Thursday, August 27, 2020
The excursion into the fourth Dimension 4/19/12 Nature of Math The world we live in today is a universe of 3-measurements loaded up with objects that are zero, one and two measurements. We as a whole stroll around in our 3-dimensional world intuition there could be no different measurements. However, OK trust me if I somehow managed to disclose to you that there is a fourth measurement that lies past our day by day experience? Truly there is a fourth measurement and itÃ¢â¬â¢s not excessively far away, interestingly, there could be a limitless number of different measurements out there too that we will never observe and that our psyches can't start to fathom.In request for you to completely comprehend the chance of a fourth and potentially different measurements I first need to clarify the three earlier and how they work. LetÃ¢â¬â¢s start with 0 Ã¢â¬dimensions. At the point when we arrange an objectÃ¢â¬â¢s measurements we group it as indicated by the quantity of degrees of oppo rtunity it has. In this way a 0-dimensional item would have zero degrees of opportunity and would be spoken to as a point. With 0-measurements you needn't bother with any data to find a point inside that measurement. This is genuine in light of the fact that any 0-dimensional item has no length width or height.Now consider taking that point and just clearing it to one side like you are drawing a line with the point. By clearing the point in a line you have quite recently taken a zero dimensional point and made a 1-dimensional line. All of 1-dimensional space is a line. Inside a line there is just a single level of opportunity, or one heading in which the line is fit for moving. It might appear as though a line ought to be named a 2-dimensional article since it can move left and right however it depends on what number of various headings the line voyages, which is one remaining and right. Presently consider a line your street.Your explicit house would just be one point on that road a nd so as to discover it you would just need to reveal to one number with the goal for it to be found. Presently in the event that we take the 1 dimensional article and attempt and make it into a 2-dimensional item we should simply rehash a similar procedure as in the past, take the line and locate another heading it can move. On account of the second measurement we are going to take the line and move it vertically (opposite to the first line) in a general movement, accordingly making a plane. Alongside making a plane you have additionally quite recently made the 2-dimension.Inside of this universe of 2-measurements you presently have the opportunity to go left and right and all over. 2-dimensional items are surrounding us, squares, triangles, circles. A 2 dimensional world would be one where everything is level, individuals would not have the option to see profundity or width we could just observe what is before us in our level world. Insane huh? You may have seen the pattern at thi s point on how we move into new measurements by just clearing the current measurement toward another path. So when we take our 2-dimensional plane and clear it all over it will shape a 3D shape. This makes the move from second to third dimension.The third measurement is one in which I am accepting you are genuinely acquainted with considering we live in a 3-dimensional world. Anything in our reality that is substantial would be something 3-dimensional, so for instance your feline, your preferred jeans, a solid shape. Three dimensional article currently have the capacity not exclusively to move left and right or all over on a plane however can likewise fuse profundity and width into the image You may now inquire as to whether we live in the third measurement where is the fourth measurement and what's going on here? Ã¢â¬ Great Question! We would make the fourth measurement a similar route as we have made the entirety of the others.Simply take the third measurement (for the wellbein g of we lets state a solid shape) and slide it into another bearing opposite to each of the three past headings. This may appear to be extreme since we don't have the foggiest idea about some other headings beside the three we are kept to in our reality. Be that as it may, assuming we drag our 3-d solid shape this new way, at that point the 3-d 3D shape currently becomes 4-dimensional. We realize this is genuine on the grounds that so as to find a point on this new figure we would require four unique headings. This shows there could be a fourth measurement out there somewhere.Some individuals accept that time could be the fourth measurement, however it is as yet not decided. Likewise it could imply that there are a huge number of different opportunities for measurements also. And keeping in mind that we canÃ¢â¬â¢t see the fourth measurement or understand it we would now be able to delineate it to other people. I picked this point for my introduction since measurements were my pref erred subject of the class this year. They fascinated me, and made me question a great deal about the world I see and live in. Likewise measurements made me need to additionally seek after math and perceive how it identifies with me in different manners that I didnÃ¢â¬â¢t figure it out.
Saturday, August 22, 2020
Looking for Solace in The Bean Trees Numerous parts of life are investigated in Barbara Kingsolver's epic, The Bean Trees. A young lady named Marietta Greer from Kentucky needed to strike out all alone, abandoning all that she at any point knew, just to begin another life. Numerous kids need to do this at an early age so they can encounter life all alone yet they don't understand the risks in question.. Everybody that leaves the comfort of their own home needs cherishing help to prop them up through life. Marietta Greer begins her excursion by traveling west over the United States in a decrepit old vehicle. She chooses toward the beginning that any place the vehicle stalls will turn into her new home. At the point when she stops at a coffee shop one night for something to eat, she is out of nowhere left with a child dropped off by an older Indian lady without any reasons why. Marietta advises her On the off chance that I needed a child I would have remained in Kentucky (24). Proceeding with her desolate trek, she changes her name to Taylor and winds up saving the youngster and thinking about her. At the point when she at last shows up at her obscure goal, Taylor finds a new line of work at a tire organization working for a decent woman named Mattie and moves in with Lou Ann, additionally a single parent. She grows dear kinships with them, and they all assistance each other through all kinds of challenges. Taylor begins getting more grounded affections for the kid, Turtle, and in the l ong run embraces her through beguiling methods with her new companions Estevan and Esperanza. Taylor stays in contact with her mom, and she was excited her mom was steady of her choice to receive Turtle. There are a few things I would have changed about the novel to make it additionally fascinating perusing and to widen the kind of crowd it addresses. As I would like to think, the book was somewhat focused at a ladylike crowd, particularly single parents. At the point when Taylor and Lou Ann get together, Lou Ann sounds sort of terrible saying Who on the planet would need to move in here with us (102), yet they build up a solid companionship in any case. I experienced serious difficulties concentrating on what was happening and who was doing what primarily on the grounds that the story wasn't sufficiently fascinating to stand out for me. Maybe by tossing in somewhat more tension or more activity, the novel would have a fabulous time to peruse.
Friday, August 21, 2020
Paper writing is something that everyone will find fascinating. So, what are you waiting for?How to Get Started With Paper Help Term Writing
Paper writing is something that everyone will find fascinating. So, what are you waiting for?How to Get Started With Paper Help Term WritingWhile there are many help papers on college, one of the most popular forms is college writing. If you enjoy writing and have a flair for words, this might be a good career choice for you.Of course, there are many different aspects to writing a college essay. First, you need to ensure that your essay gets read well. The more material you have to work with, the better.Your academic staff or supervisor will provide you with specific guidelines for essay topics. However, before starting a paper, it's best to get your foot in the door. There are many ways to get to know the academic writing game.What you want to do is look for ways to get started. If you want to take the leap into college writing, you should start as soon as possible.When you start out, start with assignment choices that you already have experience with. For example, if you have a pas sion for nature, go ahead and write a paper on that topic.If you want to get to know your way around the college writing world, you may want to ask some of your teachers for help. Also, look online for college writing samples and start working on a bit of research.You should also understand that you don't have to write a paper all by yourself. One thing you can do is talk to someone who does student writing. This person can be a friend or family member.
Monday, May 25, 2020
Sample details Pages: 16 Words: 4784 Downloads: 9 Date added: 2017/06/26 Category Finance Essay Type Analytical essay Did you like this example? The topic of dividend has been studied extensively in last few decades. Still it remained as one of the most debatable issue in the field of Finance. The contradictory nature and massive importance 0f dividend in finance had made it one of the most discussable topics for researchers. DonÃ¢â¬â¢t waste time! Our writers will create an original "The study of Dividends in the market over the last few decades" essay for you Create order Researchers in the past enclosed many aspects of dividend; few among them are views about dividend, dividend payment effects on firm value, dynamics and determinants of dividend policy, and dividend trends of different markets. Lintner (1956) examined the distribution of income of corporations among dividends, retained earnings and taxes using data from the years 1918 to 1941 as a training period and data from the years 1942 to 1951 as the testing period. It was found that the basic determinants of dividends changes are net income and prior year dividends. In addition, firms attempt to continue a steady stream of dividend and tend to make a periodic partial adjustment to a target payout ratio rather than dramatically changing their payout when a change in earnings occurs. In the short run, dividends are smoothed to avoid frequent changes. This dispute is rooted back to the significant work of Modigliani and Miller (1961), in which it was challenged in a perfect market condition di vidend policy did not affect the value of firm. In contrast, Lintner (1962) and Gordon (1963) supported Bird-in-hand theory and argued that in the world of ambiguity and imperfect information, high dividend payment is linked with high firm value. In addition, Black (1976) called dividend is great puzzle which need extensive researched. Furthermore, the Brealey and Myers (2005) listed dividend as one of the top ten significant vague issues in advance corporate finance. According to Anil and Sujjata (2008) that emerging consensus is that no individual factor alone can describe dividend behavior. The existing corporate theories supported that cash flow and profitability have significant impact on dividend. The aim of this study was to know the impact of cash flow and profitability on dividend payout of non financial firms in Pakistan market. This study considered free cash flow and profitability was most important for non financial firm in Pakistan market. Talat and Mirza(2010) cond ucted research related to ownership structure and cash flow as determinants of dividend payout policy. According to that individual ownership, cash flow sensitivity, size, and leverage were negatively associated with dividend payout policy. In contrast, operating cash flow and profitability was positively related to cash dividend. In addition, Researcher concluded that managerial ownership, individual ownership, operating cash flow, and size were important determinants of dividend behavior whereas, leverage and cash flow sensitivity did not contribute significantly in determining the level of corporate dividend payment. DeAngelo and DeAngelo (1990) and Reddy (2004) found significant relation between cash flow and dividend changes. Problem Statement In the field of corporate finance, the dividend was considered as one of the most noteworthy issues. The main purpose to study the impact of cash flow and profitability on dividend payout of non financial firm in Pakistan market was to analyze the cash dividend behavior of developing countries firm. In addition, study was conducted to find out how strongly these two variables free cash flow and profitability have impact on the dividend payout because, profitability was most likely used as determinants of dividend payout in most of the previous researches but free cash flow was not taken too much in previous research. Furthermore, how these two variables serve as an indicator for dividend payout. Hypothesis H1: There is significant impact of free cash flow on dividend payout. H2: There is significant impact of profitability on dividend payout. Outline of the Study The research structured follows. Chapter one was consist on the introduction of the thesis, it is essential to review the views and theoretical background of dividend, the statement o problem, scope and objective, hypothesis. Chapter two consisted of review of literature given by various authors, theories on dividend and impact of cash flow and profitability on dividend payout. Chapter three explained methodology, it consisted of justification of the selection of the variables, the sampling and research design, the data technique and hypothesis. Chapter four represent the analysis of results which were taken after the data processing. Chapter five composed of final result, conclusion and recommendation. Chapter six consisted of references. CHAPTER 2: LITERATURE REVIEW Since 1956, dividend has always considered one of the most interested and investigated topic in world of finance. Lintner (1956) analyzed the distribution of income of corporation among dividends, retained earnings, and taxes using data from the years 1918 to 1941. It was founded the basic determinants of dividends changes are net income and prior year dividends. In addition, firms tried to continue a stable flow of dividend and likely made a periodic partial adjustment to a target payout ratio instead radically changing payout when earning changed. Jensen and Meckling (1976) paid attention toward agency cost hypothesis and described that dividend restricted the funds under management control, as a result putting them under strict capital market examination. Owner responsibility was reduced to manage the quality of investment and to control the expenditure on manager prerequisites. Marke, Langrehr, and Hexter(1998) conducted research on dividend policy determinants. Researche rs had taken focus of firm, natural log of sales of firm, inside ownership for firm, no of common shareholder for firm, free cash flow for firm, sales growth of firm, and standard deviation of returns o f firm as determinants of dividend policy. Authors concluded that corporate focus has negative impact on dividend payout. While inside ownership had also negative impact, according to researcher the firms have greater inside ownership have small dividend payout. In addition, the firms with higher free cash flow have higher dividend payout and lower payout ratio of firms with higher standard deviation of returns. William and Nanda (1994) conducted research on free cash flow, shareholder value, and the undistributed profits tax of 1936 and 1937. In this study researcher tried to explore the investor reaction toward the anticipated decrease in free cash flow presented to corporate managers. In addition, researchers suggested agency costs as partial determinants of dividend policy. To avoid the agency problem corporate have to pay higher dividend and imposed higher tax on undistributed profit so the problem of agency cost handled efficiently. The study conducted on determinants of dividend payout ratio in Ghanna byAmidu and Abor (2006). In this study 20 listed firms of Ghana Stock Exchange were used as a sample which shows 76% of the total listed firm in Ghana Stock Exchange. They have taken the Payout Ratio as dependent variable and defined as dividend per share divided by earning per share. The included the explanatory variable profitability, frisk (risk), cash flows (cash), corporate tax (tax), institutional holdings (INSH), Sales Growth and Market to Book value (MTBV).they find that more profitable firms pay more dividend and profitability is positively related to dividend payout. In addition, cash flow and taxes are also positively related to dividend payout. Further, they also concluded there is a positive relationship between increase in liquidity and dividend payout. Their results suggest negative relationship between risk, institutional holding, growth, market to book value and dividend payout. The firms with the earning volatility find difficult to pay low and no dividends. Al-Malkawi (2007) worked on determinants of corporate dividend payout policy in Jordan. Researcher used a firm level panel data of all publicly traded firms on the Amman Stock Exchange between 1989 and 2000. Researcher used dividend payout as a depended variable and agency cost, Ownership, annual share turnover, market to book ratio, market capitalization of common equity, financial leverage ratio, profitability ratio, and taxes as independent variables. By using Tobit specification researcher concluded that positive relationship between size, age, and profitability with dividend payout and negative relationship between signaling device, ownership, and taxes in Jordan. Fairchild (2010) worked on Dividend policy, signaling and free cash flow: an integr ated approach. Researcher has tried to examine the dividend policy by taking only two hypothesis signaling and free cash flow. In order to understand the composite environment of dividend policy, signaling game is developed in which most of the information possesses by managers than investors about the quality of the firms. The signaling hypothesis shows that asymmetric information between managers and investor, dividend work as signal regarding current performance and future prospect. The study found that high dividend has positive effect on the firm performance, in term of providing a positive signal for current performance and as will as future scenario. In addition, dividend payout reduces the free cash flow problem, which may attract the manager to invest in negative NPV project for personal interest. But if the project shows positive NPV so investment opportunities are available which lead toward the higher dividend in future. Gill, Nahum, and Rajendra (2007) worked on dete rminants of dividend payout ratio in United States. In this study researcher extend the Amidu and Joshua, and Anil and Kapoor finding for the American service and manufacturing firms. Researcher took same variables into account such as profitability, tax, market to book value, cash flow, and sale growth. The sample size was 266 out of 500 financial reports. Finding for manufacturing firms that dividend payout ratio is the function of profit margin, tax, and market to book ratio We also found that the results are different when the dividend payout ratio is defined as the ratio between the cash dividend that the after-tax cash flow, not the after tax earnings of the companies. Reddy (2006), studied the dividend behavior of Indian corporate firms, trend, and determinants and tried to determine the behavior of the firms listed on Bombay Stock Exchange (BSE) with the help of trade off theory and signaling theory hypothesis. The analysis of dividend trend shows that stock traded on New York Stock Exchange (NSE) and (BSE) signify that the percentage of firms paying dividends has declined from 60.5% in 1990 to 32.1% in 2001 and there is only few firms paying dividend consistently. Furthermore the dividends paying firms are more profitable, large in size, and growth doesnt seem to discourage Indian firms from paying higher dividends. The corporate tax or tax preference theory doesnt appear to hold true in Indian context. Finally the dividend changes appear to signal contemporary and lagged earning performance rather than future earnings performance. Baker, Farrelly and Edelman (1986) studied 318 New York stock exchange firms and concluded that the major determinants of dividend payments are anticipated level of future earnings and pattern of past dividends. Pruitt and Gitman (1991) asked financial managers of the 1000 largest U.S. and reported that, current and past year profits are important factors influencing dividend payments. Baker and Powell (2000) conclude from their survey of NYSE-listed firms that dividend determinants are industry specific and anticipated level of future earnings is the major determinants. Anil and Kapoor (2008) studies Indian information technology sector for determinants of dividend payout ratio. The period for study 2000-2006 covers both recessionary and booming phase of Indian information technology sector. Researcher concluded liquidity and beta (year to year variability in earnings) was found to be a notable determinant of dividend payout ratio. In addition, authors concluded there was recession and from 2003 onwards IT sector witnessed exponential growth. After 2006 linear growth was seen in IT sector. Recently in Pakistani perspective, Ahmed and Attiya (2009) investigated determining factors of dividend policy in emerging economy of Pakistan on a sample of 320 firms listed at KSE from 2001 to 2006. Researchers concluded that Pakistans listed firms rely more on the current earnings than past dividend. In addition, authors highlighted some determinants that may influence the dividend payout policies. First the results demonstrated that the firms having high profitability with stable earnings can afford larger free cash flows thus pay out larger dividends. The firms with larger investment opportunities can easily influence and play important role to determinant of dividend payout policies in Pakistan. The ownership structure has the major impact to determine the dividend payout policy in Pakistan. The firms with the major inside share holdings pay more dividends to its shareholders in Pakistan. Moreover the growth of the firms doesnt have any impact on the dividend payout. The market liquidity of the firms has a positive influence which confirms that firms with higher market liquidity pay more dividends. The size is the highly negative and significant which shows the firms invest in their assets rather than paying dividends to its shareholder. 2.1 Dividend irrelevance theory: Miller and Modigliani (1961) proposed that dividend policy is irrelevant to the shareholder and stockholder wealth was constant in the world of perfect market condition and any growth in the current payout is financed by literally priced stock sales. The basic assumption was that management paid 100 percent payout in every period. Other assumptions were as follow. First, market is perfect capital market that means no taxes on transaction cost, single buyer and seller not influenced price, and everyone have free access to information. Second, investors are rational and value of securities was based on the discounted future cash flow to investor. Third, manager act as a agent of shareholders, and there was no uncertainty about the investment policy of the firm. 2.2 Bird-in-hand theory: Al-Malkawi (2007) emphasized that dividend valued differently from retained earnings (capital gains) in world of uncertainty and asymmetry information. A bird in hand (dividend) is valued more than two in the bush (capital gain). Investors always preferred dividends to retained earnings due to uncertainty of future cash flow. Although, this argument has been widely criticized and has not received strong empirical support, but, it was supported by Gordon and Shapiro (1956), Lintner (1962), and Walter (1963). The basic assumptions were as followed Firstly, investors have inadequate information regarding the profitability of a firm. Secondly, cash dividend was taxed at a higher rate when capital gain was realized on the sale of share. Thirdly, dividend serves as a signal of expected cash flow. 2.3 Agency cost and free cash flow theory: Ross (2008) agency cost is the cost of the conflict of interest that exists among shareholders and management. It was happened when management act for own interest rather than shareholders interest who own the firm. This could be direct and indirect. It was in contrast to assumption of Millar and Modigliani (1961) that mangers act as a agent of shareholders This is somewhat dubious, as the owners of the firm are different from the management. Managers are bound to carry out some activities, which could be costly to shareholders, such as undertaking unprofitable investments that would yield excessive returns to them, and unnecessarily high management compensation (Al-Malkawi, 2007). These costs are borne by shareholders; therefore, shareholders of firms with excess free cash flow would require high dividend payments instead. Agency cost may also arise between shareholders and bondholders: while shareholders require more dividends, bondholders require fewer dividends than shareholder s by putting in place a debt covenant to ensure availability of cash for their debt repayment. Easterbrook (1984) also identified two agency costs: the cost of monitoring managers and the cost of risk aversion on the part of managers. Jensens free cash flow/overinvestment hypothesis (1988) provides an alternative explanation for the positive relationship between the direction of the dividend change and the stock price reaction. Jensen argues that managers tend to hold cash to invest in negative NPV projects for their own utility maximization. The agency costs that result from this overinvestment decrease the value of the firm. Like the signaling hypothesis, the FCF argument suggests there should be a positive relationship is the direction of the dividend policy change and the stock price reaction. However, the FCF argument differentiates itself with respect to the level of growth opportunities faced by the firm. If a firm initiated a cash dividend, FCF arguments postulate there are fewer funds available for costly overinvestment. Likewise, if company didnt pay dividend, the strongest form of a decrease would reduce the value of the firm because there are more funds available to invest in less present value projects. The FCF hypothesis assumes larger stock price volatility for the firms who have few growth opportunities as compared to the firms with many growth opportunities. There is disagreement between different researchers on dividend policy. Allen and Rachim (1996) in Australia found no significant relationship between dividend policy and stock price volatility. According to Gordon (1963) the stock price volatility is influenced by dividend payout. The firms who pay large dividend have minimum risks in terms of stock price value. Some of hypothetical mechanism also suggests the universal relationship of dividend yield and dividend payout ratio with stock price volatility. Jensens and Meckling in (1976) developed Agency cost argument which proposed th at dividend payout lower the cost of funds and increase the cash flows for the company. The company after paying cash dividends to stock holders would have less cash in hands of the managers to invest at below the cost of capital. According to Miller and Rock (1985); Asquith and Mullin, 1983; Born, Moser and Officer (1984) dividend declaration provide information to the share holders to forecast the financial position of the company and the present firms earnings. This also depends on the source of information that either it is doubtful or not to respond on announcement of dividend. Hence, there remains disagreement till yet, the relation of dividend yield and stock price volatility and it is still unexplained and is considered as debatable in corporate finance. 2.4 Signaling hypothesis: Though Miller and Modigliani (1961) assumed that investors and management have perfect knowledge about a firm, this has been countered by many researchers, as management who look after the firm tend to have more precise and timely information about the firm than outside investors. This, therefore, creates a gap between managers and investors; to bridge this gap, management use dividends as a tool to convey private information to shareholders. (Al-Malkawi,2007). Petit (1972) observed that the amount of dividends paid seems to carry great information about the prospects of a firm; this can be evidenced by the movement of share price. An increase in dividends may be interpreted as good news and brighter prospects, and vice versa. But Lintner (1956) observed that management are reluctant to reduce dividends even when there is a need to do so, and only increase dividends when it is believed that earnings have permanently increased. Rate of return effect, as discussed by Gordon (1963) , is that a firm with low payout and low dividend yield may tend to be valued more in terms of future investment opportunities (Donaldson, 1961). Consequently, its stock price may be more sensitive to changing estimates of rates of return over distant time periods. Thus expanding firms although may have lower payout ratio and dividend yield, exhibit price stability. This may be because dividend yields and payout ratio serves as proxies for the amount of projected growth opportunities. If forecasts of profits from growth opportunities are less reliable than forecasts of returns on assets in place, firms with low payout and low dividend yield may have greater price volatility. CHAPTER 3: RESEARCH METHODS 3.1 Method of Data Collection Required data was collected from Karachi Stock Exchange as given by State Bank of Pakistan in publication of Balance Sheet Analysis of Joint Stock Companies Listed on the KSE (2005-2009). The period of study covered five years, 2005-09. The sample size of 100 non-financial firms was taken from all non financial firm listed at KSE. The required sample was chosen on the basis of cash dividend paid by firms at-least for two years. The sample represents almost every industry. 3.2 Sample Size Sample of 100 non-financial firms was collected from KSE. Only firms were used in the samples that paid cash dividend for at least two years firms that included the industrial firms and service providing firms listed on the KSE 100 Index form 2005-2009. The impact of the cash flow and profitability on dividend payout was analyzed on all of the non-financial firms selected as the sample. 3.3 Research Model Developed There were various financial factors of the non-financial firms which affected the Dividend payout of the firms. This research study analyzed the impact of free cash flow and profitability on the dividend payout. 3.3.1 Dividend payout Dividend payout and dividend amount are taken as the dependent variables. Since dividend payout is the generally used alternative for dividend policy, almost every financial researcher has used payout as a proxy for corporate dividend policy (See for example Gugler, 2003; Reddy and Rath, 2005; Papadopoulos, 2007; Al-Malkawi, 2007; Ahmed Attiya, 2009). In order to calculate dividend payout was calculated as cash dividend per share divided by earning per share. 3.3.2 Earning per share According to Hafeez and Attiya (2009) high profitability with constant earnings can manage to pay for larger free cash flows as a result to pay out larger dividends. The earnings per share after tax were used as independent variable. Earning per share after tax was used because dividend has been paid after interest, taxes and after depreciation and calculated as net earnings divided by number of shares. H1: There is significant impact of earning per share on dividend payout 3.3.3 Return on Equity This variable is used in different previous studies such as: Abor (2005), Miller (2007), Al-Ajmi et al. (2009), and Ebaid (2009) etc. Some authors measured profitability or performance by three measurements such Gross profit margin (GPM), Return on Equity (ROE), and Return on Assets (ROA) and same predictors Ebaid (2009). Likely results with this variable are same as revealed by Abor (2005) and Ebaid (2009) such as: Significance and positive relationship with dividend payout. Return on Equity is considered best measure of firm profitability. Return on Equity (ROE) is one measure of how efficiently a company uses its assets to produce earnings. ROE was calculated by dividing Net Income minus preferred dividend by Share holder equity H2: There is significant impact of Return on Equity on dividend payout. 3.3.4 Free Cash flow According to Jensens (1986) free cash flow hypothesis, companies choose to use their cash resources to invest in profitable projects first; dividend is paid out of residual. From a companys point of view, cash generated from operations plays an important role in deciding the level of payout, among all three sources of cash flows i.e. operating; investing and financing, cash generated from operations is considered as most desirable source of funds for the company for distribution of dividends. Anil and Sujjata (2008) also found cash flow from operations as the most significant determinant of dividend policy in Indian IT industry. AÃâÃ measure of financial performance calculated as Net income minus depreciation minus change in working capital minus change in capital expenditure. Free cash flow (FCF) represents the cash that a company is able to generate afterÃâÃ placing out the money required to maintain or expand its asset base.ÃâÃ FreeÃâÃ cash flow is important because itÃâÃ allows a company toÃâÃ pursue opportunities that enhance shareholder value. H3: There is a significant impact of free cash flow on dividend payout. The model developed was a linear model and its specifications are provided below: Div payout = a0 + a1EPS + a2ROE + a3FCF + ÃÆ'Ã¢â¬ËÃ ¢Ã¢â ¬Ã Dividend payout = Dividend per share divided by earning per share EPS = Net income divided by number of share outstanding ROE =Net income minus preferred dividend divided by common shareholder equity FCF =Net income minus Depreciation minus change in working capital minus change in Capital expenditure ÃÆ'Ã Ã ¢Ã¢â ¬Ã ¾ = the error term 3.4 Statistical Technique Multiple Linear Regression Analysis (MLR) technique was used for this research study to examine the impact of the distinctive financial characteristics of the non-financial firms on their dividend payout of the selected firms; Statistical Package for the Social Sciences (SPSS) was used for the examination of the secondary data. CHAPTER 4: RESULT The sample of 100 non-financial firms from Karachi Stock Exchange was taken into consideration. This research study used multiple regression analysis (MLR). Researcher examined the behavior of non-financial firms of KSE about dividend payout. The selected technique was used to study the impact of cash flow and profitability on dividend payout. 4.1 Finding and Interpretation of the results In the beginning, the regression technique was applied on collected data by using SPSS, and there was no single variable was significant. It was clear from the result that there was the high co-linearity among the independent variables of the dividend payout and this means there was strong interrelationship present among the predictors. Return on assets and net profit margin was omitted from the data, thus, the issue of co-linearity was resolved. Now, proceeding with the analysis of the results because issue of co-linearity was addressed. The interpretation and analysis is presented in the next sections of this research study. Table 4.1: Model Summary Mod R R Sq. 1 .289 .084 Tables 4.1 depict the summary about the regression model. The R square of 8.4% showed that all the predictors of dividend payout together explained 8.4% variation in the dependent variable and the remaining variation was unexplained or hidden predictor were not included in the model. TABLE 4.2: ANOVA Model Sum of Squares df Mean Square F 1 Regression 31503.936 3 10501.312 15.236 Residual 345316.428 501 689.254 Total 376820.364 504 The table 4.2 checked the significance of the linear regression model in such a way that the reliability of the data file regarding the applicability of the regression technique can be understood from the above table; however, ANOVA table was reliable test of checking the linear regression models ability to explain any variation in the dependent variable of liquidity. This was perfectly obvious from the sig value of .000 that meant that the linear regression model was highly significant for the data collected for the research study conducted. In addition, ANOVA explained that all means are not equal. TABLE 4.3:Coefficients Model Unstandardized Coefficients Standardized Coefficients t Sig. Co-linearity Statistics B Std. Error Beta Tolerance 1 (Constant) 28.626 1.617 17.704 .000 ROE .216 .042 .261 5.110 .000 .704 EPS -.123 .051 -.120 -2.420 .016 .750 FCF .001 .000 .125 2.815 .005 .922 In table4.3 the final model of regression included only three independent variable that were free cash flow, earning per share, and return on equity These variables were included in the model due to highly significantly describing the relation with dependent variable dividend payout. 4.2 Hypothesis Assessment Summary The hypothesis of research was unique financial factors had significant impact on the non-financial firms dividend payout decision. These financial characteristics were cash flow taken as free cash flow of firms and profitability taken as earning per share and return on Equity of firms. This research tasted individual financial characteristics and concluded the result as follow. TABLE 4.4: Hypothesis Assessment Summary S.No. Hypothesis ÃÆ'Ã ½ÃâÃ ² SIG. H1 There is significant impact of free cash flow on dividend payout. .001 .005 H2 There is a significant impact of Return on equity on dividend payout. .216 000 H3 There is as significant impact of Earning per Share on dividend payout. -.123 .016 CHAPTER 5: DISCUSSIONS, IMLICATION, FUTURE RESEARCH AND CONCLUSION 5.1Conclusion It was concluded with support of results of this research study return on equity, earning per share, and free cash flow were significant independent variables in Pakistani market. These result were matching with the study under taken by Hafeez and Attiya (2009) in Pakistani context, Researchers concluded firms with high profitability and with stable earning can afford larger free cash flow therefore pay out larger dividends to its shareholder. In addition, Talat and Hammad (2010) examined the ownership structure and cash flow as determinants of dividend policy. Researchers concluded that companies in which high proportion of share were occupied by managers and individual were more reluctant of pay high dividends. In contrast, companies in which managerial and individual ownership is low paid less dividends. It was also concluded that companies having high operating cash flow increase companies potential to pay high dividend and it was considered cash flow sensitivity reduce the com panies payout but still it was not determined as potential determinants of corporate payout in Pakistan. 5.2 Discussions Profitability and free cash flow could lay significant impact on dividend payout in Pakistani context. Hafeez and Attiya(2009) was also considered profitability as significant determinant of dividend payout, But study conducted by Talat and Hammad (2010) concluded operating cash flow can not consider significant determinant of dividend payout in Pakistani market. This research considered that free cash flow and profitability measured through earning per share and returns on equity have significant impact on dividend payout of the companies. 5.3 Implication and Recommendations This research was limited to non-financial companies listed on Karachi Stock Exchange Pakistan. The required data collected from 100 non-financial firms listed at KES for the period of 2005 t0 2009. Only firms were included in samples which were paid cash dividend for atleast two years. It is suggested that such type of study should be carried out in other countries of Asia. Further, it also suggested that other factor except one analyzed in this study should be researched in more extensive manner so the dividend payout policy and its dynamics became clearer. 5.4 Future Research This research addressed the problems of investor, management and other researcher conductor in analyzing and observing the behavior of firm regarding their investment decisions. Research students who want to work further on dividend payout could be benefited by this study. In addition, all non financial firm will get benefit from this study because this research study taken all major sector into the consideration and study clarified the impact of free cash flow and profitability on dividend payout.
Thursday, May 14, 2020
The words straight and straitÃ areÃ homophones: They sound alike but have different meanings. As an adjective, straight has several meanings, including level, upright, not bent, extending in the same direction, accurate, and honest. As an adverb, straight means directly or in a straight line. The noun strait usually refers to a narrow waterway. The plural form, straits, means difficulty or distress. The confusion between strait and straight is about five centuries old, notes William Safire in Coming to Terms. Strait is from the Latin stringere, to bind; straight is from the Middle English strecchen, to stretch. How to Use Straight In the most-often-used sense, straight means extending in the same direction without curving when used as an adjective, and it means directly when used as an adverb. A sentence with straight as an adjective is, The line he drew was perfectly straight or He drew a straight line. When used as an adverb, a part of speech that modifies a verb, an adjective, or another adverb, a sentence using straight might read: He ran straight to her room. In this example, straight modifies the verb ran. How to Use Strait StraitÃ is almost always a noun. It meansÃ a narrow channel joining two larger bodies of water. A classic example of the use of the word strait would be the Strait of Gibraltar. This strait, situated between Gibraltar and Peninsular Spain, connects two bodies of water, the Atlantic Ocean and the Mediterranean Sea. Examples The most common use of the word straight is describing something that is not crooked, or its opposite, as in Bens nose wasnt quite straight, and there was also something a little lopsided about his mouth. Other examples use the term meaning directly, as in: After the test, he went straight home.Dont turn left or right; just drive straight down the road until you get to the coffee shop. Strait, by contrast, is most often used to describe a channel connecting two bodies of water. For this use, you might say: Taking a steam launch, we crossed the strait at an early hour to catch the express train to our destination. Strait can also refer to being in a dire predicament, as in: I could never ask a relative for money unless I were in hopeless straits. How to Remember the Difference Remember that strait means narrow, confined, or constrained. And the word strait has fewer letters than straight, so it is more confined. Straight, by contrast, has a wider meaning; that is, it can mean many more things than strait. So, straight needs more letters than strait to contain all those meanings. Idiom Alerts There are several idiomatic uses for straight and strait to keep in mind: Keeping a straight face: The expression to keep a straight face means to maintain a blank or serious expression, especially when trying not to laugh, as in: He tried to keep a straight face, but he couldnt help laughing at the comedians jokes. Straight talk: The expression straight talk refers to speech that is plain, direct, and honest. For example, you might say, Tell me the truth; be straight with me. Setting the record straight: The expression set the record straight means to correct a misunderstanding or offer an accurate version of events that have been incorrectly reported. An example would be, He called on the newspaper to run a correction to set the record straight after it ran the error-plagued article. Straitlaced vs. straightlaced:Ã Straightlaced is a variant of straitlaced, which can be used to describe someone who is strict or severe in behavior or moral views or to express the notion of confinement, as in a corset. Straitjacket vs. Straightjacket Use straitjacket when you are referring to a cover or overgarment made of strong material (such as canvas) used to bind the body, particularly the arms, in restraining a violent prisoner or patient, or just to mean something that restricts or confines like a straitjacket. Merriam-Webster does give straightjacket as an alternative spelling, but it is not the preferred spelling. Use straitjacket instead. You can remember the term by recalling that a straitjacket confines or restrains; thus the word is narrower and contains fewer letters than straightjacket. The term also has a couple of variants, such as straitjacketed, generally meaning someone who is confined or restricted in some way, and straitjacketing, a verb referring to the process of confining or restricting someone. Sources Ã¢â¬Å"Straight vs. Strait: A Dire Situation.Ã¢â¬ Ã Merriam-Webster, Merriam-Webster.Ã¢â¬Å"Strait vs. Straight.Ã¢â¬ Ã Grammarist.Ã¢â¬Å"Strait vs. Straight: Whats the Difference?Ã¢â¬ Ã Writing Explained, 27 June 2018.Ã¢â¬Å"Straitjacket.Ã¢â¬ Ã Merriam-Webster, Merriam-Webster.Straightlaced. Merriam-Webster, Merriam-Webster.
Wednesday, May 6, 2020
The Manifest Destiny was the attitude prevalent during the 19th century period of American expansion that the United States not only could, but was destined to, stretch from coast to coast. Manifest Destiny was mainly accomplished by the Monroe Doctrine, the annexation of Texas, and the Mexican-American War, but we were not a true continental power yet. After 1850, the Civil War, westward expansion, and the rise of big business made the United States a true continental power. By the time James Polk became president in 1845, an idea called Manifest Destiny had taken root among the American people. The belief that the U.S. had a God-given right to occupy and expand gained favor as more Americans settled to the west. Manifest Destiny wasÃ¢â¬ ¦show more contentÃ¢â¬ ¦The Civil War united the nation and expanded America mainly through slavery. Since slavery was a very partisan issue between the North and the South, ending the issue through the Civil War made the United States more of a u nited whole. During the Civil War, there was a call for many war materials. This led to a rise of factories and large companies to meet this demand, and after the war, these companies turned the munition into civilian business, allowing for economic growth in the United States. Also, there were lots of changes to the United States. The rise of large industrial corporations made lots of consumer goods, and railroads became huge with companies created for the sole purpose of building railroads. New legislation occurred as well, such as the Homestead Act of 1862. Signed into law by Abraham Lincoln during the Civil War, this act would eventually result in the transfer of 270 million acres of public lands to private individuals. The Civil War gave rise to not only contributed to our fundamental goal of Manifest Destiny, but to the rise of Westward Expansion. Westward Expansion was the main factor that made the United States a true continental power. The Louisiana Purchase doubled the siz e of the nation and opened up a little known region to exploration and eventual settlement. The initial westward expansion brought increasing mobility throughout the nation.Show MoreRelatedEssay On Manifest Destiny1432 Words Ã |Ã 6 Pages Manifest Destiny has many topics to choose from, the Annexation and war with Mexico being one of them. Annexation is the action of invading, most times it was about invading land. There were more Americans living in Texas then there were Mexicans. Eventually Texas became an independent republic in 1836, this simply added to the events leading up to the war with Mexico. The purpose of this essay is to understand the Annexation of Texas, how the war with Mexico began, what happened in the MexicanRead MoreThe Manifest Destiny Essay1076 Words Ã |Ã 5 Pagesfull swing by the 1840s. Which evidenced that the continued expansion of the states was an issue and the idea of a Manifest Destiny was of major importance. John L. OÃ¢â¬â¢Sullivan once sta ted, Ã¢â¬Å"Our Manifest Destiny is to overspread the continent allotted by Providence for the free development of our yearly multiplying millionsÃ¢â¬ (America: A Narrative History). The idea of a Manifest Destiny originated in the 1840s by the Anglo-Saxon Colonists to expand their ideal civilization and institutions across NorthRead MoreManifest Destiny Essay802 Words Ã |Ã 4 Pages Manifest destiny was the belief that God wanted the United States to own all of North America (Hall 301). But John OÃ¢â¬â¢Sullivan really only envisioned that white men were the only ones privileged enough to receive liberty (Hal 301). The Manifest Destiny was caused by the American people it gave them a sense of superiority over the other peoples who lived in North America. The declaration of the Manifest destiny wanted to expand the U.S. territory over the whole of North America and to extend andRead MoreThe Manifest Destiny Essay884 Words Ã |Ã 4 Pages The Manifest Destiny is the idea of continental expansion by the United States, from the Atlantic to the Pacific Oceans, which naturally occurred out of a deep want and need to explore and conquer new lands and establish new borders. This idea contributed to several wars, including the US-Mexican War. Mexico and the United States had its share of territorial issues. With only four more days of his presidency, on March 1, 1845, President John Tyler signed the Texas annexation bill. When the UnitedRead MoreManifest Destiny Essay989 Words Ã |Ã 4 Pages Manifest Destiny(1830s-1840s) The ideal of Manifest Destiny has shaped the American society during the 1830s to 1840s by establishing the innovation of manufacture, the expansion of territorial, transportation, and communication. Though it is one of the greatest period of the westward territorial expansions, it caused a massive conflict of social interaction, political, religious and automatically divided the gender roles in the community. During the nineteenth century, American had expandedRead MoreManifest Destiny Essay1433 Words Ã |Ã 6 PagesManifest Destiny Westward expansion was a key component that shaped the United States not only geographically, but economically as well. The first sign of any expansion West from the original states was when Thomas Jefferson bought the Louisiana Purchase from France in 1803. The country was in need of new land in order to accommodate for the expanding population. Once the country started to expand, its power soon followed. The nation had a struggle with expanding because of the Native AmericansRead MoreManifest Destiny Essay1119 Words Ã |Ã 5 Pagesstagnation. The landmass of the Thirteen Colonies was enough to rival that of the Mother country from which they separated. The forefathers believed that it was the manifest destiny of this nation to eventually claim the expansion from the Atlantic to the Pacific Ocean. By 1890, nearly a hundred years following the original claim of Manifest Destiny, the land that was once open, was now under American control. But no sooner was the Great American Fronti er closed, than was the door to East Asian expansionRead MoreEssay On Manifest Destiny1709 Words Ã |Ã 7 Pagesone of many seminal events in the history of the United States. However, it began the debt we are still in today; the Louisiana Purchase gave us the land that began the Manifest Destiny. Ã¢â¬Å"The term Manifest Destiny originated in the 1840Ã¢â¬â¢s when John L. OÃ¢â¬â¢Sullivan said in an article that it was the American colonistÃ¢â¬â¢s Manifest Destiny to spread over the continent and that God had given them the land for the sole purpose of multiplying and free development.Ã¢â¬ (History.com staff). It was this philosophyRead MoreManifest Destiny Essay1269 Words Ã |Ã 6 Pagesexpand west to the Pacific Ocean, Manifest Destiny would become one of the most influential ideologies in American history (Greenberg 3). This belief of the settlers aided in the westward expansion of the nationÃ¢â¬â¢s boundaries through the removal of the Native Americans who had inhabi ted the western lands for generations and in some cases centuries; and with a war with Mexico in which we gained territory in Texas, the southwest and California. The idea of Manifest Destiny was first introduced into theRead MoreManifest Destiny Essay935 Words Ã |Ã 4 PagesManifest Destiny is A term used in the 19th century to describe the early American settlersÃ¢â¬â¢ belief that expansion was unavoidable, and destined to happen. The idea led to settlers migrating westward with the notions that whatever acts they committed were justified. The belief that the circumstances warranted their behaviors. This mindset led to the Indian Removal Act, the Mexican-American War, the California Goldrush, and eventually the development of railroads across the continent which helped
Tuesday, May 5, 2020
Question: Discuss about the Clinical Governance for Measuring Health System. Answer: The move to foster quality health in New Zealand among nurses has been implemented in the recent years. An element such as clinical leadership has heavily been invested in by the government and non-governmental organisations so that the objective of ensuring constant quality is upheld in the country. There are various strengths associated with it, like accountability, professional development, quality assurance, fostering teamwork, improved health outcomes, collaboration among health workers, improved health resource management, among others. However, there are weaknesses like lack of enough information, insufficient resources, and mismanagement, inadequate support from the government and non-governmental organisations, and many others that will be discussed in this paper. Nursing, as a profession, is instrumental in maintaining and developing quality. It is the area of personal experience that integrated clinical governance, thus resulting in the identification of the strengths and weaknesses in this discussion. The New Zealand nursing council regulates the competencies and standards for registration, which always ensures competent and safe care of the New Zealand's public. Some of the important issues in the guideline includes Treaty of Waitangi, cultural safety, and Maori health. Among the specific traits of nurses are the promotion, optimisation, and protection of abilities and health, preventing injuries and illness, and alleviating the suffering of people from all walks of life. These traits are ensured through ethical behaviour, proper nursing education, health promotion and other vital functions ("Scopes of practice / Nurses / Home - Nursing Council of New Zealand," 2016). The New Zealand Nursing Council provides the vividly established scopes of practice for enrolled, registered and practitioner nurses. The values underpin practice in nursing and form the basis for the philosophy of nursing formulation. Among the values is upholding needs, rights and benefits of the patient in making decisions, no discrimination, maintaining a therapeutic relationship, advocacy for patient's, family's and community's rights, supervision of juniors and proper delegation, and a combination of science and art in the provision of care. Furthermore, the practice has to be based on the professional conduct principles that are provided in the updated professional ethics and code of conduct for registered midwives and nurses in New Zealand. Again, the scope of practice grows and changes as proficiency develops and factors such as the nurses education, collaboration in practice, the setting of practice, patient safety, outcomes of care and needs of the patient. In any organisation, teamwork is paramount, and nurses collaborate with other health practitioners like doctors, laboratory technicians, nutritionists, consultants, surgeons, and physiotherapists. Nurses are always interacting with patients and therefore, they note some specific issues that can help in the overall recuperation ("Scopes of practice / Nurses / Home - Nursing Council of New Zealand," 2016). For instance, a nurse has thrice chances of noting that a client is allergic to a given drug than a physician or a pharmacist. In this case, they may recommend halting the drug immediately and introducing an alternative one. In a nutshell, collaboration among the health practitioners is essential in ensuring positive patient outcomes and quality care. Nurses have a cordial relationship with their colleagues and counterparts. Definitions Clinical governance It is a structure through which organisations have to safeguard standards of care that are high and to be accountable for continuously advancing and improving the services they render to the public by providing an environment through which clinical care shall excel. In clinical practice, governance means that each team member must understand their role in the provision of quality care, improvement of care has to be realised through the most appropriate method, identification of issues that need advancement and planning and monitoring their development. Furthermore, being accountable for the care one provides, management of the personal practice and the ability to demonstrate to others that the care given is of quality. All these parameters have to be supplemented by credible leadership because it determines the provision of resources, education and other vital things (Gottwald Lansdown, 2014). Clinical governance empowers, improves and assures quality by the entire nursing profession. It is because nurses provide primary care, therefore upholding the governance guidelines improves care and promotes patient healing thus shortening the time of hospitalisation, early resumption of regular duties among other benefits (Reddy, 2013). Contemporary healthcare in New Zealand The modern health in New Zealand involves the utilisation of technology, improved training facilities, developed nursing practice, increased government funding among other developments (Arnaiz, 2016). Modern machines for dialysis, cardiac support and others are improved to meet public support. Intensive care units and general hospitals have also developed. Again, the use of quality strategies like clinical governance has helped New Zealand's contemporary health care. From 1983, the health sector of New Zealand has gone through four transformations. Each of them had different organisations meant for provision of care and funding. The Area Health Boards (AHBs) were between 1983 and 1993, Crown Health Enterprises (CHEs) and Regional Health Authorities (RHAs) were between 1993 and 1997 (Khan, 2014). Subsequently, Hospital and Health Services (HHSs) and Health Funding Authority (HFA) operated between 1997 and 2001, and finally, District Health Boards (DHBs) which came from 2001 ("Democratic Governance Health: Hospitals, Politics and Health Policy in New Zealand", 2013). The health demand in New Zealand is massive considering that most of the population consists of the senior citizens. These government policies have evolved in a bid to meet the high population needs of health care (Chan, 2013). Strengths of Clinical Governance. Clinical governance promotes quality in care. During the personal nursing practice, clinical leadership through the facilitation of models such as team nursing improved understanding of the patients condition and identification of the best interventions of care. Most of the patients aired their satisfaction with the facilitys means of providing nursing and medical attention. Other models like primary nursing were also utilised. Again, the nurse in charge always took the lead role in dispensing quality care. Clinical governance percolated from the top facility leadership to the ground; this saw that the other health practitioners like doctors and pharmacists upheld quality (Ashton, 2015). It improves the effectiveness of the health interventions. In a person's health, how effective medical attention is determines the health outcome. Clinical governance advocates for the quality prescription, administration of the right drugs, to the right patients and the right dosages. Aside from medical care, psychological and physical management such as bed bath and Cognitive Behaviour Therapy (CBT) are also enhanced (Butcher, 2015). During my experience, a nurse, a nutritionist, a physiotherapist, a mechanical technician, a doctor, interns, and consultants were all present during a ward round. This move ensured that there could be maximum contributions towards the patient's health. Clinical governance provides continuous health education and development. Most practitioners who involve in governance seek further education because there is constant training by organisations such as government on quality clinical governance. During practice, there was a hospital policy, established through governance that sponsored outstanding practitioners for further studies. The initiative saw a healthy competition among practitioners and improved their quality of education. The in charges went for health management masters degrees and other fields like ICU and renal nursing, medical and surgical nursing among others. It has significantly improved the education for practitioners and personal development. Advancement of knowledge among health workers is the hallmark of superb health in any nation because experienced practitioners are efficient. It improves research and upholds evidence-based practice (EBP). Clinical governance has elements like leadership, evidence-based decision making, cooperation among clinicians, career development, and others. These features are improved through research. Also, EBP has to utilise research and it is advocated for in clinical governance. For continuity of any profession, research must be integrated, and health care is one of the prominent areas utilising it. During practice, there was a mandatory participation in research, for instance, the collaboration between the Medical Research Institute of New Zealand and the hospital on the commonest lifestyle behaviours in Wellington that gradually led to the development of cardiac problems (Gauld, 2013). Weaknesses of Clinical Governance. Among the most prominent weakness of clinical governance witnessed during the clinical practice is the lack of motivation and a poor attitude towards the strategy by the health practitioners. Since the approach was recently introduced in New Zealand, most health institutions prefer utilizing traditional health delivery methods that most of their staff understand well. The health workers also deem the approach, so involving and tedious thus shunning away. For instance, during the personal nursing practice, as the workers, it took much time to prove the importance of the system to colleagues and even the hospital management. Another challenge was the increased criticism of the method since it was new for adoption in the health system (Gottwald Lansdown, 2014). Clinical governance is very expensive. Most of the institutions in New Zealand were reluctant to use this approach because it needed much investment in research and supplemental activities like transport, accommodation among others. For instance, when an institution sponsors an individual for further education, and seminars of clinical governance spends a lot of money. Therefore, the method can only be feasible in well-established settings and discriminates upcoming hospitals and nursing homes. Even the government has a hard time to ensure clinical governance is uniform in the health system. Revenue projected to the sector is insufficient because full realisation demands much money that can lead to suspension of other important tasks like procurement of drugs and other supplies in health institutions (Gauld Horsburgh, 2015). Again, the approach is time-consuming. For the effective outcome of the process to be achieved, a long wait is to be endured. In the initial stages of implementation of the approach in the New Zealand's contemporary health care environment, positive results have not been seen instead losses and frustrations of massive investment in the project. This finding has orchestrated negative reception of clinical governance by institutions, individuals, the government and non-governmental agencies. Additionally, it requires a bureaucratic process in implementation from the senior health workers to the junior ones. Most of the practitioners do not understand the requirements of clinical governance because it has a sophisticated content that needs vivid scrutiny and study (Gauld Horsburgh, 2015). Therefore, if they engage in the approach, its hard for them to exhibit the consciousness of its importance, and ultimately give up. Conclusion It has been found that clinical governance is vital in maintaining quality considering the numerous strengths that have been discussed in this paper. The advantages include the promotion of quality care, improvement of the effectiveness of health interventions, ensuring continuous health education and individual development, and improvement of research. Despite the strengths, there are weaknesses that have been explored as well. They include reduced motivation and attitude by the workers to this approach; it is expensive for most of the institutions and individuals in New Zealand, bureaucratic, time-consuming and it is hard to understand especially for the novice practitioners ("Health Promotion: Ideology, discipline, and specialism", 2015). Recommendations Considering the findings in this discussion, the following recommendations have been proposed; The government should increase funding to health institutions to foster clinical governance. Health practitioners to embrace a personal urge for evidence-based practice (EBP). The government to enact policies and plans for motivating health leaders to embrace clinical governance. New Zealand nursing council to promote governance in nursing education. Political interference in health care to be abolished and proper legislations put in place. Seminars and training programs to be intensified in health institutions. A campaign for the change of attitude towards clinical governance to be initiated. An all-rounded support system to be identified by experts in support of the strategy. Public cooperation to be championed so that clinical governance gets back up. Constitutional amendments should be done in a bid to enable nurses and other health workers perform some extra duties and mandatory upgrading of education. Hospital policies to be proposed requiring every hospital to adopt clinical governance as their way of operation. Organisation of exchange programs among different staff to be done. References Arnaiz, F. (2016). New Funding Models Help Improve Access to Healthcare.Globe Policy. https://dx.doi.org/10.1111/1758-5899.12361 Ashton, T. (2015). Measuring health system performance: A new approach to accountability and quality improvement in New Zealand.Health Policy,119(8), 999-1004. https://dx.doi.org/10.1016/j.healthpol.2015.04.012 Butcher, W. (2015). Spirituality, Religion, and Psychiatric Practice in New Zealand: An Exploratory Study of New Zealand Psychiatrists. HSCC,3(2), 176-190. https://dx.doi.org/10.1558/hscc.v3i2.26544 Chan, H. (2013). Institutional policies and guidelines for informed choices and decision making: a review of acp policies in selected district health boards in new Zealand.BMJ Supportive Palliative Care,3(2), 245.1-245. https://dx.doi.org/10.1136/bmjspcare-2013-000491.51 Democratic Governance Health: Hospitals, Politics and Health Policy in New Zealand. (2013).Australian And New Zealand Journal Of Public Health,37(5), 497-497. https://dx.doi.org/10.1111/1753-6405.12143 Gauld, R. (2013). Development of Clinical governance: learning from the New Zealand experience.Postgraduate Medical Journal,90(1059), 43-47. https://dx.doi.org/10.1136/postgradmedj-2012-131198 Gauld, R. Horsburgh, S. (2014). Measuring progress with clinical governance development in New Zealand: perceptions of senior doctors in 2010 and 2012.BMC Health Services Research,14(1). https://dx.doi.org/10.1186/s12913-014-0547-8 Gauld, R. Horsburgh, S. (2015). Are some health professionals more cognizant of clinical governance development concepts than others? Findings from a New Zealand study.J Public Health,38(2), 363-370. https://dx.doi.org/10.1093/pubmed/fdv045 Gauld, R. Horsburgh, S. (2015). Healthcare professionals' perceptions of clinical governance implementation: a qualitative New Zealand study of 3205 open-ended survey comments.BMJ Open,5(1), e006157-e006157. https://dx.doi.org/10.1136/bmjopen-2014-006157 Gottwald, M. Lansdown, G. (2014).Clinical Governance. Maidenhead: McGraw-Hill Education. Health Promotion: Ideology, discipline, and specialism. (2015). Australian And New Zealand Journal Of Public Health,39(6), 593-593. https://dx.doi.org/10.1111/1753-6405.12417 Hoare, K., Mills, J., Francis, K. (2013). Being willing to role model. Reciprocity between new graduate nurses and experienced practice nurses in general practice in New Zealand: A constructivist grounded theory. Collegian,20(2), 87-93. https://dx.doi.org/10.1016/j.colegn.2012.03.009 Holloway, K. (2012). The New Zealand Nurse Specialist Framework: Clarifying the Contribution of the Nurse Specialist.Policy, Politics, Nursing Practice,13(3), 147-153. https://dx.doi.org/10.1177/1527154412459083 Khan, K. (2014). The CROWN Initiative: journal editors invite researchers to develop core outcomes in women's health.Aust N Z J Obstet Gynecol,54(4), 298-299. https://dx.doi.org/10.1111/ajo.12240 Lugo, M. Secker-Walker, J. (2015).Advancing clinical governance. London: Royal Society of Medicine Press. MacVane Phipps, F. (2015). Clinical Governance Review 20.2.Clinical Governance: An Intl J,20(2), 101-104. https://dx.doi.org/10.1108/cgij-06-2015-0017 Reddy, K. (2013). The efficacy of the principle-based corporate governance practices: a case study of New Zealand.International Journal Of Corporate Governance,4(2), 138. https://dx.doi.org/10.1504/ijcg.2013.055755 Scopes of practice / Nurses / Home - Nursing Council of New Zealand. (2016).Nursingcouncil.org.nz. Retrieved 23 August 2016, from https://www.nursingcouncil.org.nz/Nurses/Scopes-of-practice