Causes And Consequences Of Poverty Essay - 945 Words

A) Diversity of the causes of poverty in three different countries. â€Å"The causes of poverty include changing trends in a country s economy, lack of education, high divorce rate which causes feminization of poverty, having a culture of poverty, overpopulation, epidemic diseases such as AIDS and malaria, and environmental problems such as lack of rainfall†. (White, Killick Kayizzi, 2001) Almost half of the world over 3 billion people live on less than $2.50 a day. It is said that â€Å"a country is poor because it is poor.† Low level of sparing diminishes the degree for investment; low level of investment yields low salary and subsequently the circle of poverty goes on uncertainly. There are five main causes of poverty in the world. †¢ History: Many of the poorest nations in the world still suffering former colonies, slave-exporting areas and territories from using of resources. †¢ War and political stability: Under this causes war and political upheaval, it is clear that safety, stability and security are necessary for the life. †¢ National debt: Many poor countries carry significant debt loads due to loans from wealthier nations. Poorer nations pay an average of $2.30 in debt service for every $1 received in grant aid. †¢ Discrimination and social inequality: Poverty and inequality are two distinct things, however so does imbalance can fuel broad destitution, by disallowing the gatherings with lower economic wellbeing have admittance toShow MoreRelatedPoverty : Causes And Consequences Of Poverty1484 Words   |  6 PagesGREGORY CAN275NBB (CURRENT CANADIAN ISSUES) TITLE: POVERTY IN CANADA DUE APRIL 12, 2017  SECTION A: Cause and Consequences of Poverty: a) Cause of Poverty: When a country is facing a change in its’ trends such as economy, inadequate education, high rate of divorce, overpopulation, epidemic and spreading diseases such as AIDS, climate and environmental issues such as insufficient rainfall, it could be a potential victim of poverty someday. Poverty is becoming so broad across Canada and approximatelyRead MoreCauses And Consequences Of Poverty1452 Words   |  6 PagesCauses of Poverty There are multiple factors that poverty is related to such as having poor health, being involved in crime, and not being able to work (â€Å"Poverty in America,† 2007). Having one or all three of these poverty-causing factors has a snow-ball effect on individuals. Such factors limit the amount of job opportunities an individual may have, which in turn causes them to be stuck initially with low-come. If opportunities worsen, individuals may fall into poverty. â€Å"In the US, poverty ratesRead MoreCauses And Consequences Of Poverty1756 Words   |  8 Pageswondered what it would be like to not know where your next meal is coming from or where you’re sleeping at that night? Many people are not aware of how poverty hits them or the effects. Poverty has many causes, types and effects on different people. Although no one understands why, there are different causes and reasons as to why people are in poverty. Poverty is the state or condition of having little or no money or means of support also known as the condition of being poor (Harper). Discrimination- withoutRead MoreCauses And Consequences Of Poverty1349 Words   |  6 PagesCauses of Poverty Poverty is always a topic of debate. Do you believe that people are born, inherited, forced, or choose to live in poverty? I have heard that people make wrong choices in life and end up living a life in poverty. I heard that people inherit debt from other family members to help out, but end up losing it all themselves and I heard people blame the government for not helping those in need. There’s many excuses and people to blame for the failures of such a large issue. The questionRead MorePoverty in Pakistan: Causes and Consequences1610 Words   |  6 PagesPoverty, a multidimensional global phenomenon, as defined by World Bank is an income level below some minimum threshold deemed necessary to achieve basic needs. This minimum level is usually called the â€Å"poverty line†. The things required to satisfy basic needs are highly time and society dependent. Therefore, poverty lines vary from country to country as each country defines and sets the poverty line limit acco rding to its own level of development, societal norms and values. But the contents of theRead MoreHunger, Poverty And Economic Development929 Words   |  4 PagesHunger and Poverty â€Å"We think sometimes that poverty is only being hungry, naked and homeless. The poverty of being unwanted, unloved and uncared for is the greatest poverty. We must start in our own homes to remedy this kind of poverty†--Mother Teresa. This quote speaks deeply to those who are suffering from hunger due to the fact of the country being in poverty. What actually causes hunger? Most of us assume that it would be the countries poverty level, well most of us would be right, but thenRead MoreArgumentative Response to â€Å"the Singer Solution to World Poverty†682 Words   |  3 PagesSinger’s article â€Å"The Singer Solution to World Poverty,† Singer suggests that Americans should donate all of the money they are spending on luxuries, not necessities, to the world’s poor. His argument seems simple and straight forward, but there are several unanswered questions. What is the cause of world poverty? What would this do to the American economy? America’s economy must be a priority to Americans when it comes to solving the issues of world poverty. Utilitarian philosophers, like Peter SingerRead MorePoverty As A Social Problem1739 Words   |  7 Pages Poverty as a Social Problem Magdalena Brania Mrs. Kropf May 27, 2015 Poverty is inscribed in the history of the world, but it is not inherent fate of every human being. It is also not related to the human nature, which does not mean that it can not be due to its nature. All communities experience it, with a greater or lesser extent way causing psychological and sociological conflicts. Society who have to deal with poverty is not only from undeveloped countries, but also developedRead MorePoverty Can Be Defined As The State Of Being Poor1493 Words   |  6 PagesAngel Rosales Professor Nkosi Sociology 2 December 2015 Poverty in America Poverty can be defined as the state of being poor which refers to the deprivation or insufficiency of basic needs which include food, water, shelter, clothing, and education. In America, poverty affects millions of people with a poverty rate of almost 15%. Poverty is an important social problem to address because it affects everyone in a society either directly or indirectly. Those that are affected directly are about 47Read MorePoverty and Classism752 Words   |  4 Pagescapacity for every year that 14.5 American children continue to live in poverty (Koppelman and Goodhart, 2007). Sadly the seriousness of poverty is still often clouded by myths and misunderstandings by society at large. This essay studies the issue of poverty and classism in todays society. Causes of Poverty One of the main causes of poverty is the lack of education. The U.S. education system denies students in poverty the opportunities and access it affords to most other students. Without

Higher Federal Requirements For The Minimum Wage Essay

The push for higher federal requirements for the minimum wage in the United States, as a means of combatting income inequality, have remained a highly debated topic of discussion over the course of many years in the United States. On one side of this debate you have more progressive economists who believe that if minimum wage is increased the standards of living for many minimum wage employees will be improved, thus spurring economic prosperity for this class of workers and helping to bridge the gap in income inequality. On the other side of the spectrum you have more conservative economists who believe that with an increase in minimum wage there is also an increase in the number of unemployed workers along with a plethora of other downsides due. There is also economic findings that verify the belief that minimum wage laws also discriminate against unskilled workers in favor of skilled workers, and the most serious amount of discrimination takes place among minority communities. It w ould certainly eliminate jobs. By demanding that business pay workers more, it will in turn force them to hire less workers in order to keep up with their new payroll costs which in turn would further the migration of jobs from humans towards automation. In theory the minimum wage hike would definitely benefit workers who would receive that wage, but for those workers who are fired and would become unemployed due to the wage hike, it aches their economic shortcomings evermore. Increasing minimumShow MoreRelatedState and Federal Systems of Government Essay1705 Words   |  7 PagesState and Federal Systems of Government MGT434 May 29, 2006 State and Federal Systems of Government Labor and employment laws define US workers rights and protect s employees from employers retaliation for exercising our rights under the laws or reporting violations to the proper authorities. As Bennett and Hartman explain, these laws Â…seek to make the power relationship between employer and employee one that is fair and equitable (Employment Law for Business, pg. 88). Employers haveRead MoreThe Minimum Wage Policy During The United States1714 Words   |  7 Pagesincrease the federal minimum wage. Headlines throughout the country highlight recent minimum wage policy changes in major cities such as Los Angeles and Seattle. Last month, Governor Andrew Cuomo of New York announced an approved minimum wage increase to $15 an hour for all fast food workers in the state (McGeehan). Even the website for the White House has a separate page, â€Å"Raise the Wage,† advocating for Congress to increase the federal minimum wage to $10.10 an hour (Raise the Wage). The mostRead MoreT he Minimum Wage Debate1637 Words   |  7 PagesThe minimum wage debate brings about a range of reactions from different people. There are those who believe that there shouldn’t even be a minimum wage and that wages should be determined by the markets. On the other hand, we have those who vigorously argue for increasing the wage minimum citing inflation, the poverty line and worker productivity. Regardless, we do have a federal minimum wage rate in the United States at $7.25 per hour, with some states having a higher minimum wage than the federalRead MoreU.s. Federal Minimum Wage Essay1162 Words   |  5 PagesThe current U.S. Federal Minimum Wage is $7.25 per hour. In just two years from 2013, the demanded from advocates for raising minimum wage rose from $9 to $15. However, raising the minimum wage is more complex than simply raising the number of federal standard of pay for employees. Relative control groups and other market activities play a part in the outcome of the m inimum wage. For example, one instance of market activity was observers said that raising the minimum wage did not hurt individuals;Read MorePolitical Involvement os Power of the Public1456 Words   |  6 Pagesto that distress (Kraft and Furlong, 2013). There are currently nineteen states that offer a higher minimum wage than the federal mandate. Thirteen states raised their minimum wage levels on January 1, 2014, increasing the purchasing power of the lowest paid workers in each respective state, some of the increases were under fifteen cents (United States Department of Labor). It is projected that minimum wage increases will drive consumer spending; and that can encourage job growth which will promoteRead MoreThe Effects Of Minimum Wage On The Society1207 Words   |  5 Pages Minimum wage is the topic I chose because there has been a controversy regarding raising minimum wage and the impact of minimum wage to the society. Whether it would aid workers or not. There have been arguments of laypersons of increasing minimum wage to a very high level and there are arguments against it. History behind minimum wage The Ordinance of Labourers (1349) is the forerunner to the minimum wage. The Ordinance was a ruling by King Edward III who established a maximum wage for laborersRead MoreMinimum Wage And Its Effect On The United States871 Words   |  4 PagesHouse Bill 230, or the most recent bill introduced in North Carolina to increase minimum wage, was introduced by the House of Representatives on March 12, 2015. After the first version of the Bill was introduced, it was revised once. The bill was introduced because the goal of the state is to provide a minimum wage that allows for a decent and healthy life for its citizens. As the value of the American dollar continues to change, so does the average cost of living. The primary sponsors of the BillRead MoreThe Minimum Wage Should Be A Basic Right For Worker914 Words   |  4 Pagespurpose of minimum wage was to keep America’s workers out of poverty. I selected this topic because minimum wage applies to everyone entering the work force. This topic resonate with me because am about to start working and I would like to know is I can support myself financially, with only one job. I wanted to know if living wage should be a basic right for worker, should we raise the minimum wage and how does changing the minimum wage affect the economy. Increasing the minimum wage will help minoritiesRead MoreThe Case Of Martinez V. Reemployment Assistance969 Words   |  4 Pagesaccording the the Fair Labor Standards Act by paying lower than minimum wage. Martinez had voluntarily quit his employment due to not being compensated property, however was denied based on the technical factor of voluntary quit. During appeal and investigation, the discovery and confirmation of lack of compensation resulted in Martinez having good cause for quitting his job. His previous employer was ordered to pay back wages. Martinez then challenged the denial of his reemployment compensationRead MoreEmployment Law Essay1220 Words   |  5 Pagesbefore expanding to the state of Arizona. These are laws regarding required postings, minimum wage, overtime, meals and breaks, vacation leave, sick leave, holiday leave, voting leave, severance pay, and record keeping. These laws will be provided along with possible penalties for non-compliance and recommendations on how to approach these laws as they apply to Clapton Commercial Construction. Both the federal government and Arizona state government require you to post certain posters in viewable

Chemical Aspects of Life Paper Free Essays

Chemical Aspects of life HYPOTHESIS in this section i will be discussing my thoughts of the chemical aspects of life. Explaining what my hypotheses are, for what chemicals are in which substances and what affects the reagents will have on them. Protein testing will be performed on 2 substances,egg albumin and gelatin using Biuret’s solution. We will write a custom essay sample on Chemical Aspects of Life Paper or any similar topic only for you Order Now If biuret’s solution is added to egg albumin then the egg albumin will change colors. If biuret’s solution is added to gelatin then there will be only the color of the biuret’s solution in there. When testing for lipids using the grease spot test three substances will be left to dry on a brown paper bag square lipids will appear in the form of a stain on the paper bag. If oil is left to dry on a paper bag then very evident stain will appear. If milk is left to dry on a paper bag then a residue will be left on top of the bag. When testing for lipids Using Sudan IV an oil and water test will be conducted, and an milk and water test will be done. If oil and water are tested using sudan IV then the oil will mix with the sudan IV. If milk and water are tested using Sudan IV then the Sudan Iv will not mix with either. When testing for carbohydrates benedict’s solution will be used and Hcl will be used as an additive to alter results. If benedict’s is added to glucose then the solution will change color. If benedict’s solution is added to sucrose then the solution will change color. If benedict’s solution is added to sucrose and Hcl there will be a more drastic color change. If benedict’s solution is added to milk then there will be a slight color change. If benedict’s solution is added to Hcl and milk there will be a drastic color change. If benedict’s solution is added to starch then there will be a color change. If benedict’s solution is added to starch and Hcl then there will be a more drastic color change. When testing for carbohydrates using iodine a porcelain spot plate will be used to better see color changes. If iodine is added to a starch solution then it will change color. If iodine is added to water then the iodine will become dilute. PROCEDURE Procedure: You will be testing for the presence of the following subtances: proteins, lipids, and carbohydrates. The carbohydrates will include monocaccharides (glucose), disaccharides (sucrose), and polysaccharides (starch). Protein test Background: Proteins give color reactions with certain reagents. The compounds that give rise to these colors are formed not by the whole protein molecule but by certain amino acids present in the protein. Biuret solution will be used for the test. Biuret solution is a blue solution that turns a violet color in the presence of proteins this color change occurs when the Biurets reacts with the amino groups found in the amino acids that are the building blocks of proteins. add 3ml of dilute egg albumin solution to a test tube. Add biuret’s solutiong drop by drop. Stop if a violet color is obtained. Do not continue until a blue color occurs repeat the test with gelatin. Record your results. Lipid test Background: Lipids are insoluble in water but are soluble in fat solvents such as ether, acetone, and carbon tetrachloride. The simplest lipids are composed of carbon, hydrogen and oxygen. Lipids will remain on a brown paper bag after the water in the solution has evaporated, this will make the bag somewhat transparent. Secondly, a dye test will be done. In this test, dark red sudan IV will be used. Sudan IV is not soluble in water, but is soluble in lipids. You will be observing the distribution of dye in this test. Procedure: with a medicine dropper, add a drop of salad oil to the corner of a brown paper bag. To the opposite corner, add a drop of water. To one more corner, add a drop of milk. Let the fluids evaporate and then examine each spot by holding the paper to the light look for areas of transperency. Record your results Procedure: Add 3ml of water to a test tube. Add 1ml of oil to the same test tube. DO NOT SHAKE. Now add 2 drops of sudan IV. AGAIN, DO NOT SHAKE. Observe the distribution of the dye with respect to the water and oil. Record your results. Repeat this test using milk instead of oil. Record your results. CARBOHYDRATE TESTS: Background: sugar starch and cellulose are common examples of carbohydrates. Carbohydrates are made up of the base elements c, h, and o in a 1:2:1 ratio. The simplest carbohydrates are monosaccharides (simple sugars such as glucose). Monosaccharides have just one carbon ring and are the building blocks of larger sugar molecules. Disaccharides, like sucrose, have two carbon rings. They are formed when two monosaccharides join together. Examples include: Maltose (glucose + glucose); Lactose (glucose + galactose); and sucrose (glucose + fructose). Polysaccharides have three or more carbon rings. Starch is an example of a polysaccharide. Procedure: put 3ml of benedict’s solution in a test tube. Add 2ml of 5% glucose solution. Carefully place the tube in a boiling water bath for 2 minutes. Remove the tube amd allow it to cool. Record the color reoeat the test with 3ml of benedict’s solution and 2ml of 5% sucrose solution. Again, place the tube in the boiling water bath for 2 minutes, remove and cool. Record the color put 2ml of the 5% sucrose solution to a test tube. This time add several drops of hydrochloric acid. Place the tube in the boiling water bath for 2 minutes. Remove and immediately add 3ml of benedict’s solution return it to the water bath for an addition 2 minutes. Remove and record the color put 3ml of benedict’s solution in a test tube. Add 2ml of milk. Again, place this into the boiling water bath for 2 minutes, remove and cool. Record the color. Again put 2ml of milk to a test tube. This time add several drops of hydrochloric acid. Place the tube in the boiling water bath for 2 minutes. Remove and immediately add 3ml of benedict’s solution. Return it to the water bath for an additional 2 minutes. Remove and record the color. Put 3ml of benedicts solution in a test tube. Add 2ml of starch solution. Place the tube once again into the boiling water bath for 2 minutes, remove and cool. Record the color. Again, put 2ml of starch into a test tube. This time add several drops of hydrochloric acid. Place the tube in the boiling water bath for 2 minutes. Remove and immediately add 3ml of benedicts solution return it to the water bath for an additional 2 minutes. Remove and record the color. Starch test: if a poly saccharide such as starch is present in a solution and iodine is added, the iodine ion will lodge itself in the polysaccharide chain and give it black-blue color. If iodine is added to a solution turn black-blue then starch is present. If the solution remains the color of iodine, reddish-orange, there is no starch present. Procedure: place a few drops of the starch solution into one well of a porcelain spot plate. Place a few drops of water into another well of the same plate. Add several drops of the iodine solution to both wells. Record the color of each. DATA When testing protein, the egg albumin solution turned dark violet when biuret solution was added, biuret’s solution was concentrated at the bottom. When testing gelatin for protein biuret’s solution turned the solution dark violet, with biuret’s solution concentrated at the bottom, and faded to completely clear. 5 drops and 4 drops were added to each test respectively. When performing the lipid test, a drop of oil left a large dark stain, water didn’t not leave a stain yet it left the paper warped, and milk left a faint stain and a glossy residue on top. When testing for lipids with sudan IV the oil stayed on top of the water and the sudan IV distributed evenly throughout the oil. When milk was tested, water mixed evenly with the milk, but the sudan IV only mixed into the very top portion of the mixture. When testing carbohydrates the 5% glucose solution changed to a cloudy red color. The 5% sucrose solution did not change color at all, and the sucrose Hcl changed to a greenish brown color. When milk was tested the solution changed to a yellow green color, it also looked chunky. When milk and hcl was tested it changed to a cloudy blue with chunks of white on top. he starch solution did not change color when the benedict’s solution was added, and Hcl did not alter the results in the next test. ANALYSIS AND CONCLUSIONS throughout the chemical aspects of life lab i have learned a variety of things including testing methods, what reagents are, and some general information about HCL and the contents of various substances. When test ing proteins i have discovered the both egg albumin and gelatin both contain protein. During testing for lipids, i’ve learned that milk contains lipids, although a faint amount there are some present. Oil and Milk both contain lipids. Oil as expected, and milk as expected. When testing For lipids using Sudan IV the oil sat ontop of the water and the sudan IV only mixed with it, but surprises came in the next test when water and milk mixed evenly, but Sudan IV only stayed to the top portion of the mixture. Testing for reducing sugars has led me to believe the HCL breaks down sugars to a simpler form, as it altered results for sucrose and milk. Glucose was already a reducing sugar as i found out after testing and sucrose was not, but after adding HCL to sucrose, the results dramatically changed so much so as from going to light blue in the first test to greenish brown in the second sucrose test. Milk seemed to have traces of reducing sugars but results were unclear, so HCL was added and the solution went from chunky yellow in the first milk test, to a chunky cloudy blue in the second test. Starch was found without any reducing sugars, if HCL was present or not. The solution was opaque blue because of benedict’s solution. While testing carbohydrates with test tubes and fancy heating and a bunch of chemicals is fun and all, it can just as simply be done with iodine using a porcelain spot plate. Iodine turns a dark color when in the presence of carbohydrates such as it did when in a starch solution and it was good old diluted brown-orange in water. MATERIALS Dilute egg albumin solution gelatin distilled water whole milk oil 5% sucrose 5% glucose starch solution glass stirrers biuret solution sudan IV benedict’s solution hydrochloric acid iodine pan of soapy water test tube clamps test tube brushes paper towels test tubes medicine droppers porcelain spot plate safety goggles test tube racks graduated cylnders beakers hot plate brown paper bag squares How to cite Chemical Aspects of Life Paper, Essay examples

Empirical Science Of Financial Fluctuation â€Myassignmenthelp.Com

Question: Discuss About The Empirical Science Of Financial Fluctuation? Answer: Introduction: The main purpose of this report is to analyse the financial performance of Caltex and BHP Billiton Petroleum which are considered as major petroleum companies across Australia. In order to analyse the financial performance, top down analysis and bottom up analysis has been performed in this report. The company analysis, industry analysis and economical analysis are vital aspects for the top down analysis which has been used in this report. The entire analysis is based on the key statistics of petroleum industry across Australia. Further, different financial ratios have been analysed for both companies on basis of 2017 data during the bottom up analysis. The different ratios like profitability, capital structure, and market performance as well as efficiency ratios have been analysed in order to compare the financial performance of two companies in this report. Industry Profile: The petroleum industry is selected for this report in order to analyse the financial performance of two companies named Caltex Australia and BHP Billiton Petroleum. Petroleum remained major energy source for Australia in 2016 followed by cola and natural gas. The production of petroleum products in Australia has been significantly increased from 2000 (APPEA, 2016). The amount of exploration has been the key factor for growth of petroleum industry in Australia. The depression within the prices of crude oil is significantly affecting activities of petroleum exploration which has also reduced overall revenues of companies due to lower expenditure on exploration. (Source: APPEA, 2016) The different amount of petroleum or its related products have been imported and exported by Australia from past several years. But due to reduction of oil production at domestic level, the country is mainly indulged in import activities. The industry is very significant for the economical conditions of Australia and provides several opportunities for petroleum companies to invest in the region (Petty et al, 2015). Australia has rich sedimentary basins, free marketing policies; competitive taxation system, closer proximity to Asia-pacific market and several are other benefits which can be provided by this industry to different companies across the globe as well as domestic level. Caltex Australia: Caltex Australia is one of the major petroleum companies listed in Australian Stock Exchange (ASX) which has equal ownership shared between Australian Shareholders and Chevron. The company was started in 1936 and was renamed as Caltex in 1968. The company is performing its business operations in above 60 countries across the globe including Southern Africa, Middle East as well as Asia-Pacific region. The main mission of the company is to be leading oil refining company mostly admired for companys performance, partnership and people (Caltex, 2017). The company is also focussed to maintain its sustained profitability with leadership in supply chain, asset and brand management by developing more opportunities under favourable business environment. The company has generated about 17,619M AUD in 2016 and has also witnessed great increase in its earnings per share which was good sign for the company in terms of its financial stability and overall profitability. BHP Billiton Petroleum: BHP Billiton Petroleum is a major Australian multinational company listed in ASE which is petroleum, metals and mining company headquartered at Melbourne in Australia. The company was established in 1885 and considered as biggest mining company of the world in terms of market values in 2016 and also fourth biggest company of Australia in terms of its overall revenues and market capitalisation. The main mission of the company is to enhance value of company by focusing on key areas including cost efficiencies, latent capacity, exploration, major projects, technology as well as onshore activities (BHP, 2017). The main organizational strategy of company to operate and own large, low cost, long life, upstream and expandable assets diversified with market, geography and commodity. The company has generated 30,912M AUD revenues in 2016 which are less as compared with past years due to variations in the prices of crude oil across the international market. The company has also witnessed reduc tion in its earnings per share which is also not good for its financial performance and may affect its economical stability in coming years. Top Down analysis: Top down analysis is significant approach for analysing the industrial and economical factors which can help organizations for their investment objectives. The specific industries are analysed using this approach that surely helps the organizations for better return on investments (Renz, 2016). The various factors can be used for analysing the true economical conditions including interest rates, exchange rates, GDP rates, productivity or energy prices for better investment strategy for the organizations like Caltex Australia and BHP Billiton Petroleum. Current GDP: From the economical data, it has been analysed that GDP of Australia was expanded about 1.8% in the last quarter of 2017. The GDP was about 2.7% in the 2015. From that, it analysed that GDP has been expanded about 1.1% which is a good sign for economical and business conditions (Brigham, 2014). As the value of GDP has been increased for the country, it will certainly enhance economical activities and will create more business opportunities for companies like Caltex Australia and BHP Billiton Petroleum. The increase in GDP of Australia is beneficial for the Companies as there is an increase in the economic activity of the country. Current rate of Interest: Interest rate plays very significant role for economical stability and enables the government to form effective monetary policies in order to enhance economical developments. The interest rate of Australia was 1.5% and 2% in years 2016 and 2016 respectively. It is analysed that reduction in interest rates will surely affect Australian currency as its value has been lowered that will create more exploration opportunities for petroleum companies (Finkler et al, 2016). The variations in economical conditions will affect interest rates and petroleum companies can take benefits of lower rates and can take more loans in order to enhance business operations. This will enable companies to purchase more drilling equipments or tools for petroleum exploration and provide several economical benefits to companies. $AUDs Current Value: From the economical statistics, the current value for one AUD is almost equal to 0.79 US Dollar. This indicates that value of US dollar is significantly high as compared with Australian Dollar. The fluctuation in value of currency will always affect petroleum industry or companies in a huge manner (Gitman et al, 2015). The price changes of crude oil at international market is also affecting overall economical conditions of petroleum companies but at the same time, is also creating more opportunities for companies in Australian market. The reduction of exchange rates is also one of factors which are affecting economical stability of petroleum companies. Current rate of Inflation: Inflation rate is also significant in analysing the economical conditions of country as due to this value of currency decreases whereas, rise in the prices for goods or services. The rate of inflation has been increased in past few months by 1.3% in last quarter of 2017 for Australia (McKinney, 2015). This is low as compared with the past inflation rates in 2015 and 2016 which were about 1.8% and 1.6% respectively. The petroleum companies like Caltex, BHP Billiton Petroleum can take benefits from these lower rates and can create more business expansion opportunities for them. It is also analysed that reduced inflation rates will also help to reduce the rate of interest rates that will create more exploration or business opportunities for petroleum companies like Caltex Australia and BHP Billiton Petroleum. There is direct impact of interest rates on the inflation and can also affect borrowing costs for long term or short term debts of the companies (Bryce, 2017). Increase in rates of interest will make companies to consider mortgages or loans accomplishing their financial needs and at the same time will also affect supply or demand for the petroleum products or services of the companies. Personal income for Disposable: The personal income disposed by the individuals remained after payment of all taxes is also one of the key indicators to measure the economical conditions for business. The present income for disposable in Australia has been increased by 123.09% from 122.52% for years 2015 to 2016. The changes have been also witnessed in income level which is about 0.46% in the present scenario which is a huge difference as compared with 1.03% in the last financial year (Armour et al, 2016). The increase in value of personal income is a good sign for the trades across the region and will create more business opportunities for petroleum companies. It is also analysed that income level of individual across Australia has been raised in significantly in past years which has encouraged petroleum companies to leverage more financial aspects for their exploration and mining activities and also enables them to create more employment opportunities in the petroleum industry (Schiavo-Campo, 2017). This will also provide skilled workforce for petroleum companies to handle their complex business operations like exploration and mining activities and at the same time, also help to expand overall business operations of Caltex Australia and BHP Billiton Petroleum within Australian region. Bottom Up analysis: Bottom up analysis is a significant approach for analysing the investment prospects for the macroeconomic business conditions of the organizations. This approach also enables investor to effectively analyse the financial performance of specific companies instead of overall industry or economy and gives them in-depth information in order to accomplish their investment objectives in more efficient manner (Campbel et al, 2016). The different financial ratios have been analysed for comparing the financial position of Caltex Australia and BHP Billiton Petroleum. (Source: Morning Star, 2017) Profitability Ratio: Overall efficiency of the companies is generally measured by the profitability ratio. Net income, operating income and operating margins are important aspects to analyse this ratio. Operating margins enable the companies to transform their sales into overall revenues. This is important criteria to evaluate performance of business operations of companies and main indicator for different creditors or investors (Henderson et al, 2015). Operating margin for Caltex is 3.5% and for BHP Billiton Petroleum is 20.2% in 2017 which indicates that BHP Billiton Petroleum has generated more revenues in 2016 and performed far better than Caltex. Operating income helps to evaluate overall profits for the companies. Operating income for Caltex is 620M AUD and for BHP Billiton Petroleum is 6,852M AUD in 2017 which indicates that BHP Billiton Petroleum was more able of payment for its debts and also gained more profits as compared to Caltex (Sweeting, 2017). Net income is also called by net profits and defines the financial stability of the companies. Net income for Caltex is 610M AUD and for BHP Billiton Petroleum is 2,488M AUD in 2017 which indicates BHP Billiton Petroleum has higher profitability ratio and has more stable financial position and performance as compared to Caltex. Efficiency Ratio: The effective use of companys assets or liabilities can be measured by the efficiency ratio. Fixed asset turnover and asset turnover ratio are important aspects of efficiency ratios. The investment returns obtained by companies is determined with help of fixed assets turnover (Burton and Brown, 2014). This ratio for Caltex is 6.66 and for BHP Billiton Petroleum is 0.41 in 2017 which indicates that BHP Billiton Petroleum is not able to effectively uses its assets as compared to Caltex which is not a positive sign for BHP Billiton Petroleum for its financial market. The amount of revenues generated from companys assets is effectively determined from asset turnover ratio. Asset turnover ratio for Caltex is 3.39 and for BHP Billiton Petroleum is 0.29 in 2017 which indicates that BHP Billiton Petroleum has lower turnover ratio for its assets that also represents that business operations of BHP Billiton Petroleum is less efficient as compared to Caltex on basis of different efficiency ratios (Weygandt et al, 2015). Capital Structure: The ratio which enables the companies to determine financial leverage for their investment and also defines financial position of companies in case investment is not done in appropriate manner is called as capital structure. Debt / equity ratio and gearing ratio are important aspects to analyse the capital structure for the companies (DRURY, 2013). Debt / equity ratio for Caltex is 0.25 and for BHP Billiton Petroleum is 0.54 in 2017 which indicate that Caltex is in better financial position for equity dependency of its shareholders as compared to BHP Billiton Petroleum. The financial leverages for the companies are determined from the gearing ratios. This also helps to determine amount of finance done by the companies on their overall assets. Gearing ratio for Caltex is 1.90 and for BHP Billiton Petroleum is 2.11 which indicates that BHP Billiton Petroleum has invested more on its assets and has better financial leverage as compared to Caltex (Kaplan, 2014). This also signifies that more shareholders are willing to invest in BHP Billiton Petroleum as compared to Caltex which indicates that financial performance of BHP Billiton Petroleum is far better than its competitor Caltex in the petroleum industry. Market Performance: The present share prices for the companies help to analyse their market performance at both domestic as well as global level. Earnings per share (EPS), Dividend per share (DPS), payout ratio as well as book value per share are important aspects to analyse the market performance of the companies. The ratio of net income with respect to average outstanding shares is defined by EPS (Takayasu, 2013). The distribution of profits will be better for the companies in case of higher value for EPS. EPS for Caltex is 4.63 and for BHP Billiton Petroleum is 0.93 in 2017 which indicates that Caltex has higher value for EPS as compared to BHP Billiton Petroleum that also signifies that Caltex will efficiently distribute its profits within the marketplace (Coleman, 2016). The amount of dividends will be received by the investors from companies is mainly determined from the dividend per share (DPS). DPS for Caltex is 2.51M AUD and for BHP Billiton Petroleum is 1.56M AUD in 2017 which indicates that Caltex has paid higher dividends to its different investors that also signifies better market performance of Caltex as compared to BHP Billiton Petroleum (Ledgerwood et al, 2013). The amount of net income distributed by the companies among all their shareholders is analysed using the payout ratios. The sustainability for market performance is indicated the payout ratios. Payout ratio for Caltex is 54.1% and for BHP Billiton Petroleum is 64.5% in 2017 which indicates that dividend distribution capability of BHP Billiton Petroleum is better than Caltex and also signifies that BHP Billiton Petroleum will be in better position to pay dividends to their shareholders and determines amount of stakes sold to stakeholders by companies (Taylor, 2013). The adequate business valuation of companies as compared with their competitors in same industry is analysed using the book value / share. The outstanding shares for stocks are effectively related with their shareholders using the book value / share (Zeff, 2016). BVS for Caltex is 15.97 and for BHP Billiton Petroleum are 21.29 in 2017 which indicates that BHP Billiton Petroleum has higher value for BVS as compared to Caltex which also signifies that market performance of BHP Billiton Petroleum is far better that Caltex and also has higher market capitalisation (Danthine and Donaldson, 2014). Comparative Analysis: From the above discussion and measuring different financial ratios, it has been analysed that there is a huge increment of overall assets for BHP Billiton Petroleum as compared to Caltex in 2017. The company has earned higher profits as compared to different competitors in the petroleum industry. BHP Billiton Petroleum has higher value for different profitability ratios in 2017 which also indicates better financial performance of the company in 2017 (Horowitz, 2014). The amount of revenues generation, operating margins, net income and other factors has also indicated that financial performance of BHP Billiton Petroleum is far better than Caltex in the international as well as domestic market and also has strong market capitalisation. Recommendations: From the report, it is concluded that investor will prefer to invest their money in BHP Billiton Petroleum as compared to Caltex on the basis of their financial performance in 2017. It is analysed that market capitalisation of Caltex is far behind than BHP Billiton Petroleum in 2017 which is not suitable for investors or other creditors. The financial figures has also signified that Asset turnover ratio for Caltex is 3.39 and for BHP Billiton Petroleum is 0.29 in 2017 which indicates that BHP Billiton Petroleum that company has not efficiently used its assets in order to enhance its financial performance (Greenbaum et al, 2015). This signifies that BHP Billiton Petroleum needs to raise more funds from their equities in order to enhance their profitability level. The company also needs to focus on use of their assets in efficient manner that will also help the company to generate more revenues in coming financial years. Further, it is also analysed from this report that profitability level of companies are surely affected from different economic factors that can also hamper their financial performance. 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