Investments & Returns Essay Example | Topics and Well Written Essays - 1000 words

Investments & Returns - Essay Example Systematic risk, in finance, also known as non-controllable or non-diversifiable risk is the uncertainty in financial returns caused by factors that are beyond the control of an entity. These factors are macro-economic in nature. This type of risk cannot be managed by the organizations. They are the interest rate risk, the inflationary risk, the exchange risk and the market risk. The interest rate risk is caused by the movements in the cost of debt, thereby causing a decline or an increase in the interest payment on debt finance. An increase in the interest rate is unfavourable to the borrowers who will dig deeper into their pockets in order to meet the cost of debt. On the other hand, an increase in the interest rate is favourable to the lender due to an increase in the return. The opposite of the statement is true (Akrani, 2012). The inflationary risk is caused by a future increase or decrease in the commodity prices due to a deficit or a surplus in the supply level. An increase in the inflation reduces the real value of the local currency while a decrease in the inflation increases the real value of the local currency. A decline in the value of the local currency reduces the value of organizations, whereas, an increase in the value of the local currency increases the value of organizations. The exchange rate risk is caused by the volatility of the exchange rate. The exchange rate is the price of a local currency against that of the foreign currency. Companies that have subsidiaries in the internal market lose/gain when converting foreign currency to local currency when the exchange rate decreases/increases (Akrani, 2012). A decrease in the exchange rate means that less local currency is given up for the foreign the foreign currency. On the other hand, an increase in the exchange rate means that more local currency is given up for the foreign currency. The market risk is caused by the rise and fall in the prices of shares and other securities in the

Critical evaluation of Maths remaining as part of the curriculum Essay

Critical evaluation of Maths remaining as part of the curriculum - Essay Example Teaching and learning mathematics dates back to the third century BC making mathematics an ancient subject (Martin, 2006). Pioneers of modern mathematics include Euclid, and Pythagoras. Presumably, the age of mathematics as a subject has rendered it irrelevant in the modern world evoking the debate on whether mathematics should remain part of the school curriculum. However most teachers particularly mathematics teachers believe that mathematics should remain as part of the school curriculum. This report present a critical analysis of responses received from both teachers and students with the aim of drawing a conclusion on the issue. Majority of the teachers confirmed that mathematics is the only subject that train students how to make logical decisions on an issue. Unlike other subject, mathematical knowledge is based on fundamental theorems and principle. In addition, mathematics is the only well defined subject or the only subject that avoids contradictions. This indicates that ma thematics endows learners with fundamental skills that cannot be obtained from another subject taught in the school curriculum. According to Martin (2006), mathematics is the only universal subject and the only subject that has remained relevant over the years. ... It has been established that most subjects teach students how to memorize or remember (Martin, 2006). This aspect makes mathematics a sufficient prerequisite to nearly all subjects taught in the school curriculum. Most science and engineering subjects such as chemistry, engineering, physics, and architecture use mathematics to proof and illustrate theoretical concepts. Discovery of abstract branches of mathematics such as algebra, topology, and analysis has also been instrumental in the evolution of computer science and information technology. Thus, nearly all subjects taught in the modern school curriculum depend on mathematics as their main language of illustration. From responses received, it is evident that teachers support the issue of maintaining mathematics in the school curriculum. It is also evident that mathematics is applicable in humanities and social sciences. In particular, mathematical techniques are applied in humanities and social sciences to establish social trends and to quantify key social quantities such as population. Therefore, mathematics cannot be eliminated from the school curriculum. The interactive nature of mathematics is the main factor that makes most students to shy away from the subject. Unlike other subjects taught in the school curriculum, mathematics requires active participation of students. This compels the students to participate in classroom activities such as class discussion and completing assignments. Thus, mathematics exams not only examine a student’s ability to remember theoretical content but their level of participation in the school activities. Evidently, the level of a student’s participation in mathematics also measures their