The United States Political Parties - 849 Words

Elmer Eric Schattschneider said (1995) â€Å"political parties created democracy, and . . . democracy is unthinkable save in terms of parties†(pg.3). A political party is a group of voters organized to support certain public policies(Dictionary.com). The aim of a political party is to elect officials who will try to carry out the party s policies. The United States political parties are what many would claim to be the center of the nation s political system, and among the many that believe that would be our founding fathers whom started the United States political parties. During the establishment of the Constitution of the United States the Framers, also known as our founding fathers, tried to remain exempt from any and all political parties due to prior knowledge of outcomes of political parties in Europe. George Washington, the first president of the united states, was so against the forming of political parties that he warned the founding fathers of the risk in his farewell address stating â€Å"Let me now take a more comprehensive view, and warn you in the most solemn manner against the baneful effects of the spirit of party.† Despite the Framers eschew from political parties, the constant battle of the ratification of the Constitution started separating the newly found government, thus creating the first political parties in the United States known as the Federalist, and the anti-Federalist . Despite the two parties lacking stability and organization they had a base of whatShow MoreRelatedThe Political Parties Of The United States1183 Word s   |  5 Pages There are two major political parties in the United States, the Democrats and the Republicans. The Democratic symbol is a donkey they got this from the colonial times when andrew jackson kept being called a donkey so he started to use it, and we have used it ever since. The republicans got their symbol from Nast. Nast invented a famous symbol the Republican elephant. In a cartoon that Nast that had ran in Harper s Weekly in the year 1874, Nast drew a donkey clothed in lion s skin, scaring awayRead MoreThe Political Parties Of The United States Essay1304 Words   |  6 PagesMany people, including the United States, thinks the US is the greatest democracy; but many other countries question whether they are or not because the US democracy only tolerates two political parties. In the 2014 presidential election, there were 52 political parties that ran during the election. Some examples of the main stream parties were the Libertarians, Green, Constitution, and Ref orm Parties (Tormsen, 2015). 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As a result, there is no representation for any other political party as long as the DemocratsRead MoreEssay on Political Parties in the United States797 Words   |  4 PagesPolitical Parties in the United States There are numerous political parties in the United States and they all have no strict requirements for membership. That means whatever group you want to belong to you can. There are also no membership lists that are maintained. Some of the ways to determine party affiliation comes from voting surveys and public opinion polls. The majority of voters in America consider themselves to be Democrats. Party identification does not mean that who is youRead More Political Parties in the United States Essay2450 Words   |  10 PagesPolitical Parties in the United States When the founders of the American republic wrote the U.S. Constitution in 1787, they did not envision a role for political parties in the governmental order. Indeed, they sought through various constitutional arrangements such as separation of powers, checks and balances, and indirect election of the president by an electoral college to insulate the new republic from political parties and factions. In spite of the founders intentions, the United StatesRead MoreCreation Of The United States And Political Parties2153 Words   |  9 PagesAn Age to Reflect: Creation of The United States and Political Parties Jonah Grier History 100 3/24/16 American history is filled with ups and downs. Starting out with only 13 colonies, America forcibly removed themselves from the one of the strongest empires in the world. Battling against political reform, the subtraction of resources from the motherland, the debt accrued by colonists, and the bank wars, America struggles to create a self-sustaining country. Forced Founders: Indians, DebtorsRead MorePolitical Parties Of The United States : The Democratic And Republic Parties915 Words   |  4 Pages There are two main political parties that dominate politics in the in the United States: The Democratic and Republic Parties. It turns out that these two political parties are opposed to each other on a wide range of issues that affect American public life. Unfortunately, many Americans are unaware of these differences between the two parties and tend to vote their officials into office in an uneducated manner. This often results in the political gridlock that often characterize government businessRead MoreWhy The United States Needs Political Parties3191 Words   |  13 PagesLanguage and Composition February 23rd, 2015 Why the United States Needs to Add More Political Parties American politics have been divided for years by two political parties, the Democrats and the Republicans. These two parties are the two major parties in America and they are the ones that run the American government and decide what is best for the citizens of the United States. On the surface it seems like a great idea to have two parties that each have different views and can represent both

Apple Inc. An American Multinational Organization Essay

Table of Content 1. Introduction 2. Pestel Analysis 2.1 Political 2.2 Economical 2.3 Social 2.4 Technological 2.5 Environment 2.6 Legal 3. Porter s Five Forces 3.1 Threats Of New Entrants 3.2 Threats Of Substitute Or Service 3.3 Bargaining Powers Of Customers 3.4 Bargaining Powers Of Suppliers 3.5 Intensity Of Competitive Rivalry 4. Recommendation 5. Conclusion 1. Introduction Apple Inc is an American multinational organization located in the middle of the Silicon Valley, California. It is focused on designing and developing the personal computers, related software products, and electronic products such as MP3 players and iPods. Apple Inc’s main products are iMac, iPod, iPhone and iPad. Apple Inc was founded in 1976 by Steve Jobs, Steve Wozniak and Ronald Wayne. Steve Jobs resigned as the Chief Executive Officer (CEO) of Apple and was replaced by Tim Cook who was the Chief Operating Officer (COO) before he was named CEO. Apple has approximately 92,600 full-time equivalent employees and an additional 4,400 full-time equivalent temporary employees and contractors. 2. Pestel Analysis 2.1 Political Apple is one of the technology companies in America that have accumulated a large amount of cash reserves, having a $34.7 billion in the bank on June, 2015. This could generate calls for higher corporate tax in the United States, where income inequality has become a major political issue. Apple is heavily dependent on lower cost manufacturing in China. Social and politicalShow MoreRelatedApple Inc. : An American Multinational Organization Essay1763 Words   |  8 PagesApple Inc. is an American multinational organization located in 1 infinite loop, Cupertino, California 95014, in the middle of the Silicon Valley Apple was founded by Steven Jobs and Steven Wozniak. They both were high school friends, interested in electronics, and both ended up dropping out of school and getting jobs in companies in Silicon Valley, Steven Wozniak in Hewlett-Packard and Jobs in Atari. They designed a motherboard which would become the Apple-I. Both the friends tried to sell the machineRead MoreApple s Inc. : An American Multinational Innovation Organization Headquartered Essay926 Words   |  4 PagesApple’s Inc. is an American multinational innovation organization headquartered in Cupertino, California, that plans, creates, and offers customer hardware, PC programming, and online administrations. Its equipment items incorporate the iPhone cell phone, the iPad tablet PC, the Macintosh PC, the iPod versatile media player, and the Mac Watch smartwatch. Apple’s customer programming incorporate the OS X and iOS working frameworks, the iTunes media player, the Safari web program, and the iLife andRead MoreComparing Structure And Culture Of The Same Industry Essay1202 Words   |  5 Pagesprefer to work for? The two firms being compared were google and apple, both firms dominate the intersection of technology and consumer access. In addition they both compete across a huge range of sub-industries such as computing software, hardware, operating systems, applications and web browsing amongst others. However each firm takes a different approach from an organizational perspective. GOOGLE Google Inc. is an American multinational technology company specializing in internet related servicesRead MoreApple Organizational Analysis1013 Words   |  5 Pagesï » ¿APPLE INC. Introduction Apple Inc. is an American multinational corporation headquartered in California. It designs, develops and sells consumer electronics, computer software and personal computers. The company was founded on April 1, 1976 by Steve Jobs, Steve Wozniak and Ronald Wayne. Strategy Apple’s strategy has always revolved around innovation and creating a high-performance culture, through which it achieves and sustains its competitive advantage. MISSION STATEMENT â€Å"Apple isRead MoreThe Social Responsibility Of Apple Inc.1687 Words   |  7 PagesCompany of Choice: Apple Inc. The Social Responsibility of Apple Inc. By definition, social responsibility is known as the ethical framework and provides suggestions that an organization or an individuals, feels obliged to act so that the benefit is felt across the organization. It is that duty that every individual has of performing so as to ensure proper maintenance of balancing amid the economy and the organizational ecosystems. 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BELARDOStudent no.: 10 -11077Submitted to: Professor MedinaDate: December 14, 2012 | | TABLE OF CONTENTSINTRODUCTION†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦3BODY/ RESEARCH†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦...6REFERENCES†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦...10 | | INTRODUCTION Apple Inc. Is an American multinational electronics and software company established by Steven Jobs and Stephen Wozniak on April 1, 1976, in Cupertino, California. Apple Inc. Has become

Investment Analysis and Portfolio System †MyAssignmenthelp.com

Question: Discuss about the Investment Analysis and Portfolio System. Answer: Introduction: From the valuation of Bloomberg's Market index evaluator, it could be understood that SP ASX 200 is currently in an uptrend, where it has provided a 15.07% return on 52 weeks basis. In addition, ASX has also provided a 3.96% change from here to date. This positive depiction of index value mainly indicates the willingness of investors to utilise and improve the overall portfolio for generating higher income from investment. Furthermore, the 52-week high of ASX was at 5950.10 while 52-week low is at 5051.00. This only indicates that ASX is touching new highs everyday, which might help in improving investors return from investment (Bloomberg.com 2017). The current pricing of AGL Energy Limited is at 27.70 whereas its 52-week high is at 28.47, which depicts that the company is attaining higher value each day. However, the 52-week low of the company was at 16.50 with a YTD change of 25.4%. The company's current PE ratio is under 51.03 with high volume growth the companies over share price as relevantly increased from 2016 and 5-year net growth of 6.17% could be detected from the evaluation. Furthermore, the company's beta as compared to index is actually at 0.74, which depicts ability to reduce the overall risk from investment. Thus, the companys return depicts an effective investment opportunity, which could be used by investors to increase the return from investment (Bloomberg.com 2017). The current pricing of BHP Billiton is at 24.31 with a 52 week high is at 27.95, which depicts that the company is attaining higher value each day. The company's current PE ratio is under 39.36, with high volume growth the companies over share price has relevantly increased from 2016 and 5 year net growth has declined by -6.99% from the evaluation. The 52-week low of the company was at 17.29 with a YTD change of -2.99%. Furthermore, the company's beta as compared to the index is actually at 1.57, which depicts ability to increase overall risk of investment. Thus, investment in the company could be avoided due to low return and increased risk provided by the company (Bloomberg.com 2017). CBA AT Equity - Commonwealth Bank of Australia: The 52-week low of the company was at 69.22 with YTD change of 4.66%. The company's current PE ratio is under 15.57, with high volume growth the companies over share price has relevantly increased from 2016 and 5 year net growth has moved up by 5.4% from the evaluation. The current pricing of Commonwealth Bank of Australia is at 86.25 with a 52 week high is at 86.68, which depicts that the company making higher highs. Furthermore, the company's beta as compared to the index is actually at 1.13, which depicts ability to increase overall risk of investment. Thus, investment in the company is viable, as it provides higher return with adequate risk associated with investment (Bloomberg.com 2017). The company's current PE ratio is under 33.33, with high volume growth the companies over share price has relevantly increased from 2016 and 5 year net growth has moved up by 16.71% from the evaluation. The current pricing of CSL Ltd is at 127.98 with a 52-week high of 129.70 and 52-week low of 91.62 with a YTD change of 27.46%. Furthermore, the company's beta as compared to the index is actually at 0.70, which depicts ability to increase overall risk of investment. Thus, investment in the company is viable, as it provides higher return with adequate risk associated with investment (Bloomberg.com 2017). The Fortescue Metals Group Ltd current PE ratio is under 6.86, with a 5-year net growth has of 31.95% from the evaluation. The current pricing of the company is at 5.50 with a 52-week high of 7.27 and 52-week low of 2.81 with a YTD change of -6.62%. Furthermore, the company's beta as compared to the index is actually at 1.61, which depicts ability to increase overall risk of investment. There is no investment opportunity, which could be provided to the investor, as beta is high and return is negative (Bloomberg.com 2017). The Transurban Group current PE ratio is under 190.44, with a 5 year net growth has of 11.35% from the evaluation. The current pricing of the company is at 11.97 with a 52-week high of 12.655 and 52-week low of 9.45 with a YTD change of 15.99%. Furthermore, the company's beta as compared to the index is actually at 0.56. After seeing the overall investment opportunity, it is advisable to use the stock in the portfolio (Bloomberg.com 2017). The current pricing of Telstra Corp Ltd is at 4.16, whereas its 52-week high is at 5.86 and 52-week low at 4.15 with a YTD change of -18.43%. The company's current PE ratio is under 14.56 with high volume growth the companies over share price as relevantly increased from 2016 and 5-year net growth of 2.06% could be detected from the evaluation. Furthermore, the company's beta as compared to index is actually at 0.69, which depicts ability to reduce the overall risk from investment. Thus, after seeing the overall return from the company, it is not advisable for investors to use it for investment (Bloomberg.com 2017). The current PE ratio of Westfield Corp is under 10.73 with high volume growth the companies over share price as relevantly increased from 2016 and 5 year net growth of -7.54% could be detected from the evaluation. The current pricing of Westfield Corp is at 9.32, whereas its 52-week high is at 11.14 and 52-week low at 8.21 with a YTD change of -0.64%. Furthermore, the company's beta as compared to index is actually at 0.71, which depicts ability to reduce the overall risk from investment. Thus, it is not advisable for investors to use it for investment, as return from the company is relatively low (Bloomberg.com 2017). The current pricing of Woolworths Ltd is at 26.47, whereas its 52-week high is at 26.98 and 52-week low at 20.30 with YTD changes of 9.83%. The current PE ratio of Woolworths Ltd is under 18.57 with high volume growth the companies over share price as relevantly increased from 2016 and 5 year net growth of -11.58% could be detected from the evaluation. Furthermore, the company's beta as compared to index is actually at 1.02, which depicts ability to reduce the overall risk from investment. Thus, it is not advisable for investors to use it for investment, as return from the company is relatively low (Bloomberg.com 2017). WPL AT Equity - Woodside Petroleum Ltd: The current PE ratio of Woodside Petroleum Ltd is under 24.16 with high volume growth the companies over share price as relevantly increased from 2016 and 5-year net growth of 1.14% could be detected from the evaluation. The current pricing of Woodside Petroleum Ltd is at 33.15, whereas its 52-week high is at 33.97 and 52-week low at 24.98 with a YTD change of 6.39%. Furthermore, the company's beta as compared to index is actually at 1.11, which depicts ability to reduce the overall risk from investment. The overall return from the company is adequate and it is advisable for investors to use it for investment (Bloomberg.com 2017). The overall correlation of all the stocks with the market index is relatively positive and above 0.40, which indicates that the companies used in the portfolio are compliant with the returns of the index. Moreover, the positive correlation also indicates that an increment in the overall market value could also help in increasing return on investment.DeFusco et al. (2015) stated that correlation allows investors to detect the overall relation between two stocks, which could be used in hedging process.The correlation table is mainly depicted in appendix 1 where is states all the positive values into related with different stock this indicates that portfolio is created with stocks that provide a positive correlation with each other. This could eventually help in gaining adequate profits from the momentum and reduce any kind of risk from investment. Saunders and Cornett (2014) argued that the use of hedging process allows investors to nullify the losses, which commence from the volatile capital market. Thus, it could be understood that the portfolio used in the assignment has a positive correlation with the index. According to appendix 2, the overall equally weighted portfolio has been created, which depicts the return that is provided from investment in the 10 stocks. Relative return of 59.89% could be identified from the portfolio if equal weights are being distributed among the ten stocks. However, the standard deviation is relatively higher and portfolio beta is near to 0.97. This mainly depicts that with adequate returns is relatively lower than the risk from investment is relatively higher. Any negative movement in the capital market could lead to decline in its return from investment, as it is not adequately hedged. The portfolio has a Sharpe ratio is equal to 2.47 where is Treynor ratio only provide a 0.59 valuation. Kevin (2015) stated that portfolio creation mainly allows investors to reduce the overall risk from investment and increase capacity to generate continuous revenue from investment. Damodaran (2016) argued that without adequate research, creation of portfolio could lead to high-end losses accumulated by the investor where its investment capital could be at high risk. From the overall evaluation of appendix 2, return generated from the portfolio is adequate, where it provides a nominal in return from investment for 5 years. However, the risk involved within the overall portfolio is higher and close to 1, which indicates higher risk involved in the investment. Relative improvement in the portfolio could be made with adequate research, as it could help in improving return from investment and secure the investment capital (Spronk, Steuer and Zopounidis 2016). Commenting on the performance of the portfolios using different performance measures: According to the appendix 3, the overall efficient portfolios have been created, which starts the return from 1%, 2%, 3%, 4%, 5%, 6%, 7%, 8%, 9%, 10%, 11%, 12%, 13%, 14%, 15%, 16%, 17%, 18%, 20% and 25%. The relative risk and weight of the portfolio for all the returns mentioned in appendix 3, which helps in depicting price action or price movement of the stocks involved in the portfolio. There are relatively different risks, which are involved for the different returns needed from the portfolio.These different returns mainly comprise of different kind of risk associated with investment, which could help in identifying the minimum portfolio variance weight. This detection of minimum portfolio variance could eventually help in improving the return and reduce any kind of risk involved in the investment.Furthermore, the appendix 3 also identifies the relative calculations, which is needed for deriving the overall portfolio weights that provides targeted returns. Aouni, Colapinto and La Torre (2014) mentioned that use of adequate portfolio, which allows investors to minimise the risk from investment could hamper its overall capital.On the other hand, Altuntas and Dereli (2015) criticizes that focusing on minimum variance portfolio could not allow the investors to obtain higher return, where it could increase the invested capital exponentially. However, convergence related to the portfolio was not detected while conducting the calculations, as overall return is effectively achieved. The overall appendix 3 mainly depicts all the relative weights, risk and returns associated with investment.This evaluation of the appendix could eventually help in detecting the adequate portfolio, which is needed for the investment. As mentioned in the appendix 3 the return of 1% mainly provided a risk of around 18.57%, whereas increment in return led to decline in risk. The return of 11% merely portrayed risk of 11.48%, this depicted that higher return mainly allowed investors to reduce its overall risk from investment. However, after the 12% return portfolio, the other portfolios created only increase the risk from investment. Whereas, a return of 13% portrayed a risk of 11.46% and return of 20% portrayed a risk of 13.38%. This only indicates that after the 12% the risk and return it increased exponentially. However, before the 12% the risk was declining while the return increased. This phenomenon only occurs when a portfolio is being created which constitutes of different stocks with varying risk and return. The combination of the overall portfolios mainly depicts list of weights, which could be used by investors according to their investment capacity. Rutkauskas, Stasytyte and Borisova (2015) mentioned that use of adequate investment portfolio allows investors to gain continuous returns even if the market is not providing adequate returns.The construction of portfolio is the main attribute, which allows investors to increase the return and reduce the overall risk from investment. The created portfolios in appendix 3 could be evaluated with the help of Sharpe ratio, Treynor ratio, Portfolio beta, risk and return. This could eventually help in detecting the viability of the portfolio. The return of 1% has a negative Sharpe ratio of -0.083 and Treynor ratio of -0.014 with a beta of 1.136. However, Sharpe ratio, Treynor ratio, Portfolio beta, risks and return is mainly seen increasing from the rising returns of different portfolio. In addition, the return of 25% mainly provides a Sharpe ratio of 1.240 and Tenyor ratio of 0.325 with a beta of 0.692. This only indicates that with rising return the overall beta also decreases and increment in both Sharpe and treynor ratio could be seen (Brook and Pagnanelli 2014). Thus, it could be understood that the overall return from investment is relatively increasing with a decline in the overall risk involved in investment.This could only indicate that use of adequate portfolio has improved the return generation capacity of t he investors. Furthermore, the conversion of adequate portfolio could eventually help in improving the return and reducing any kind of risk, which is associated with the investment (Lappe and Spang 2014). Thus, from the overall evaluation it could be understood that use of adequate portfolio creation could eventually help in protecting the maximum return generation with the minimum risk-portraying portfolio. This could eventually help in minimising any kind of impact from the external risk involved in portfolio creation. Guerard, Markowitz and Xu (2015) stated that the use of adequate investment portfolio could eventually help investors obtain target returns from investment and reduced negative impact from volatile capital market. Commenting on the general global minimum variance portfolio and efficient frontier: From appendix 4, the overall Global minimum variance portfolio could be identified, which help in reducing risk from investment and create an effective return.The minimum risk portfolio mainly provides a return of 12% from investment, whereas the risk is relatively lower as compared to other portfolios (Szego 2014).In addition, the minimum support for the point of efficient frontier, which depicts the highest return to the least risk associated with investment. Furthermore, the creation of minimum portfolio variance could eventually help in depicting the portfolio returns, which is at 82.28%. This return is relatively higher than the previous equal weighted portfolio returns. This only indicates that with the use of aggregate portfolio creation system and effective portfolio could be created, which might help in reducing risk and increasing profits from investment.The portfolio beta is at 0.713, which is relatively lower than the equally weighted portfolio. Both Sharpe ratio Treynor ratios are relatively higher than the equal weighted portfolio (Mahakud and Mishra 2014). The portfolio contribute funds to all the 9 stocks leaving out FMG at equity, as it portrays the highest risk involved in an investment.Portfolio adequately rejects the high-risk stocks and only accommodates stocks, which have lower risk involved in the investment. This only indicates that the portfolio creation is adequate and contributes the minimum risk involved in investment. Kaiser, Arbi and Ahlemann (2015) stated that use of optimal portfolio allows investors to omit stocks, which have higher risk involved in comparison to its return. Reference and Bibliography: Altuntas, S. and Dereli, T., 2015. A novel approach based on DEMATEL method and patent citation analysis for prioritizing a portfolio of investment projects.Expert systems with Applications,42(3), pp.1003-1012. Aouni, B., Colapinto, C. and La Torre, D., 2014. Financial portfolio management through the goal programming model: Current state-of-the-art.European Journal of Operational Research,234(2), pp.536-545. Ballestero, E., Pla-Santamaria, D., Garcia-Bernabeu, A. and Hilario, A., 2015. Portfolio Selection by Compromise Programming. InSocially Responsible Investment(pp. 177-196). Springer International Publishing. Bloomberg.com. (2017).Bloomberg - Asia Edition. [online] Available at: https://www.bloomberg.com/asia [Accessed 14 May 2017]. Brook, J.W. and Pagnanelli, F., 2014. Integrating sustainability into innovation project portfolio managementA strategic perspective.Journal of Engineering and Technology Management,34, pp.46-62. Damodaran, A., 2016.Damodaran on valuation: security analysis for investment and corporate finance(Vol. 324). John Wiley Sons. DeFusco, R.A., McLeavey, D.W., Pinto, J.E., Runkle, D.E. and Anson, M.J., 2015.Quantitative investment analysis. John Wiley Sons. Guerard, J.B., Markowitz, H. and Xu, G., 2015. Earnings forecasting in a global stock selection model and efficient portfolio construction and management.International Journal of Forecasting,31(2), pp.550-560. Jagric, T., Podobnik, B., Strasek, S. and Jagric, V., 2015. Risk-adjusted performance of mutual funds: some tests.South-eastern Europe journal of Economics,5(2). Kaiser, M.G., El Arbi, F. and Ahlemann, F., 2015. Successful project portfolio management beyond project selection techniques: Understanding the role of structural alignment.International Journal of Project Management,33(1), pp.126-139. Kevin, S., 2015.Security analysis and portfolio management. PHI Learning Pvt. Ltd.. Klingebiel, R. and Rammer, C., 2014. Resource allocation strategy for innovation portfolio management.Strategic Management Journal,35(2), pp.246-268. Kolm, P.N., Ttnc, R. and Fabozzi, F.J., 2014. 60 Years of portfolio optimization: Practical challenges and current trends.European Journal of Operational Research,234(2), pp.356-371. Lappe, M. and Spang, K., 2014. Investments in project management are profitable: A case study-based analysis of the relationship between the costs and benefits of project management.International Journal of Project Management,32(4), pp.603-612. Mahakud, J. and Mishra, C.S., 2014. Security Analysis and Portfolio Management. Najeeb, S.F., Bacha, O. and Masih, M., 2015. Does heterogeneity in investment horizons affect portfolio diversification? Some insights using M-GARCH-DCC and wavelet correlation analysis.Emerging Markets Finance and Trade,51(1), pp.188-208. Rutkauskas, A.V., Stasytyte, V. and Borisova, J., 2015. ADEQUATE PORTFOLIO AS A CONCEPTUAL MODEL OF INVESTMENT PROFITABILITY, RISK AND RELIABILITY ADJUSTMENT TO INVESTOR S INTERESTS.Economics and Management, (14), pp.1170-1174. Saunders, A. and Cornett, M.M., 2014.Financial institutions management. McGraw-Hill Education,. Spronk, J., Steuer, R.E. and Zopounidis, C., 2016. Multicriteria decision aid/analysis in finance. InMultiple Criteria Decision Analysis(pp. 1011-1065). Springer New York. Szeg, G.P., 2014.Portfolio theory: with application to bank asset management. Academic Press.

Zynga’s Revenue Recognition Dilemma Essay Example

Zynga’s Revenue Recognition Dilemma Essay http://accrualperspective. wordpress. com/2012/10/10/zyngas-revenue-recognition-dilemma/ Zynga’s Revenue Recognition Dilemma Leave a reply Zynga’s Revenue Recognition Dilemma Zynga has been the focus of a highly disputed topic on bookings and revenues as of late. Unfortunately for the online gaming company, many accountants and financial analysts are not in Zynga’s favor on the way that the company has been recognizing revenues. To put the company in perspective, there are 26 million digital farmers via the vastly rampant FarmVille application run by Zynga. In the popular game, Facebook users build farms to produce crops and create the kind of productivity that they desire. This creates the need for virtual, heavy equipment, such as tractors, seeders and harvesters, all which can be bought with FarmVille Currency. Zynga makes money by allowing users to hurry the process by converting real dollars from their credit cards into the virtual currency necessary to get the equipment they need to get the job done. Like FarmVille, Zynga has users across a variety of applications such as CityVille, Words with Friends, and Mafia Wars, all of which using the same models. We will write a custom essay sample on Zynga’s Revenue Recognition Dilemma specifically for you for only $16.38 $13.9/page Order now We will write a custom essay sample on Zynga’s Revenue Recognition Dilemma specifically for you FOR ONLY $16.38 $13.9/page Hire Writer We will write a custom essay sample on Zynga’s Revenue Recognition Dilemma specifically for you FOR ONLY $16.38 $13.9/page Hire Writer This type of unique revenue however provokes a unique question; that is, how is Zynga supposed to report revenues from these products that they’ve offered? According to the company’s 10-k report, it’s policies on reporting states that: * â€Å"For the sale of consumable virtual goods, we recognize revenue as the goods are consumed† * â€Å"We recognize revenue from the sale of durable virtual goods ratably over the estimated average playing period of paying players for the applicable game, which represents our best estimate of the average life of our durable virtual goods† And perhaps the most important: â€Å"If we do not have the ability to differentiate revenue attributable to durable virtual goods from consumable virtual goods for a specific game, we recognize revenue from the sale of durable and consumable virtual goods for that game ratably over the estimated average period that paying players typically play our games† This type of fina ncial reporting is simply too confusing and leaves the door open for too much alteration within the reports. Also, this type of unpredictable reporting technique allows the company to skew bottom-line profits and maneuver their earnings to reflect an untrue valuation of the company’s worth. These types of manipulations are especially alarming to users of the financials who are looking to invest in a company that appears to be growing, when in reality it is altering production numbers with every consecutive quarter. In regards to the revenue recognition dispute, the way their accountants estimate average periods that paying players actually play the Zynga games must be validated. In a recent article by Bloomberg’s Cory Johnson, he notes that Zynga has made changes to these estimates five of the last six quarters. These changes made drastically effect the net profits that Zynga is reporting to the public. By taking the estimate and distorting it, they are able to report profits when indeed there are none. It is curious that the auditor assigned to Zynga, Ernst Young, has allowed this method of accounting to be implemented when clearly it is affecting the bottom line. It is also curious that EY is also the auditor for the Zynga’s distributor, Facebook whose Zynga profits have accounted for roughly 12% of its revenue. This â€Å"independence† (or lack there of) calls into question the true authenticity behind these reporting standards and what they mean to the accounting profession as well as financial statement users world-wide. At any rate, this is a topic that needs to be brought to light, discussed and ruled upon. Zynga cannot merely go on reporting as they wish to provoke the appearance of a success while the true profits and losses go unnoticed. http://blogs. smeal. psu. edu/grumpyoldaccountants/archives/746#more-746 http://articles. businessinsider. com/2011-10-12/research/30269486_1_zynga-virtual-goods-bookings http://www. forbes. com/sites/francinemckenna/2012/04/23/how-zynga-facebook-and-groupons-go-to-auditor-rewrites-accounting-rules/