire accumulations ( Dechow et al. , 1995 ) . Entire accumulations are so divided into a discretional ( DA ) and non-discretionary ( NA ) constituent. The discretional part of entire accumulations is used in this survey to mensurate net incomes direction, as the premise underlying the net incomes direction model is that the higher the composing of discretional accumulations within entire accumulations, the higher the likeliness that a house is utilizing discretion within accrual accounting to prosecute in net incomes direction. Non-discretionary accumulations are portion of entire accumulations caused by house ‘s gross revenues growing and are ‘viewed as independent of managerial control ‘ or beyond the control of the CEO ( Frankel et al. , 2002 ) . The part of entire accumulations unexplained by normal operating activities is labeled discretional accumulations. A time-series attack based on the Jones ( 1991 ) theoretical account allows a comparing of net incomes direction activities of houses. The Jones ( 1991 ) theoretical account regresses entire accumulations against the alteration in grosss and the degree of gross fixed assets. Entire accumulations include alterations in working capital histories that, in portion, depend on alterations in gross. Changes in gross are used to command for the economic environment and the gross belongings, works and equipment ( PPE ) is included to command for the non-discretionary depreciation disbursals. However, factors such as growing and rising prices can do the time-series of a house ‘s economic variables to expose unequal discrepancies over clip. To get the better of this job the Jones ( 1991 ) theoretical account uses lagged assets to scale the independent and dependent variables to cut down the possibility of heteroscedasticity ( Lim et al. , 1999 ) . Dechow et Al. ( 1995 ) refined the Jones ( 1991 ) theoretical account by deducting the alteration in receivables from the alteration in grosss and hence, the invention leads to the modified Jones ( 1991 ) theoretical account as demonstrated in equation 1.0 below. The modified Jones ( 1991 ) theoretical account provides the most powerful trial for observing net incomes direction as it corrects the inclination of the Jones theoretical account to mensurate discretional accumulations with mistake when discretion is applied over grosss ( Dechow et al, 1995 ) . While this attack is capable to unfavorable judgment from Kothari et Al. ( 2005 ) , which has suggested that public presentation matched discretional accrual steps enhances the dependability of illations from net incomes direction when the hypothesis being tested does non connote that net incomes direction will change with steadfast public presentation. Kothari et Al. ( 2005 ) suggest that public presentation fiting on return on assets controls for the consequence of public presentation on measured discretional accumulations. However, due to the prevalence of the modified Jones ( 1991 ) theoretical account in net incomes direction literature, gauging discretional accumulations is to be conducted utilizing the modified Jones ( 1991 ) theoretical account.Non-discretionary Accumulations: Modified Jones ( 1991 ) ModelOriginal Jones ( 1991 ) ModelWhere: = entire non-discretionary accumulations in twelvemonth T for house I = entire accumulations in twelvemonth T for house I = entire assets in twelvemonth t-1 for house I = grosss in twelvemonth T less grosss in twelvemonth t-1 for house I = gross belongings, works & A ; equipment in twelvemonth T for house I The traditional method of calculating entire accumulations ( TA ) follows the lines of anterior research such as Healy ( 1985 ) , Jones ( 1991 ) and Dechow et Al. ( 1995 ) which have used the balance sheet attack to cipher TA. Hribar and Collins ( 2002 ) argue that utilizing the balance sheet attack to calculate entire accumulations is inferior in certain fortunes to a hard currency flow statement based attack. Austin and Bradbury ( 1995 ) concluded from their survey that anterior research which compares different hard currency flow steps is likely to be robust against mistakes contained in the hard currency flow estimations. They besides mention that it is preferred to utilize reported hard currency flows from operations instead than gauging hard currency flows from alterations in balance sheet histories and income statement points since these contain significant mistakes and therefore is a lacking placeholder of reported hard currency flow from operations ( Austin & A ; Bradbury, 1 995 ) . Hribar and Collins ( 2002 ) point out that utilizing successive-year balance sheet variables to mensurate net incomes direction creates possible jobs around ‘non-articulation ‘ day of the months such as amalgamations and acquisitions. Due to the unfavorable judgments of the balance sheet attack, the hard currency flow attack is to be used for mensurating entire accumulations ( TA ) .Entire AccumulationsWhere: = Net income in twelvemonth T = Cash flow from operations in twelvemonth T = lagged entire assetsDiscretionary AccumulationsThe usage of natural accrual sums as a placeholder for net incomes direction is a simple method to measure net incomes quality because houses can hold high accumulations for legitimate concern grounds, such as gross revenues growing. A more complicated placeholder can be created by trying to categorise entire accumulations into non-discretionary and discretional accumulations. The non-discretionary constituent reflects concern conditions such as growing and he length of the operating rhythm that of course create and destroy accumulations, while the discretional constituent identifies the direction picks. Therefore, the consequence of drawing discretional accrual sums from the entire accrual sum is a metric that to a certain extent reflects accumulations that are due to direction ‘s pick since they are non obligatory disbursals that are yet to be realized and recorded in the histories. Hence, discretional accumulations is a better placeholder for net incomes direction.5.0 DecisionThe research reappraisal aims to look into whether the debut of the Corporate Law Economic Reform Program Act ( CLERP 9 ) has influenced net incomes direction patterns of Australian listed companies in the ASX 100 and ASX Small Ordinaries sample groups. The research inquiries are to be examined beyond the context of anterior literature mentioned in the reappraisal. As with all accruals-based testing of net incomes direction, the ability to

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Developing a strategic plan - Essay Example Similarly I made a plan for improving students’ perception and satisfaction with transportation. I included two action items; offering buses to commuter students and ensuring the schedule accuracy to facilitate the students and providing private buses and shuttles for the students of Pittsburgh and nearby shopping centers within a radius of 10 miles. This improvement can reduce car traffic and parking issues by 30% and increase student mobility by 75% to Pittsburgh downtown. I did not use trial and error or any redundant old method just to fill in that space with a strategy. I built my strategy based on the information I collected through students’ reviews. Even though the strategic plan is complete and quite comprehensive I would like to add a few things especially regarding public safety. The three action items are very helpful. For instance, they publicize encourage enrollment in E2 campus emergency notification system. Similarly, there are other programs offered under the same category but one thing that I feel missing is the follow-up. There should be a measure or any form of tracking the performance of implementing the strategy. This is to see whether the implemented strategy is giving the output that it is supposed to deliver. Moreover, it is only encouraging students to take part in self-defense programs offered on campus. I believe it should be mandatory for students to take basic training programs for the self-defense. It is quite likely that several students would not want to join but by involving them in the process of constructing the course the program can be more inclusive and productive in the interest of all. This is the first time for me to learn how to develop a strategic plan. The entire process from the beginning to the end has been very helpful and educating for me. The key lessons I learned from this process is how to incorporate the vision and a mission in a plan. I have realized that developing a

Managing fo results Essay Example | Topics and Well Written Essays - 2500 words

Managing fo results - Essay Example The research revealed the existence of several cultures and subcultures in Widney Cabs Ltd that matched the theoretical models developed by both Schein in the three level of classification i.e. Assumptions, Values and Artefacts and Denison’s classification that outlines four attributes namely: Involvement, Consistency, Adaptability and Mission. This study will evaluate and assess the different aspects of organizational culture that exist in Widney Cabs Ltd. The study examines these culture(s) and sub cultures in light of the relationship with models or classification from academic literature, existing knowledge and theories on organizational culture. Jacques (1951) defines organizational culture as the customary or traditional ways of thinking and doing things common to most members of an organization. There exists a significant level of formal knowledge on the subject of culture(s) and sub-cultures that exist in organizations and their effects on the organizational behaviour. Founders and leaders of organizations create these cultures, which are then developed and sustained by people. Organization’s executives generate and impart the organizations ideals. They also promote the core values that convey inclination to certain behaviors or effects. Norms on the other hand express acceptable ways of achieving set goals. Studies have shown that the development of organizational culture requires interaction within the membership. (Louis, Posner, and Powell 1983). According to Schein (1985), there are three levels of culture,the basic being Assumptions that form the foundation of culture. These assumptions are unconscious beliefs, thoughts, perceptions, and feelings. Next to these are the espoused values that consist of goals, philosophies. Lastly are the artefacts, which are physical manifestations, which may not be obvious to a lay observer of organizational

Internet and Social Networking Privacy Essay Example | Topics and Well Written Essays - 250 words - 1

Internet and Social Networking Privacy - Essay Example use privacy settings, social networks have agreed not to reveal any personal details with a third party unless the user provides consent, which authorizes the use of the information in question (Barras 1). On the other hand, the social network community have become private-sensitive to the extent of ensuring that they always use their privacy settings. In other cases, social sites ensure the utilization of private settings by providing default private settings for users (Hawkins 1). The social sites have also message alerts, which are sent to the user any time the private settings are changed to public settings (Hawkins 1). Teenage users should be cautious and choose the social networks, which have registered with independent privacy firms that guarantee the privacy of their personal details, and do not have any privacy flows. Social networking sites give priority to their users while overlooking on third parties. It is in this case that the social networking sites will strive to maintain the privacy of their users. Social sites will block any third party who wishes to access user’s private information. In essence, Teenage users should be cautious and choose the social networks, which have registered with independent privacy firms that guarantee the privacy of their personal information, and do not have any privacy

Organizational Strategy of Apple Essay Example | Topics and Well Written Essays - 3500 words

Organizational Strategy of Apple - Essay Example According to the research findings, Apple represents one of the most successful technology companies in the world today since its launch in 1976 as a personal computer manufacturer. The organization which in 1997 was on the brink of bankruptcy has been able to transform and record profits in the following years due to the production of leading computer software and personal computers that are based on high standards of innovation, prestige, and quality. The cusses of Apple depends on the production of highly innovative hardware and software which have over the years established the company as the leader in an industry where every organization strives to gain a share of the market that readily embraces new technology. Due to the customer loyalty that Apple has been able to establish over the years, therefore, driving sales, the company has featured in several occasions as the first among Fortune magazine’s World’s Most Admired Companies with latest financial results for second quarter ended March 29, 2014 indicating $45.6 billion in revenues and $10.2 billion quarterly net profits. The following sections present an analytical business report focused on different levels of organizational behavior and human resource. The multinational focuses on designing, developing, manufacturing and selling computer-based communication electronics, personal computers, and computer software. The market leader in Apple hardware was the Mac personal computers, but the company soon diversified into the world’s first media player device, iPod, a pioneering smartphone, iPhone and leafing tablet computers, the iPad. In addition, Apple introduced software such as operating systems like iOS and OS X, iTunes, the Safari browser in addition to productivity and creativity suites such as iWork and iLife. The history of Apple marks a dynamic transformation from a personal computer manufacturer to a leading manufacturer of consumer electronics, operating software and cons umer software.

Managing fo results Essay Example | Topics and Well Written Essays - 2500 words

Managing fo results - Essay Example The research revealed the existence of several cultures and subcultures in Widney Cabs Ltd that matched the theoretical models developed by both Schein in the three level of classification i.e. Assumptions, Values and Artefacts and Denison’s classification that outlines four attributes namely: Involvement, Consistency, Adaptability and Mission. This study will evaluate and assess the different aspects of organizational culture that exist in Widney Cabs Ltd. The study examines these culture(s) and sub cultures in light of the relationship with models or classification from academic literature, existing knowledge and theories on organizational culture. Jacques (1951) defines organizational culture as the customary or traditional ways of thinking and doing things common to most members of an organization. There exists a significant level of formal knowledge on the subject of culture(s) and sub-cultures that exist in organizations and their effects on the organizational behaviour. Founders and leaders of organizations create these cultures, which are then developed and sustained by people. Organization’s executives generate and impart the organizations ideals. They also promote the core values that convey inclination to certain behaviors or effects. Norms on the other hand express acceptable ways of achieving set goals. Studies have shown that the development of organizational culture requires interaction within the membership. (Louis, Posner, and Powell 1983). According to Schein (1985), there are three levels of culture,the basic being Assumptions that form the foundation of culture. These assumptions are unconscious beliefs, thoughts, perceptions, and feelings. Next to these are the espoused values that consist of goals, philosophies. Lastly are the artefacts, which are physical manifestations, which may not be obvious to a lay observer of organizational

Organizational Strategy of Apple Essay Example | Topics and Well Written Essays - 3500 words

Organizational Strategy of Apple - Essay Example According to the research findings, Apple represents one of the most successful technology companies in the world today since its launch in 1976 as a personal computer manufacturer. The organization which in 1997 was on the brink of bankruptcy has been able to transform and record profits in the following years due to the production of leading computer software and personal computers that are based on high standards of innovation, prestige, and quality. The cusses of Apple depends on the production of highly innovative hardware and software which have over the years established the company as the leader in an industry where every organization strives to gain a share of the market that readily embraces new technology. Due to the customer loyalty that Apple has been able to establish over the years, therefore, driving sales, the company has featured in several occasions as the first among Fortune magazine’s World’s Most Admired Companies with latest financial results for second quarter ended March 29, 2014 indicating $45.6 billion in revenues and $10.2 billion quarterly net profits. The following sections present an analytical business report focused on different levels of organizational behavior and human resource. The multinational focuses on designing, developing, manufacturing and selling computer-based communication electronics, personal computers, and computer software. The market leader in Apple hardware was the Mac personal computers, but the company soon diversified into the world’s first media player device, iPod, a pioneering smartphone, iPhone and leafing tablet computers, the iPad. In addition, Apple introduced software such as operating systems like iOS and OS X, iTunes, the Safari browser in addition to productivity and creativity suites such as iWork and iLife. The history of Apple marks a dynamic transformation from a personal computer manufacturer to a leading manufacturer of consumer electronics, operating software and cons umer software.

Stress and Burnout Essay Example for Free

Stress and Burnout Essay Burnout: A Challenge to the Human Services Roxanne Arballo BSHS 461 University of Phoenix Those who work in the Human Services field and nonprofit areas are highly vulnerable to burn out. 2010 provides larger numbers of clientele, forced human service personnel overtime work hours, on-call after hours, and other schedule and work imbalances. World population numbers are escalating as the budget for the health services is on a continual decline. Causes of burnout for the human services rofessional may be individual, cultural, organizational, supervisory, or from lack of social support. According to Johnson and Stone (1987), burnout refers to a state of physical, emotional, and mental exhaustion resulting from involvement with people in emotionally demanding situations. Three major factors of burnout (Maslach, Jackson, Letter, 1996) are emotional exhaustion, a feeling of low personal accomplishment with clients, and a sense of depersonalization (a dehumanizing, uncaring attitude toward clients). According to Maslach Letter, burnout is the egree of dislocation between what people are and what they have to do. Effects of burnout might appear in the form of exhaustion, detatchment, and feelings of ineffectiveness. These results might be from the gradual process of loss during which the mismatch between the needs of the person and the demands of the Job grows ever greater. Maslach and Leiter (1997) have summarized these causes into the categories of work overload, a lack of control, insufficient rewards (from money to joy), a breakdown in community, the absence of fa irness (trust, openness, and espect), and conflicting values. Previously labeled causes of burnout included types of organization, supervision, social support, and culture. More recently, Maslach and Leiter (1997) summarized these causes into the categories of work overload, lack of control, insufficient rewards (from money to Joy), breakdown in community, the absence of fairness (trust, openness, and respect), and conflicting values. To prevent these various stages of burnout, included are individual, Job role, and organizational methods. Some clients might be violent and Jeopardize the professionals safety. Demands for a workers time might prevent taking meal or rest breaks. Steps must be taken to protect them, to the degree possible, from some of the work-related stress that can lead to burnout. Cherniss (1980) suggests that a number of positive steps can be taken to lessen organizational stress and prevent burnout. These include a change in the way Jobs are structured. Flextime, part-time work, Job sharing, new program development, and new career options might help modify the routine patterns of the human service professional and lessen likelihood of burnout. In eference to the organization, members who share a sense of excitement, strong purpose, clear goals and objectives help create preventative measures for burnout. ensure that workers are doing meaningful work (Cherniss, 1995). Also monitored are overload with impossible demands and a feeling of decision-making autonomy appropriate for human service professionals. Support, information, and some degree of structure might be needed along with feedback and an understanding of their own importance as role models. A number of factors can stand in the way of good job performance and cause well-earned productivity to decline. These can include job-related stress and personal concerns. When it becomes a concern of the organization, it affects on-the-Job behavior. Employee assistance programs (EAPs) for workers experiencing such problems (Van Den Bergh, 1995) have been developed to include services like counseling and referrals as well as crisis management services. These programs enhance employee wellbeing, offer supervisor training, and create employee problem-solving task forces that are part of the EAPs used by an increasing number of organizations. One method l, as a student and human services worker, se to reduce personal and work-related stress is to spend at least 10 minutes alone each day. Whether I spend this time at home, the library, or driving in the car, this alone time seems to put me in a better mood. I find that regular exercise is another way to reduce stress and prevent burnout. I notice that the less I exercise, the higher my stress level is. I try to get outside, thank my Higher Power for everything including the hardships that might be potential for burnout, and share the success in these measures of prevention. Due to personal changes in my life, I am taking on new esponsibilities and find it hard to adjust to these added tasks in my daily routine. Therefore I am working to decrease stress and possible burnout through a growing passion and thanks for my family, future career, and faith. My belief that personal struggles are ways to learn and be a power source for other human services students and professionals are certain preventative measures I do and will continue to take against the threat of burnout. References Cherniss, C. (1980). Professional burnout in human service organizations. New York: Praeger. Cherniss, C. (1995). Beyond burnout. New York: Routledge. Johnson, M. , Stone, G. L. (1987).

Great Gatsby And Death Of A Salesman English Literature Essay

Great Gatsby And Death Of A Salesman English Literature Essay Marxism is an ideology that was theorised by Karl Marx that is based on the social and economic processes of class formation in a capitalist society. According to Marx there are two classes namely the bourgeoisie and proletariat. The bourgeoisie or ruling class own and control the means of production. They monopolise the political power and put laws in place in order to protect and further their interests. In this way the beliefs and values will reflect and legitimate their rule. Whereas, the proletariat or working class are dispossessed from making their own livelihood, but are forced to sell their labour for survival. If the dominant classs power is accepted as legitimate by the working class, this is known as false consciousness (Longurst, Smith, Bagnall, Crawford Ogborn, 2008). This ideology became the basis of analysing literature, known as Marxist criticism. Marxist critics approach to literature is based on sociological influences, which means that the texts are the result of whichever historical, economic as well as cultural circumstances they were created in. Texts from whichever epoch reveal the dominate classs ideology, thus making them subjective. (Potter, 2010) The Great Gatsby is a novel written by Scott Fitzgerald in 1925. The novel focuses on the lives of the dominant class of a western capitalistic society and how they are shaped by this lifestyle. On the other hand, Death of a Salesman was written by Arthur Miller in 1949. The novel focuses on the life of a family of proletariats and how they are impacted by the bourgeoisies in society. The Great Gatsby does not focus on both economic classes. Instead it focuses on different groups of the dominant class, namely old money and the nouveau riche and as a result this novel reflects the dominant ideology. Although the working class is mentioned, they are ignored for the most part. Old money is represented by East Egg, West Egg represents the nouveau riche and the working class is represented by the Valley of Ashes. The protagonist, Jay Gatsby, is part of the nouveau riche who lives in West Egg. Jay Gatsby moves from being the son of shiftless and unsuccessful farm people (1994 p.105) to becoming the owner of a huge West Egg mansion with a marble swimming pool and over forty acres of lawn and garden (1994 p.11), this shows the possibilities offered by the American dream. Gatsby earns his money through illegal means, which places him in the new money category, and as a result he flaunts by throwing extravagant parties and buying expensive cars. Another reason Gatsby flaunts is to get the attention and win the affection of Daisy, thus treating her as a commodity (Tyson, 2006). Old money, on the other hand, has had money for generations, so they do not flaunt. Old money, people like Tom and Daisy, look down on the nouveau riche, because they got rich quick and, because they are threatening the status quo. Myrtle and George Wilson are working class characters but they have aspirations to move to the upper class. George wants to achieve this through his business. Whereas, Myrtle has an affair with Tom in the hopes that he will eventually marrying her. Both the Wilsons are commodified by the bourgeoisie and disillusioned by the American dream. Myrtles murder is a perfect example of how the bourgeoisie do not suffer the consequences of their actions, because they have money, à ¢Ã¢â€š ¬Ã‚ ¦they smashed up things and creatures and then retreated back into their money or their vast carelessnessà ¢Ã¢â€š ¬Ã‚ ¦ and let other people clean up the mess they made (1994 p.186). One person attends Gatsbys funeral, demonstrating that his attainment of the American dream was only an illusion. Death of a Salesman is also a text that reflects the dominant ideology, but in this case the play is written from the point of view of the working class. Although the dominant class has an effect on the main characters they are largely ignored in the play. Willy Loman, the protagonist, is a worn out travelling salesman on the point of a breakdown. But Willy still believes in the capitalist values and has passed on the hopes of success onto his son Biff. Disillusioned by the dominant ideology, Willy is blind to its destructiveness and is fixated with his plans for Biff. Biff, however, has no intentions in following the plans his father has set out for him and intends to pursue a different path, one that Miller associates with socialist society. His lack of drive to follow conventional success is teaching him, not that he is useless, and but that the business world might not be for him and that he is better off without it. He is trying to understand himself and discover his true identi ty. In the beginning of the play, he was not sure of himself and as a result returned home in an attempt to fulfil his fathers dream. Happy, Willy other son, has a good job and would like to go further. He also has uncertainties about his career but has no way to replace it. (Swets Zeitlinger, 1994) The scene in which Howard, Willys young boss, fires Willy is a perfect example of the logic of the capitalist economic instrument. Willy, in an attempt to avoid failure, appeals to Howards conscience, reminding him the he has been a loyal and long term worker for the company, but to no avail. Although Howard is Willys friend and neighbour, he is a business man and abides by the law of profit making first, business is business (2000 p.63), which is absolute in the capitalist business world. Willy refuses a job offer by Charley because he feels its charity and would destroy his image of himself as a self-reliant individual. Willy failure and Biff similar fate makes Willy reject his son. This shows how capitalist value can distort and destroy a meaningful relationship between father and son. (Swets Zeitlinger, 1994) Willy decides to commit suicide in the hopes that his life insurance payment will enable Biff to rise in the world. But, Biff becomes the only one in the play to understand the destructive nature of capitalist values and pities his father, exclaiming: I cant bear to look at his face! (2000 p.115) Both texts show how in a capitalist society money gives power and those who have money control the power of society. As well as in western capitalist society the upper will inevitably oppress the working class and that the American dream is both an illusion and elusive. This essay has discussed how the two texts differ socioeconomically, using a Marxist criticism approach. Specific reference has been made to Marxism and how it relates to Marxist criticism, the context of both texts by focusing on the time periods as well as how the characters lived. This essay has also looked at the socioeconomic context of The Great Gatsby and Death of a Salesman.