Kantian and existentialist conceptions of freedom

Kantian and existentialist conceptions of freedom Immanuel Kant (1724-1804), best known for his work Critique of Pure Reason, was an instrumental philosopher in his contributions to moral philosophy. A devout Catholic, he firmly believed in the existence of God. Existentialists like Jean-Paul Sartre (1905-1980), however, countered Kantian philosophy in their stance on the meaninglessness of existence. For existentialists, life had no greater purpose as humans lived in an infinite universe unconcerned with human existence. Despite this fundamental difference, however, the Kantian and existentialist concepts of freedom had more in common than the rest of their philosophic components. Though rooted in opposing bases, both Kantian and existentialist freedom had more similarities than differences. Kantian free will and the existentialist liberation from responsibility both stipulated that man was only constricted in his choice by his own conscience. Both philosophies concepts of freedom are rooted in human consequence, but where Kantian freedom differs is the calculus of Christian morals and sin. Though his philosophy was deeply rooted in religion, Kant did not try to reduce human freedom, emphasizing the Christian concept of free will (Guyer 1992, p. 2). Though free will theoretically empowers man to any action he so desires, Kant believed in inextricably linking human freedom to the moral law indoctrinated by the specter of an all-knowing, all-seeing God (Guyer 1992, p. 4). Unlike Sartre, Kant believed in a fundamental problem posed by human freedom. Because of the unlimited possibilities and anarchy posed by the free will of millions, Kant endorsed a priori, moral-based philosophy limiting the boundaries of human will to ensure preservation of the greater good. Kants ultimate view of freedom was one that emphasized the importance of limitation as the use of freedom led to the dangers of materialism and determinism, from which the principle of freedom had to be saved at all costs (Guyer 1992, p. 52). Perhaps most concrete about Kantian philosophy is its argument that man ca nnot exist without God; mans actions exist because God allowed him free will, and for no other reason. Existentialist philosophy revolves around the precept that there is no God on whose behalf mans actions ought to be relegated. God did not create man. Instead, man created God. With no God upon whom humankind relies, there can be no limit to the potentiality of freedom. Existentialism dictates that there is no predetermined end to mans actions, that, unlike in Kantian philosophy, existence is meaningless. Man is a creature like any other creature in the universe, and though endowed with certain mental capacities, exists only to perish leaving no great imprint on the infinite universe. Furthermore, every person is unique from the existentialist standpoint, and no two people can be subject to the exact same moral conduct. As a result, the existentialist conception of man developed, portraying the individualessentially still free even when in chains[as] master of his own fate (Howells 1992, p. 68). The limits on human freedom are those of a conscious, self-implemented nature. Mans actio ns are limited only by the conscious decision of man, wherein he/she is obliged to practice good will (Howells 1992, p. 33). In his The Transcendence of the Ego, Sartre examines his moral objectivist predecessor Kant, focusing on individuality as a pivotal point in existence. Sartre asserts that Kant says nothing concerning the actual existence of the [statement] I think, purporting that in Kants notion of free will and limitation, Kant does not take into serious account the possibility of man to dismiss the a priori system altogether (Sartre 1988, p. 32). Sartre argues that Kantian philosophy relies on man as being compelled to follow a series of moral laws, which in essence limits human freedom. Sartre argues that true freedom comes without fear of consequence. Only in the existential acceptance of the futility of action and existence can true freedom to act exist. A priori laws are a binding code, and though they exist for the greater good, they still limit the boundaries of the Christian concept of free will. Essentially, acting on compulsion through an intermediary such as religion still fetters mans range of action, thought, and ultimately inhibits freedom. Despite Sartres contentions of the greater freedom of existentialist philosophy, both the Kantian and existentialist philosophies have much in common. Kant believed in free will as granted by God to man; man, in turn, has the complete freedom to do as he pleases. Though the consequences levied by religion are made clear, man has the choice to accept the consequences of his actions and can decide whether or not to endeavor to exercise free will as he sees fit. Existentialist freedom, through the acceptance of existence as meaningless, endows man with a free will as well, though of a different nature. In existentialist freedom, mans actions are meaningless in the grand scheme of the universe, and he is totally free to do as he pleases. However, man is bound by the consequence of moral transgression, implicating that he ought not to act in certain ways on behalf of his fellow man. The only differentiating aspect is the utilization of a priori laws in Kantian philosophy, as opposed to th e consideration of others in existentialist philosophy. Both philosophies perceive man as bound by knowledge of his consequences, which inhibits freedom in the same manner. Whether aware of an afterlife or the effect of actions on others, both philosophies feature the same countermeasures to free will. The similarities between existentialism and Kantian philosophy are evident only when examined in a broader sense. The more intimately examined, the fewer similarities hold. Under scrutiny, the two philosophies are complete opposites, yet the direction of the two essentially remains the same. Both philosophies dictate the limitations necessary on mans freedoms in order to peacefully co-exist with his surroundings. Where they differ is the source of limitations. For Kant, the limitation comes from the a priori moral objectivist laws attributed to God. Existentialists, on the other hand, find the same freedoms, but from a different approach as they embrace the concept of the universes indifference toward man and the inconsequential existence of humankind.

Wound Management

HLTEN506B Apply Principles of Wound management in the clinical environment Assessment 2 – Short answer questions Define a wound A wound is a break in the integument or underlying structures that results from physical, mechanical or thermal damage or develops as a result of an underlying disorder. List the functions of the skin Functions of skin includes: a) Protection – An anatomical barrier from pathogens and damage between the internal and external environment in bodily defense. b) Sensation – Contains a variety of nerve endings that jump to heat and cold, touch, pressure, vibration, and tissue injury. ) Thermoregulation – Eccrine glands and dilated blood vessels aid heat loss, while constricted vessels greatly reduce cutaneous blood flow and conserve heat. Erector pill muscles in mammals adjust the angle of hair shafts to change the degree of insulation provided by hair or fur. d) Control of evaporation – The skin provides a relatively dry and se mi-impermeable barrier to fluid loss. e) Absorption – Oxygen, nitrogen and carbon dioxide can diffuse into the epidermis in small amounts. f) Water resistance – Act as a water resistant barrier so essential nutrients aren’t washed out of the body.The skin has three (3) layers, name these three layers and give a brief description of each layer. 1) Epidermis – Provides waterproofing and serves as a barrier to infection, also helps the skin regulate body temperature. 2) Dermis – Serves as a location for the appendages of skin. It provides tensile strength and elasticity to the skin through an extracellular matrix composed of collagen fibrils, microfibrils and elastic fibers, embedded in proteoglycans. 3) Hypodermis – Attach skin to underlying bone and muscle as well as supplying it with blood vessels and nerves.It consists of loose connective tissue and elastin. Name phases of wound healing and give an explanation of what occurs in each phase. I. Inflammatory Phase – Immediate to 2-5 days; Hemostasis (Vasoconstriction, Platelet aggregation, Thromboplastin makes clot); Inflammation (Vasodilation, Phagocytosis ) II. Proliferative Phase – 2 days to 3 weeks; Granulation (Fibroblasts lay bed of collagen, Fills defect and produces new capillaries); Contraction (Wound edges pull together to reduce defect); Epithelialization (Crosses moist surface, Cell travel about 3 cm from point of origin in all directions)III. Remodeling Phase – 3 weeks to 2 years; new collagen forms which increases tensile strength to wounds; Scar tissue is only 80 percent as strong as original tissue. Many wounds that are in the inflammatory phase of wound healing are often mistaken for being infected. Why is this so? How can we determine whether the wound is infected of in the infected or in the inflammatory phase? Both type of wounds look similar in appearance. The inflammatory phase is a vital stage in the wound-healing process, with out which healing will not progress. Inflammation is apparent in all wounds at some point.However, its presence may also signal the onset of infection, an allergic reaction or dermatitis. When assessing infected wounds, some groups of people will not produce the classical symptoms associated with wound infection. In this instance we should look for additional signs. For example, a person with diabetes may also fail to produce the classical symptoms of infection owing to reduced neutrophil activity. What is your understanding of granulation and epithelialisation? Granulation is a part of the healing process in which lumpy, pink tissue ontaining new connective tissue and capillaries forms around the edges of a wound. Granulation of a wound is normal and desirable. Epithelialisation is the natural act of healing dermal and epidermal tissue in which epithelium grows over a wound. Epithelium is a membranous tissue made up of one or more layers of cells that contains very little intercell ular substance. In your own words explain your understanding of the term â€Å"wound management†. Wound management is the evaluation, treatment, and prevention of open injuries. It includes short team/ long team goals. What is meant by the following terms? ) Healing by primary intention – Primary intention healing is healing of a wound where the wound edges heal directly touching each other. This result in a small line of scar tissue, the goal whenever a wound is sutured closed. In primary intent healing, the goal is to minimize the need for granulation tissue by holding wound edges tightly together. This way, scarring is minimized. 2) Secondary intention – may be the only possibility if the wound is infected or contaminated. In this case, the wound edges cannot be held together because the infection would grow in the space between.The wound is instead left open to fill with granulation tissue, and the granulation tissue will subsequently turn into scar tissue. This is not ideal, because scar tissue contracts significantly as it matures, often times resulting in cosmetic or disfiguring problems. However, if contamination or infection is bad enough, healing by primary intent may not be an option. 3) Tertiary intention – This type of wound healing is also known as â€Å"delayed† or â€Å"secondary closure† and is indicated where there is a reason to delay suturing or closing a wound some other way, for example when there is poor circulation to the injured area.These wounds are closed later. Wounds that heal by tertiary intention require more connective tissue (scar tissue) than wounds that heal by secondary intention. An example of a wound healing by tertiary intention is an abdominal wound that is initially left open to allow for drainage but is later closed. List seven (7) things that we document about a client’s wound. 1) Length of the wound 2) Width of the wound 3) Depth of the wound 4) Exudate amount and type 5) Pain score 6) Swap taken 7) Surrounding skin status Wounds can be described by their color. What are the five (5) colors used to describe the wounds and what does each color mean? ) Black – Necrotic – Caused by presence of dehydrated dead tissue. May extend over the whole wound or be confined to a single area. Prolongs wound healing and may harbor infection. 2) Yellow – Slough – Caused by dead cellular debris. May lead to odour/ infection if not removed. Prolongs healing process if not removed. 3) Green – infected – Excessive, purulent and malodorous exudate. Clinical signs of infection present. Prolongs healing process. 4) Red – granulation – Bright red, moist in appearance as capillary loops develop from wound base. Extremely fragile, trauma delays healing process. ) Pink – epithelialisation – Pink-white tissue at wound margins or as islands within the wound. List five (5) things that need to be documented a bout a wound’s exudate. 1) Amount 2) Type 3) Swab 4) Smell 5) Colour When assessing a wound it is important to look at the surrounding skin. Why is this so? Make sure it is not affecting the surrounding skin. Wound is healing towads the middle but not towards the edge of the wound. Most pressure ulcers can be prevented. Suggest three (3) preventative measures that you as an enrolled nurse can put into place to prevent pressure ulcers in your older clients. ) Pressure area care – change of positions for patient regularly 2) Encourage patient to mobile to regulate blood flow 3) Correctively use of pressure sockings Describe four (4) stages of pressure ulcers. 1) Stage I – Non-blanchable erythema of intact skin the heralding lesion of skin ulceration. In individuals with darker skin, discoloration, warmth, edema, induration, or hardness may be indicators. 2) Stage II – Partial thickness skin loss involving epidermis, dermis, or both. The lesion is superficia l and presents clinically as an abrasion, blister, or shallow center. ) Stage III – Full thickness skin loss involving damage or necrosis of subcutaneous tissue that may extend down to, but not through, underlying fascia. The sore presents clinically as a deep crater with or without undermining of adjacent tissue. 4) Stage IV – Full thickness skin loss with extensive destruction, tissue necrosis, or damage to muscle, bone, or supporting structures. There are many factors that delay wound healing. Please define extrinsic and intrinsic factors that prevent wound healing and give five (5) examples of each. 1) Extrinsic – impinge on the patient from the external environment.Examples: Mechanical stress, Debris, Temperature, Desiccation and maceration, Infection. 2) Intrinsic – directly affect the performance of body functions through the patient’s own physiology or condition. Examples: Health status, age factors, body build, Nutritional status, Systemic diseases. Moist healing has been shown to be significantly more effective that dry healing. Give an example of when moist healing is not recommended. Necrotic digits due to ischaemia and / or neuropathy should be kept dry or monitored very closely. What is the key to preventing nosocomial infections? Infection control.E. g. Good hand hygiene practice that is effective and promotes compliance, such as the use of alcohol-based products, is important in preventing nosocomial infection. How long does a routine hand wash take? Around 15 seconds. From your research provide information about the following dressing product types. Give an explanation of how each dressing type works and provide an example of the type of wound it may be used on. 1) Alginates – it can promote autolytic debridement of the wound. Alginates have the unique ability to absorb up to 20 times their weight in fluid, depending on the manufacturer.Depending on the type of seaweed species from which the alginate i s made, the dressing may either gel or swell in the wound after absorption of wound fluid. Calcium alginates tend to swell, whereas sodium alginates tend to dissolve or gel in the wound bed. Wound type: Cavity wounds 2) Films – can be used to cover and protect catheter sites and wounds, to maintain a moist environment for wound healing or to facilitate autolytic debridement, as a secondary dressing, as a protective cover over at-risk skin, to secure devices to the skin, to cover first and second degree burns, nd as a protective eye covering. Wound type: Pressure Ulcers 3) Foams – antimicrobial foam dressings provide an ideal healing environment by simultaneously managing moisture and bacteria in the dressing. As the foam dressing absorbs exudate, a powerful yet safe antiseptic, targets and kills bacteria on contact. Wound type: Heavily exudating wound 4) Hydrocolloid – works to absorb the exudate from a wound and convert it to a gel that is either stored within the dressing, or  pushed through the surface of the dressing away from the wound itself.Wound type: can be used very appropriately on dry wounds as any slight moisture produced by the skin creates a gel that in turns helps to keep the skin's surface in that area soft and supple, aiding in healing. 5) Hydrogel – Wound gels are excellent for helping to create or maintain a moist environment    Some hydrogels provide absorption, desloughing and debriding capacities to necrotic and fibrotic tissue. Wound type: loughy or necrotic wounds What are primary and secondary dressings? Primary: are applied directly to a wound and may contain some medication.Secondary: secure the primary wound dressing in place. They are not secondary in importance, for if the primary wound dressing cannot be kept or applied where intended, then no matter what is placed on the wound might not work. State two (2) types of leg ulcers giving an explanation of the clinical signs of each one. 1) Venous â₠¬â€œ swollen ankles filled with fluid that temporarily hold the imprint of your finger when pressed (known as pitting oedema); discolouration and darkening of your skin around the ulcer (known as haemosiderosis); hardened skin around the ulcer, which may make your leg eel hard and resemble the shape of an upside-down champagne bottle (known as lipodermatosclerosis), small, smooth areas of white skin, which may have tiny red spots (known as atrophie blanche) 2) Arterial – patient will experience an increase in a cramp like pain due to the reduction in arterial blood supply. It can also be presented on leg elevation. If the reduction in blood supply left untreated, it can cause death of tissue in the area being fed by the affected artery. The limb will appear pale and there will be a noticeable lack of hair.When wound you not use compression bandaging as a treatment for a leg ulcer? Arterial ulcers – treatment is often urgent. Compression bandages must not be used, as th is will reduce the blood supply even further. Surgery may be needed to clear out the blocked artery (angioplasty). In some cases, the section of blocked artery may require surgical replacement (by-pass surgery). In severe cases, the lower leg may have to be amputated. How do you know if a wound product is working? The wound has signs of improvement such as growth of new tissues/ minimising of exudate.At what point does an acute wound become a chronic wound? In healthy individuals with no underlying factors an acute wound should heal within three weeks with remodeling occurring over the next year or so. If a wound does not follow the normal trajectory it may become stuck in one of the stages and the wound becomes chronic. Chronic wounds are thus defined as wounds, which have failed to proceed through an orderly and timely process to produce anatomic and functional integrity, or proceeded through the repair process without establishing a sustained anatomic and functional result.So Chr onic wounds are stuck in either prolonged inflammatory stage or proliferative stage. Many clients experience pain in and around the site of their wound. List facts that need to be included in pain assessment and provide some examples of things that can be done to reduce a client’s pain. In the pain assessment, we should assess the wound and document the pain score that the patient is experiencing. Also, we need to record the description of the pain (i. e. burning, tingling, stabbing etc. ) and will the pain affect the healing process. Furthermore, we also need to document how we treat the pain.Such as medication or any therapy that has been used. There are things that we can do to reduce a client’s pain: * Cover the wound to protect it from further injury. * Change the bandage daily, and keep the wound clean to prevent infection. * Take ibuprofen or acetaminophen to ease initial wound pain. If pain lasts for more than a day or two, consult your doctor. * For a foot or ankle wound, stay off your feet as much as possible to ease pain and encourage healing. * Be sure to get plenty of sleep and follow a healthy diet to help your body heal.

The Mosaic floors at Fishbourne

The Mosaic floors at Fishbourne have been damaged in a variety of ways. In this essay I am going to describe and explain how several of the floors have been damaged before explaining how the damage might have been caused. In addition, I will then explain what this damage can tell us about the changing function of the site. I will now organise the damaged floors into different categorises of 4 types, and those 4 types are:- Natural-natural damage such as weather erosion. Structural- structural damage such as post holes or ditches or drain marks. Accidental-accidental damage such as JCB marks, or plough marks. Vandalism-vandalism damage made on purpose such as rubbish site. I will now describe and explain each of the 4 different types of floor damage. I will start off with Natural damage. There are 2 clearly visible effects of natural damage at Fishbourne, the first is Subsidence, subsidence is the motion of a surface as it shifts downward relative to a datum such as sea-level, there are clear and visible marks of subsidence at Fishbourne as one of the floors is decomposed and has signs of floor sinking, and tiles crumbled down also sinking, this tells us that the place could have been used as a rubbish tip site before because there are clear dips around that particular floor so people could of just thrown rubbish into it and then buried it, then built over with mosaic and now dug up again, subsidence also occurs in brittle areas of the Earth's crust and by ductile flow in the hotter and more fluid mantle of the Earth caused by the footwall of normal faults. And the second natural damage is Fire, one of the floors at Fishbourne shows heavy erosion by weathering, this is because during Roman rule, a fire was reported and burned most of the place, when the fire ended, it burned and completely destroyed the roof in that particular area, so there was then no roof and the mosaic floor was then exposed to the harsh English weather which slowly eroded it and eventually was then covered over by Earth and then eventually dug up, the fire did not actually cause any damage, but it burned down the roof so it collapsed onto the floor creating the first part of the damage, and then the weather erodes the floor and creates the second part of the damage. I will now explore Structural damage, there are 2 clear visible effects of structural damage, and the first is Granary Posts, one floor at Fishbourne has clear post holes left in it, they are equal length apart from each other and are opposite to each other. This shows that if there were Granary Posts, there was a Granary store used to store goods such as food, weapons, jewellery, and other valuables, when the Granary store was taken down, posts were left there and the wood oxidized and rotted. This tells us that the people that put up the Granary store and took it down were probably in a rush and wanted to do it quickly, and the Granary store could of be used for military purposes, also the wooden posts were left there after granary store was taken down, this tells us that maybe the Romans did not really know about objects like wood rotting, and they could have been in a hurry to take down the granary store as posts were left in there this could show they did not have time to take out the posts. The second Structural damage is a Drainage Ditch, a floor at Fishbourne has damage which can suggest that a Drainage Ditch could have been placed there earlier on because there is a massive dip in the shape of a ditch on one of the mosaics, in the Medieval period this drainage ditch could have been used for growing various crop, and might have been used as a burial ground or even a rubbish tip again, there is evidence of it being a burial ground because a skeleton was found under that mosaic. I will now look at the Accidental damage, there are 2 cases of accidental damage at Fishbourne, the first is a JCB channel concrete mark, one of the mosaics at Fishborne has been damaged by a channel of concrete that runs through the mosaic floor, it is clearly visible and was caused when the site was first discovered, the concrete was used to fill in the ditch that had been dug by a mechanical digger in order to lay water pipes in the 1960s, this tells us that the Fishbourne site had been completely overgrown, no-one knew of the site's existence until the 1960s, by then 3 quarters of the site had already been destroyed by this time. And the second damage is Medieval ploughing, one of the floors at Fishbourne has deep parallel line plough marks in the floor probably caused by a Medieval plough, this tells us that the place could possibly of been used to grow various crops on farm land in medieval times. I will now finish off the different types of damage by exploring the last type of damage which is vandalism, at Fishbourne there is 1 case of vandalism damage, near one of the mosaics there is a burial site with a number of graves and skeleton bones found in them, but some of the mosaic floor patterns are still visible under the skeleton, dug through the tiles, there could of probably been robbers trying to get to the bodies and could of smashed through the grave looking for valuables, this tells us that the site could have been used as a burial ground, and maybe in a hurry to burry someone. To conclude this essay, from the evidence that is available to me at the site and through other sources such as photographs and extracts I can successfully prove how the floors were damaged at Fishbourne and explain  about the different types of floor damage as I have already done this earlier  on in this essay in the main body of evidence.

The Media And Its Impact On The Modern Era - 1404 Words

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Macbeth A Major Influence On The Topic Of Marxism

The play of Macbeth aspects plays a major influence on the topic of Marxism. Marxism acknowledges the numerous amount of power or authority oneself has. To point out the relation marxism has on the people within the play we all would first start by stating who had the most authority, and how it was use. Having the power to be in one’s hand changes the way one another act towards each other. To fully introduce marxism amongst the people in the story you would say the power is different amongst the main characters who are antagonized. The relations of power differ between Duncan, Lady Macbeth, Macbeth, and the Witches. In spite of the fact that Duncan was given numerous amount of power, he didn’t take advantage of the power as Lady Macbeth, Macbeth, and the Witches did. Macbeth who was known to be a great fighter, as the king of Scotland who was being brainwashed by the witches. He was first spotted out to be one of many people who was admired and did so many things that made people believe he was worth becoming a king. Macbeth started to resemble the second side of greediness for power from getting all the recognition and comments that he started to take it to precaution. The witches even acknowledge that he was getting a little to greedy for wanting power which easily let them brainwash him into wanting to go after power by any means necessary. Macbeth had a great close friend by the name of Duncan. Duncan who is the king has two sons Donalbain and Malcolm. Duncan had much

Correlation Between Mental Illness and Violence and Crime...

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Social Learning Theory and Mental Illness The Social Learning Theory strives to show how behaviors are acquired and maintained through various techniques. According to this theory, three basic constructs are apparent. Differential association explains that a person engages themselves in a group that has an acceptance toward crime as a possible means of obtaining necessary life goals. People engaged in these groups learn to view crime as either positive or negative. Differential reinforcement explains how well the participation in crime is accepted and imitation is the final acceptance of the crime by observing others and committing the crime as well. Applied to mental illness, individuals with mental illness are more likely to be engaged with individuals of these ideals due to excessive exposure from close contact in low socioeconomic areas. Social Stress and Mental Illness According to the Social Stress Theory, crime and violence is related to the amount of stress felt in one’s life. 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New Sources of Development Finance

Question: Discuss about the Report on New Sources Of Development Finance? Answer: Sources of finance available to a business Identification of sources of finance Internal sources Owners investment: This is personal funds or savings of a business owner or his or her family and friends which is invested in the business. Retained profits: Retained profits are earnings that remain after payment of all sorts of obligations and get reinvested in the business (Bodie and Merton, 2011). Sale of assets: An organisation can sale its assets such as product inventories, unused lands and equipments for raising funds. External sources Bank loans: Bank loans are funds borrowed from banks against set rate of interest and set date of repayment. Purchase of shares: Public limited companies have the option to sell shares via stock exchanges to raise funds from the public (Jarrow et al., 2011). Grants: Some business has access to local and central government grants for purchasing certain types of businesses. Assessment of implications of sources of finance Sources of finance Advantageous implications Disadvantageous implications Owners investment Quick access, no interest burden, no application forms Money cannot be used on other items Retained profits No need to borrow funds and hence, no question of interest payment, no loss of control or ownership (Bishop, 2004). Money is not available or scarcely available for alternative spending Asset sale Quick and easy access, no loss of ownership or control Sale of too much assets may reduce company assets and hamper operations Bank loan Asset guarantees and interest obligations removes pressure from the borrowing organizations as well as from the bank. The organisation retains ownership and control Presence of interest burdens and obligation to pay the principle on fixed date. Considerable high credit score is required (Newlyn, 2005) Shares Large funds can be obtained with no interest burden Loss of ownership and control Grants No repayment is required Only available under highly necessary conditions Evaluation of appropriate sources of finance For evaluation of appropriate sources of finance, an expansion project has been selected that involves public limited company retailing grocery products opening of two new stores in London. Upon evaluation, it has been found out that the most suitable sources of finance for the company are bank loan which is a debt finance and sale of shares, which is equity finance. These two sources of finance has been considered as appropriate sources because of the flowing reasons Bank loan Bank loan is a cheaper source of finance and more debt provides cost advantage (Newlyn, 2005). Moreover, it does not lead to loss of ownership or control and the time required to use the loan fund can be kept within the loan period. However, taking in to consideration the fact that debt financing is associated with interest obligation and put the company on to interest rate risk, it has been decided to keep debt financing below 40% in the capital structure of the expansion project. Shares Issue of shares is costlier than debt financing and leads to dilution of ownership and control. However, taking in to consideration the fact that it is easily available, free from interest burdens and a large amount of fund can be obtained, the company has decided to cover 60% of its capital structure with equity financing. Implications of finance in a business Analysis of costs of sources of finance Owners investment: The main costs of owners investment are costs of providing financial reports, conducting audits, share flotation and administrative and legal costs. Retained profit: Retained profit is connected to opportunity cost i.e. cost of losing the opportunity of using the funds for alternative expenditures (Groppelli and Nikbakht, 2011). Sale of assets: Sale of assets is costly in the sense that it leads to loss of company value and organisational efficiency. Bank loan: The main costs associated with bank loan are interests, factor charge and costs of providing lender information Sale of shares: Costs associated with sale of shares are issuing costs and dividends. Grants: The major costs connected to grants are administrative, fund application and application form filling costs (Groppelli and Nikbakht, 2011). Assessment of importance of financial planning Financial planning is helpful to an organisation in many different ways. Financial planning aids an organisation in appropriately funding its own activities through identification of financial priorities, allocation of funds for meeting expenses, reduction of credit use, uncertainty and financial affairs related conflicts and facilitating investments and savings to reach financial goals. Along this line, it can be stated that financial planning streamlines the process of management and monitoring of incomes and expenses, creating investment opportunities, saving funds and creating a long term capital base. Assessment of information needs of different decision makers Internal decision makers Shareholders: Shareholders of an organisation require considerable amount of information regarding profitability, asset base, net worth and cash availability. Managers: Managers require wide range of information regarding profit performance, growth, planning, controlling and organizing activities. External decision makers Government: The government needs wide range of information to know whether an organisation complies with regulatory bodies, creates employment, contributes to economic growth, supports environment addresses green issues and climate change and pays income tax. Funding organizations: These organizations require considerable amount of information regarding profitability, liquidity, fixed and current asset base, interest cover and gearing ratios. Customers: The information requirements of customers are lesser in comparison to that of others however; they require considerable information regarding quality of goods and services of an organisation and extent of ethical compliance. Analysis of impact of finance on financial statements Finance Impact on balance sheet Impact on income statement Owners investment Increases owners equity fund Increases net income Retained profits Increases owners equity Increases net profit after tax Asset sale Decreases current on long term assets depending on the type of asset sold (Atkinson, 2005) Increases non operating income Bank loan Increases short term long term asset and liability by the same amount liability depending upon the type of loan taken (Finney, 2011) Increases interest expense Shares Increases owners equity Increases non operating income Grants Increases short term long term assets Increases non operating income Financial decision making using financial information Analysis of budgets with appropriate decisions Calculation of cash budget The following cash budget has been prepared for forecasting cash inflows and outflows from a new grocery soap during the first six months of its operation Particulars () April May June July August September Cash inflow Credit sales 693000 762300 838530 922383 1014621 1116083 Cash sales 77000 84700 93170 102487 112736 124009 Total cash inflow 770000 847000 931700 1024870 1127357 1240093 Cash outflows Cash purchases 650000 520000 416000 332800 266240 212992 Credit purchases 60500 48400 38720 30976 24781 19825 Rent payment 30000 30000 Bank loan repayment 16500 13200 10560 8448 6758 5407 Other expenses 88000 70400 56320 45056 36045 28836 Total cash outflow 845000 652000 521600 447280 333824 267059 Net cash flow -75000 195000 410100 577590 793533 973034 Opening cash balance 50000 -25000 170000 580100 1157690 1951223 Net cash flow at the end of the month -25000 170000 580100 1157690 1951223 2924257 Analysis of cash budget Analysis of the above cash budget reveals that in the month of April, there will be a cash deficit of -25000. This cash deficit can be managed and converted to cash surplus by stringent credit policies, bank reconciliations and negotiation of flexible credit terms with suppliers. Analysis also reveals that after the month of April there will be cash surpluses for the next five months and the figures are expected to be 170000, 2924257, 1157690, 1951223 and 580100 for the months of May, June, July, August and September respectively. This surplus cash can be used for paying current debts and for investing in profitable projector expansions. Calculation of unit costs and pricing decisions Unit cost Unit cost is the total cost incurred in the process of manufacturing and delivering one unit of a product. The formula for calculation of unit cost is Per unit cost = (total variable cost + total fixed cost) / total number of units sold Another formula is Per unit cost = (Selling price profit) / number of units sold. From the above formula, it is clear that unit cost is obtained by deducting mark up profit from selling price. Pricing decisions Since variable costs change as per changes in level of operations and fixed cost do not change as per the same, variable cost is more relevant in the context of pricing decisions. This is mainly because of the fact that variable cost act as an important determinant of breakeven point i.e. the point at which income and expense is same for a business. Assessment of project viability as per investment appraisal techniques Different investment appraisal techniques Some of the most important project appraisal techniques have been described below Project appraisal technique Definition Decision rule Advantages Disadvantages Net present value (NPV) NPV is present value of future cash flows present value of initial investment (Johnson, 2009). A project is accepted when NPV is positive Time value money and entire life cycle of a project is considered Method is complex and sensitive to cost of capital (Wilkes, 2010) Payback period It is the time taken to recover initial investments A project is accepted when calculated payback period is shorter than targeted payback period Simple and easily understandable technique. Over simplified and ignores time value of money Internal rate of return (IRR) It is the rate of return at which initial investment is equal to present value of future cash flows A project is accepted when IRR is greater than cost of capital (Johnson, 2009). Takes in to consideration time value of money Fails to give accurate results in case of mutually exclusive projects. Application of the NPV technique In the following table, NPV of an expansion project has been calculated Cash flow () Project A Discounting rate Discounted cash flows Investment (cash outflow) 143000 Year 1 - cash inflow 38500 1 34997 Year 2 - cash inflow 49500 1 40887 Year 3 - cash inflow 60500 1 45436 Year 4 - cash inflow 71500 1 48835 Total discounted cash flow 170154 NPV 27154 Since NPV of the project is positive, the project can be considered feasible and profitable and thus, the same should be accepted. Financial performance of business Discussion on the main financial statements Balance sheet: Balance sheet is important because it is the statement of financial position on a particular date. It aids in depicting what is claimed and owned against assets. The main elements of a balance sheet are assets, liabilities and owners equity (Foulke, 2006). Profit and loss account: Profit and loss account is important in the sense that it depicts income and expenditure (Fridson and Alvarez, 2007). It serves the purposes reflecting earning capacity. Main elements of this statement are incomes and expenses. Comparison of formats of financial statements of different businesses Criteria Sole trader Partnership Limited company Representation Financial statements reflect age records and audit trail Financial statements represent profit, loss and capital contributions Main forms of financial statements are balance sheet, income statement and cash flow statement Focus Financial statements depict income tax and NI Cash balances of partners are represented Profitability, liquidity, efficiency and solvency Complexity Least complex Moderately complex Highly complex Requirement Not mandatory Not mandatory Mandatory Ratio analysis and interpretation Calculation, analysis and interpretations of ratios have been done in the context of BA Ratio Calculation 2012 2013 2014 Analysis Interpretation Profitability ratios Gross profit margin Gross profit / net sales x 100 16 15.4 15.4 Gross profit margin shows a decreasing trend Overall profitability of BA is decreasing Net profit margin Net profit / net sales x 100 4.77 5.29 6 The trend of net profit margin is increasing Profit from operating activities and pricing strategies of BA is increasing (Horrigan, 2010) Liquidity ratios Current ratio Current assets / current liabilities 1.27 1.26 1.2 The trend of current ratio is decreasing Short term liquidity position is deteriorating Quick ratio (Current assets - inventories) / current liabilities 0.43 0.42 0.37 The trend of quick ratio is also decreasing (Palmer, 2006) Short term liquidity position is deteriorating Gearing ratios Debt to equity ratio Total debt / total equity 1.53 0.54 0.94 Debt to equity ratio shows a shows a decreasing trend The percentage of debt in capital structure of BA is decreasing thereby indicating reduced exposure to interest rate risk and bankruptcy risk (Weston and Brigham, 2006). References Atkinson, A. (2005). New Sources Of Development Finance. Oxford: Oxford University Press. Bishop, E. (2004). Finance of international trade. Amsterdam: Elsevier. Bodie, Z. and Merton, R. (2011). Finance. 3rd ed. Upper Saddle River, NJ: Prentice Hall. Finney, R. (2011). Office finances made easy. New York: AMACOM. Foulke, R. (2006) Practical financial statement analysis. New York: McGraw-Hill. Fridson, M. Alvarez, F. (2007) Financial statement analysis. New York: John Wiley Sons. Groppelli, A. and Nikbakht, E. (2011). Finance. 3rd ed. Hauppauge, N.Y.: Barron's. Horrigan, J. (2010) Financial ratio analysis. New York: Arno Press. Jarrow, R., Maksimovic, V. and Ziemba, W. (2011). Finance. 3rd ed. Amsterdam: Elsevier. Johnson, R. (2009) Capital budgeting. Belmont, Calif.: Wadsworth Pub. Co. Newlyn, W. (2005). Finance for development. 4th ed. [Nairobi]: East African Pub. House. Palmer, J. (2006) Financial ratio analysis. New York, N.Y.: American Institute of Certified Public Accountants Weston, J. Brigham, E. (2006) Managerial finance. Hinsdale, Ill.: Dryden Press. Wilkes, F. (2010) Capital budgeting techniques. London: Wiley.