Auditor Crazy Eddie

Evaluator Crazy Eddie Question: What explicit errors (aside from inability to see â€Å"red flags†) did the examiner make? For each misstep, portray what the examiner ought to have done. On the off chance that you were the Managing Partner for the CPA firm and had full information on the real factors and occasions for this situation, what changes in strategy or techniques would you execute to ensure this review disappointment doesn't happen later on? The Crazy Eddie’s fiscal reports had numerous false finished and under-representations done from various perspectives that the examiners ought to have gotten. They made imaginary incomes by various methods. They arranged fake solicitations indicating deals which exaggerated their incomes to show the organization was becoming quicker than they really were. Their merchants teamed up in the extortion by misleading the inspectors when the reviewers endeavored to affirm a portion of these receivables. The reviewers were not persistent when they confi rmed these solicitations. They ought to have examined further into the merchants to confirm that these deals happened. They additionally ought to have comprehended the connection between Cray Eddie’s and their sellers to comprehend if there were intentions in misrepresentation. They exaggerated their benefits by exaggerating stock. They would obtain stock from providers to blow up the completion stock. The providers would transport the product to the Crazy Eddie’s stores and hold the charging until after the finish of the bookkeeping time frame. The workers of Crazy Eddie went to incredible degrees to beguile the reviewers. They would move stock to the stores or distribution centers that were being evaluated to cover the deficiencies. The examiners ought to have gotten that the product was not charged and comprehended what accounts they charged in the books when the product was gotten. Another methods for exaggerating the stock was they transported stock starting with one store then onto the next store so it could be twofold checked. This ought to have been gotten by the inspectors by having the whole stock checked in equal. The workers remembered for their stock transferred product and merchandise being come back to providers. This could have been found by understanding the subtleties of Crazy Eddie’s stock. The inspector ought to have distinguished the entrusted product and merchandise being come back to isolate it from the typical stock. Insane Eddie utilized the bookkeeping time frames to exaggerate resources and pay. They held off shutting the books past the finish of the bookkeeping time frame to exaggerated resources and salary by boosting deals. Different methods utilized was to diminish liabilities and costs by not recording them until the following time frame. The inspectors ought to have checked books toward the finish of the bookkeeping time frames to ensure that all exchanges were recorded. The evaluators expected to confirm t he exchanges around the finish of the period to check their planning exactness. Another classification of false exercises was the point at which they were finishing their fiscal reports. They didn’t enough reveal realities in the fiscal reports as per GAAP. The reference during one period expressed that specific salary was perceived when gotten and the accompanying time frame uncovered that pay was perceived when earned. The examiners ought to have included an informative passage or an adjustment of wording for absence of predictable utilization of GAAP.

Strategic HRM

Question: Talk about theStrategic HRM. Answer: Presentation This report depends working on it investigation of a music organization named Galaxy music. The contextual investigation depends on execution of universal human asset the executives on the tasks of association. The report essentially portrays about the difficulties and issues an organization faces during the universal business. As indicated by the contextual investigation, there is an organization named Galaxy music which works in different nations for example USA, UK and Germany with gigantic opportunity. Tom Black is recently designated leader of the organization and he is making a decent attempt to bring a few changes inside the organization. Before doing changes in the organization, he leads a gathering with every single ranking director of the organization. The explanation of changes is that the organization is doing a decentralized, unified organized business with geographic regions. As indicated by the president the organization ought to grow its business universally with the perspective on think worldwide and act nearby (Saintilan et al, 2013). To work in the universal market, organization needs to confront some significant moves, for example, remaining receptive to nearby market, in which the organization is working, control the outside activities, coordination with remote units, and spotlight on transient tasks with a perspective on intensity in showcase (Fletcher Crawford, 2013). System music is attempting to move in global market where each had a capacity to work its business and settle on own business choices as far as who to record or visit, and which craftsman to help and so on. Quality and Weakness of Centralization versus Decentralization at Galaxy Incorporated structure implies one individual to settle on choice and give guidance to the organization. This structure is utilized by the private ventures on the grounds that there is one proprietor who is liable for the tasks of the business (Friedman, 2011). Then again, in decentralized business structure, there is more than one individual who takes the choice of the organization. There are distinctive level in a business and each individual take choice based on his level in the association. Both the structure is significant for the association. Concentrated business has a specific strategic, and destinations for directors and representatives made by the entrepreneur. In decentralized business, association uses the labor as indicated by their skill and information for maintaining the business. Administrators in expansive supervisory group guarantee to deal with the different kinds of business activities and achievement of organization (Ferrell Fraedrich, 2009). System Music Company is decentralized organization. It has its branches in various nations, for example, USA, UK and Germany. In view of the decentralizations in organization, the organization has a few qualities and shortcoming. The qualities and shortcoming of the organization are depicted underneath: Quality: Galaxy Music organization is decentralized and the in addition to point is that organization permits more individuals to give utilize their abilities and involvement with dynamic identified with new activities and extension in universal market. Due to decentralization structure, there is no weight of obligation on one chief for every single working action (Hales, 2006). For instance, there are distinctive director for the task of various nations. Katie Jamieson is the administrator of US promoting and Philippe Collard is the overseeing chief for Galaxy France. Both are looking of changed ventures for the organization. In the organization, the force is conveyed among numerous people. By the contextual investigation, it very well may be seen that recently designated president is leading a gathering with respect to operational exercises of the organization to know the perspectives everything being equal. By knowing the perspectives, President will have the option to take those choices which will be productive for the organization. By the decentralized structure, organization is attempting to connect more individuals in dynamic procedure. It will improve the conviction of workers towards the organization (Rao, Narayana, 2007). Shortcoming: notwithstanding advantages and qualities, there are a few shortcomings because of decentralized structure in Galaxy Music Company. By the investigation of contextual analysis, it tends to be seen that there is an absence of consistency of norms and arrangements among the directors of the organization. The supervisors are not intrigued to take an interest in dynamic procedure (Jackson Morgan, 2004). The model can be seen when the gathering was directed. The president needed to think about their perspectives yet a portion of the directors were occupied in their telephones. They were not listening appropriately what the president is stating. There is one more disadvantage as a result of decentralized structure that it is making issues in a joint effort with the supervisors in light of the fact that the perspectives of administrators are unique and all are adjusts as per their recognition. Along these lines, it will make loads of issue for president in taking right choice (C istulli, 2002). The separation in the view of directors can make clashes among them. For instance, president needed to extend the business with nearby market yet one of the directors didn't concur with his point. He gave his contention that it is beyond the realm of imagination to expect to enter in various market with the nearby market. As per him, Galaxy Music Company is a nearby organization and it won't be capable for the organization to take own choices by entering in new world. In such case, all the authority is in the hand of lower level administrators and the president will be left no power. He can't do changes as indicated by his perspectives. Things could Galaxy do to Ease the Tension Between International Office and Operating Companies Cosmic system Music Company is neighborhood organization working its business with nearby chances, taste and nearby ability. Because of decentralized structure of the business, organization is far away to accomplish some business reason. Chiefs are not prepared to move universally in light of the fact that they thought they are nearby business players. To diminish the issue between the global office and working organizations, Galaxy Music Company can receive some vital human asset plans. The leader of the organization additionally proposed reasoning worldwide and acting nearby. The organization can embrace the People technique procedure to lessen the pressure. Individuals system procedure will assist the director with understanding the plan of action and ability of business (Paauwe, 2004). The means which can be received by organization are depicted beneath: The organization should give an unmistakable plan of action and system to win the market. It tends to be seen by the case that administrators don't know about the venture of geological organizations since they dont have clear business procedure. They all are pondering bringing in cash (Guest, Paauwe Wright, 2012) There ought to be clear and indicated authoritative business capacities to work the business methodology made by the organization. For the situation study, the promoting executive of the organization is taking care of a task in France. As per him, the undertaking which the organization is beginning in France won't get achievement in light of the fact that there is no regard of such sort of ventures in France. This will be the wastage of cash. On the off chance that there would be away from for the venture and away from of capacity in plan of action, the chief will finish this undertaking with positive view and guarantee (Jackson, 2004). The organization should structure a legitimate and suitable HR rehearses for the chiefs. Appropriate HR practices will assist supervisors with identifying their capacities to satisfy the tasks. In the absence of legitimate HR rehearses, director are not making a decent attempt work. This is the explanation that the organization is far away from its objective and there is pressure between global office and geological workplaces (Andresen Nowak, 2015). The leader of the organization should discover right people to work in worldwide market. Albeit one of the supervisors is against to employ new individuals. Organization needs to concentrate on halfway approved, arrangements and techniques intends to create everything and everybody. Organization can utilize 7-S model structure to build up the viable procedure (Michalski, 2011). Figure 1: 7-S system (Source: Michalski, 2011) The model is known as The McKinsey7-S Framework. It is intended to outline the best possible and clear methodology for the business. The plan strategies fall into seven classes. The first is methodology which decides course. Second class is framework which decides process inside association. Third classification is staff which alludes to individuals, ranges of abilities and attitude inside the association. Fourth class is style, which decides the authority received by the association. Fifth classification in the model is abilities that allude to appropriate aptitudes of the representatives and chiefs working for the organization. 6th class is structure which decides the method of structure of association and the situation of dynamic force for example who reports to whom. What's more, the last one is shared worth which decides the basic beliefs of the organization that shows the work culture and business morals of the association. This model can be useful to distinguish the necessities to improve the exhibition and to keep up the presentation during the change. For performing admirably, organization must follow this model. This model is useful to distinguish the present circumstance and the future circumstance of the organization and attempts to fill the hole between these circumstances (Basu, 2004). End By the investigation of contextual analysis, it has been seen that Galaxy music organization is a decentralized organization and the dynamic force isn't close by of more significant position authority. There are a few chiefs for various tasks there are various perspectives on one choice. Alongside this, there is an absence of coordination among the administrators and result is that nobody is not kidding for the issues raised by the president. By the above conversation, it has been examined that administrators of the organization need legitimate procedure arranging and fitting plan of action. By the best possible system, they will have the option to recognize their

Quality of Life (QoL) in Saudi Adult Patients with Hemophilia Essays

Personal satisfaction (QoL) in Saudi Adult Patients with Hemophilia Essays Personal satisfaction (QoL) in Saudi Adult Patients with Hemophilia Essay Personal satisfaction (QoL) in Saudi Adult Patients with Hemophilia Essay IntroductionTitle:Appraisal of Quality of Life ( QoL ) in Saudi Adult Patients with Hemophilia ( PWH ) ; A cross-sectional survey.Research Problem:Hemophilia is a deep rooted familial surprise portrayed byrecurrenthemorrhageeventseither unexpectedly or initiated by injury. ( 1 ) Hemophilia narratives for 65 % of the familial discharge agitates in Saudi Arabia. ( 2 )Patients with hemophilia experience the ill effects of repeatedepisodes/of shed blooding into explanations (3) . As an impact, patients will see harming, firmness, arthropathy that will take to limitation of their movement ( S ) lastly they may plug up with disablements. These scenes may be dangerous if a significant draining happened (3) . Hemophilia portion non just hold an effect on patients’ physical exercises, however it other than influence patients’ passionate, mental and cultural area ( 4 ) .The advancement in hemophilia mediation lead to a diminishing in the death rate ( 5 ) ( uk or Iran from.. to.. in what state, creator, twelvemonth what mediation with refrence ) .However,This improvement did non thwart confusion from gathering and patients with haemophilias are as yet battling from shed blooding episodes’ impacts that is limiting their capacity to outline . Hemophilia is believed to be agreatcause of dreariness and affect personal satisfaction. These days, patients’ personal satisfaction turned into an of import outcome that ought to be considered in clin ical assurance conceiving ( 6 the article in bookmark ) .Research rational:Quality of life is a significant outcome that ought to be assessed in Saudi adult patients with haemophilias ( 7 ) . Up to our insight, there have been no surveies directed in Saudi Arabia to quantify QoL in adult patients with haemophilias.Research important:Assessment of wellbeing related personal satisfaction is an essential way to flexibly significant data about hemophilia dependent on Saudi adult patients’ perceptual experience of their status and the difficulty of it that may be difficult to gauge by specialists. ( 8 ) These informations can be used to guide future assurance ( s ) doing identified with the course of the steamed and the advancement of patients’ grimness. (8)Research inquiry:How hemophilia influences QOL of Saudi adult patients at King Khalid University Hospital ( KKUH ) , Riyadh, Saudi Arabia?Research hypothesis:It is estimated that understanding with hemophilia experience the ill effects of hapless nature of life.Research aim:Primary aim:* Our motivation is to survey personal satisfaction in Saudi adult patients with haemophilias at KKUH, Riyadh, Saudi Arabia.Secondary aim:*To place the variables affecting QoL in Saudi adult patients with haemophilias.to better the wellbeing offered types of assistance to quiet with haemophilia.Specific aim:1-To evaluate personal satisfaction of Saudi adult patients with haemophilias at KKUH, Riyadh, Saudi Arabia.( matured 18 mature ages, oversaw at KKUH, Riyadh, Saudi Arabia, from septemper-2014 to april-2015 )refrence:1-Maha?2-arwa know it3-Maha?4-Iran5-Korea6-interface I sent via mail in novmber 107-11 Quality of Life in HemophiliaEduardo RemorAutonomous University, Madrid, Spain8-Maha? perceptual experience?Literature reappraisalHemophilia is a familial X-connected discharge upset, portrayed by lacking or missing souring factors. Shed blooding into joint infinites is the trademark of this ailment, and in occurren ce of rehashed shed blooding scenes hemophilia patients may suffer from irreversible changes inside their verbalizations, following in ague harming with lessening of versatility lastly taking to arthropathy that requires a concentrated clinical mediation and even some of the time, the interest for major orthopedic processs ( 6 ) .Clinical evaluation of infection position in hemophilia patients is simple done either by physical or radiological examination or even by mensurating the frequence and disagreeableness of joint drains. Despite the fact that its of import to gauge the patient status clinically, it does non precisely shows the patient’s perceptual experience of the sickness and its effect on the wellbeing related personal satisfaction ( HRQoL ) ( 7 ) .HRQoL is characterized as the abstract rating of an infection and its mediation sway on various measurements including physical, cultural and enthusiastic features of life ( 1,8 ) . Concerning patients with constant illne ss like hemophilia, where the cure is non gettable and the mediation is deep rooted, it is extremely of import to gauge their HRQoL to have the option to discover the aspects that are influenced the most by the infection, so fundamental moves is made getting looked at to better the general personal satisfaction in those patients ( 1,8,9 ) .HRQoL is impacted by various elements including the disagreeableness of the sickness, the handiness of prophylaxis intercession, the capacity of the patient to self-deal with his/her status and the handiness to medicinal services establishments ( 3,11 ) .As one review in Sweden exhibited that HRQoL is demoing various harms in various ailment badnesss, patients with horrible haemophilias were hindered more than those with mellow or moderate haemophilias in the physical functioning’ , while in the different manus patients with moderate hemophilia indicated greater hindrance in the general health’ and mental health’ than those wi th gentle or horrendous hemophilia ( 9 ) .Patients with cut off haemophilias do non ever show a less fortunate HRQoL in all circles. As one study indicated that the get bying measurement in patients with gentle signifier of hemophilia is more regrettable than those with cut off haemophilias, and that is owing to the way that those patient typically disregard their status and mediation as a result of the lack of appropriate guidance about the potential impacts of the ailment what's more since they regularly do non see a self-created drain scenes. Thus, if those patients had a significant post-awful discharge they will non hold the full capacity to pull off this situation ( 3 ) . Numerous surveies indicated that prophylaxis mediation is better than on-request intercession over the long haul ; as it majorly affects the patient’s HRQoL in footings of bettering the physical activity and cut bringing down the disagreeableness of joint deformities, harming, hospital inductions, and the interest for joint-substitution medical procedures ( 1,2,4,6,9,10 ) .The topographic purpose of intercession and the course to practice blood focuses plays an of import work in the HRQoL, as one overview directed in Brazil ( 3 ) with particular administrations for mediation demonstrated a superior outcomes than the Turkish review ( 2 ) were the patients is ordinarily treated in a general clinic. Another overview led in Iran ( 1 ) indicated that patients populating in unassuming communities have more terrible personal satisfaction and that is a direct result of the significant distance and the interest for going so as to gain a legitimate intervention.In choice, Sing haemophilias as a belly to-tomb confounded infection, along these lines it increments the taking care of HQoL of patients influenced by the illness and how would they oblige with its confusions which regularly presents as shed blooding into explanations that upset them from filling their heart with joy to-day life en acts. Be that as it may, patient’s result measurement non ever hand-off on sickness position however next to could be influenced by persistent self-care and the dish to health consideration administrations. At last, prophylaxis mediation has demonstrated to be a factor that improve persistent HQoL.Demographic and clinical requests age: ___ sexual orientation: ( 1 ) male ( 2 ) female instructive degree: ( 1 ) nonreader( 2 ) peruse and make( 3 ) elementary school( 4 ) private academy( 5 ) optional school( 6 ) college or higher business: ( 1 ) non working( 2 ) working, kind of work:( 1 ) office work( 2 ) Field work( 3 ) other ( enchant indicate ) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦5. living topographic point: ( urban †rustic sub country )4.any old joint hurt:what enunciation: shoulder hip cubitus carpus mortise joint other ( please determine ) †¦ .. none any joint supplanting: ( 1 ) no( 2 ) yes ( amuse specify which 1 ) .5.Using harming medication in the previous three twelvemonth: ( neer â€daily â€weekly †month to month )6.Number of shed blooding occasions in the previous three months: ____7. comorbidity? do you suffer from any incessant dzyes ( dm htn threatening neoplastic sickness chest other spicify ) or nogoes upCover missiveDear ParticipantWe are third twelvemonth clinical understudy, and we are convey oning review that quantifies the personal satisfaction of hemophilia patients in KKUH, Riyadh, Saudi Arabia.Measuring the personal satisfaction in heamophilia quiet ( O §U?O?O? O §U„O ±O §O?U?U†O §U„OYThe poll has been intended to piece data about how heamophilia influence the everyday usual way of doing things, temper, work or school, cultural life and intercession position.Your commitment in this exploration is completely deliberate, you reserve the privilege to withdraw any clasp in noxiousness that there is no known dangers for take separating in this survey.the survey will require around 10 - 15 moment to complete, Your answers will keep up secret, simply the examination laborers are permitted to cognize your answers, and it just will be utilized for the examination model.If you have any more remote concerns or requests sing this exploration, if you don't mind contact Thank you for your cooperationRationale, why the examination is of import, and how data will beIRB Statement If you have requests sing your privileges as an examination point, or if occupations emerge which you do non experience you can talk with the Investigator, amuse arrive at the Institutional Review Board Office at ( 916 ) 366-5359?

The Psychological Effect Of Academic Achievement Education Essay

African American understudies get the opportunity to increase scholastic achievement grants where students of their ain race are their solitary rivalry. Each clasp they get those honors, they are helped to remember the requests that needed to hold been met so as to make such affirmation. The GPA requests for these honors typically equivalent the mean GPA of their Asiatic and Caucasic classmates. In this manner, the models of these honors measurably pale in contrasting with the achievements of the Asian and Caucasic understudies. Since there are no equivalent race-explicit honors given to Asian or Caucasic students, plainly there is a contradiction in what society anticipates from understudies of specific races scholastically. These honors were made by associations to impel these students to go on their scholarly undertakings and perhaps achieve more. This study endeavors to quantify the cogency of such honors by the indicating scholarly greatness for all understudies, regardless of race. With explore, the paper other than endeavors to discover reason for perhaps take bringing down the measures for Afro-american explicit honors. Considering all the elements that add to a student ‘s intention, it is inferred that the honors could only end up being uneffective. Michael-Ann Henry Ms. Emily Sigman Senior Independent Undertaking Spring 2010 The Psychological Consequence of Academic Achievement Awards on African American Students Over the past duo decennaries, state funded schools and separate associations in Montgomery County, Maryland have granted African American and Latino understudies who show achievements in employees, driving, and sports. One of these honors was allowed to an athlete who kept up a 2.5 class point standard ( lone.5 over the ineligibility GPA of 2.0 ) ; another was compensated to an African American student for geting a GPA of 3.0. These honors plainly reject different populaces, for example, Asiatic Americans and Caucasians. How is it that the students of those ethnicities, who ordinarily sit on the more effective terminal of the scholarly achievement spread, are non granted for comparable accomplishments? Orchestrating to examine, it is measurably to a greater degree a rareness for Afro-american and Latino students to accomplish equivalent degrees of achievements when contrasted with Asians and Caucasians ( NAEP Studies ) . Since such accomplishment stays phenomenal with the understudi es of these races, the accomplishments warrant compensation, in the notion of the associations giving the honors. Associations like Montgomery County ‘s African American Festival of Academic Excellence guarantee that they look to â€Å" advance and help African American understudies to attempt for scholastic greatness † by indicating students with complimentary affirmations ( AAFAE Online ) . In any case, it should be demonstrated whether these honors do activate African-American and Latino students to indict progressively scholastic severity or whether they set the cantina gloom in a way that shows that it would be too much difficult for them to achieve increasingly like their Asiatic and Caucasic inverse numbers. Besides, a study of the conceivable connection between the honors and the accomplishment spread requests to be considered to quantify the need and effectivity of these honors in our educational systems. Tested by measurable and mental hypotheses, the cogency of the honors and their capacity to persuade progressively thought process in African American students has demonstrated, up until now, to be uneffective.Context for Evaluation of the AwardsIn request to discover the authenticity of these scholastic honors as inspirational instruments, genuine scholarly greatness must be characterized. A student ‘s grade point standard is typically the primary recorded interest for the honors in request and in this way, obviously, the greater part of import and most straightforward way to mensurate school execution.. So as to determine scholastic greatness in footings of a student ‘s grade point standard, the national mean GPA of all secondary school understudies ought to be thought of. Fitting to an article by Justin Pope of the Associated Press, in the twelvemonth 2000, the national standard for GPAs was a 2.94. At that cut, the above standard open introduction could hold been characterized by a GPA that outperforms 3.0. In any case, i t was accounted for that in 2005 over a fifth of the secondary school populace professed to hold a GPA identical to an A standard ( Pope ) . Along these lines, all through this overview, a GPA of 3.5 is accepted to exceed speak to scholastic greatness in today ‘s society, over the racial range. To put it plainly, grants with this interest are less inclined to be offered because of racially abstract grounds or varying viewpoints of students dependent on race. Understudies granted dependent on this interest would evidently be viewed as meriting the affirmation that accompanies scholarly greatness. Allowed that scholarly greatness ought to other than be assessed alongside a few different variables, for example, every district ‘s grouped strategies for making a class point standard, every teacher ‘s or scholastic area ‘s arranged rating approaches, and the understudy ‘s single endeavor and financial situation to call a couple this overview explicitly investigates scholarly honors given essentially dependent on grade point standards. In this way, arranging a GPA that about demonstrates scholarly greatness for all races, a 3.5, is important to gauge the cogency and the effectivity of the honors given to only Afro-american pupils.Examples of Awards GivenWhile dependent on the national standard GPA, an above standard GPA would be nearer to 3.5, a large portion of the race-explicit honors do non require a GPA halting point to that assessed pot of scholastic greatness. Inside Montgomery County Maryland, the African American Festival of Academic Excellence grant s secondary school students in this province who acquire a â€Å" total unweighted Grade Point Average ( GPA ) of 3.0 or above or a total heavy GPA of 3.2 or above for all consolidated secondary school mature ages through the principal semester of the present school twelvemonth † . Other than in the Montgomery County nation, the Iota Upsilon Lambda Chapter of the Alpha Phi Alpha Fraternity, a verifiably Black clique gives the undermentioned honors dependent on the relating requests: Jesse Owens Award for muscle heads with remarkable devotedness to sports and an insignificant GPA of 2.5 ; Paul Robeson Award for negligible 3.0 GPA ; and the W.E.B Dubois Award for lower cutoff of 3.5 GPA. Represented in Montgomery County, the contradiction obviously isolates the races that commonly perform great at the high terminal of the achievement spread and the races that ordinarily miss the mark regarding the rules of scholarly greatness. The greater part of the affirmation given to Africa n American students in Montgomery County does non run into the basis of greatness that depended on the mean GPA in the state. Henceforth, there is by all accounts a contradiction between the reasonable meaning of â€Å" above standard † for the students over the state ( a class point standard of 3.5 or higher ) and the imaginable meaning of â€Å" above standard † for African American understudies. In spite of the fact that the states of the recorded scholastic honors despite everything speak to OK achievements, commensurate accreditations and affirmation are non given to Asian and Caucasic understudies of in a comparable race-explicit way. In light of informations from the National Assessment of Educational Progress ( NAEP ) , if association s were to give out similar honors to Caucasian and Asiatic American understudies that fulfilled similar needs, the total of students that would have wagess would be overwhelming. Conversely, there exists only a little piece of the African American understudy natural structure that arrive at the rules of those scholarly honors. This divergence in the granting framework for students of various races nowadayss itself non simply in Montgomery County, however adjacent to all through the state. In the San Francisco Unified School District, the domain itself has a network occasion known as the Annual African American Student Honor Roll Parade and Celebration respecting â€Å" all inside and secondary school understudies with a 3.0 class point standard or above for as far back as two semesters, alongside the 10 top achieving understudies from every basic school in the region † ( Robbins ) . Be that as it may, the level of affirmation appears to be shaky when a student with a 3.0 runs into a similar rule to which different understudies are held for the non-race explicit scholarly honors they would be qualified to have. Director of Schools in that San Francisco domain, Waldemar Rojas, other than yearly presents a specific gold emblazoned plaque, â€Å" the Academic Excellence Award † to all Afro-american focus and secondary school students with a 4.0 GPA ( Robbins ) . Despite the fact that the contingent GPA of this honor appears to rise above the previously chosen meaning of scholarly greatness, in footings of GPA, there was no grounds that equivalent affirmation was given to students of different races who acco mplished the equivalent. In Seattle Public Schools ( 2003 ) , â€Å" in excess of 140 African American understudies from Garfield High School [ were ] perceived for their scholastic achievement at the Ku'Onesha Awards. These understudies have accomplished a class point standard of 3.0 or higher † supported by the â€Å" Parents for African American Student Excellence ( PAASE ) , a multicultural gathering devoted to shuting the scholastic achievement spread at Garfield High School † ( â€Å" Seattle ‘s Public Schools † ) . Accordingly, the contradiction among the honors given to understudy of arranged races turns out to be clear when there is no reasonable commensurate affirmation for scholastic achievement given to explicitly Asians and Caucasic students. It is evident that there is disparity in the introducing frameworks over the state ; the Afro-american students get grants with less requesting conditions than what the national standard GPA infers the requests ought to be, while the understudies of the races on the factually

Writing Tips - Essay Writing Essentials

Writing Tips - Essay Writing EssentialsIt's crucial to get your essays finished and submitted in time. It can be overwhelming, but if you follow some of the tips in this article you will find it much easier. You will not only end up with a better essay but also be rewarded by being invited back for more, if ever.When you are writing an essay for school, it is important to keep in mind that there are many different types of topics to choose from. There are common themes which are also important but there are also unique topics which can be written depending on your interests and style.A unique subject can also be part of your essay. The first step in writing a unique topic is determining what the main idea of your essay is.After you have identified the main idea, it is important to decide how that idea is best expressed. Most people don't take the time to research and analyze a topic, so they just write something down. Many writers of essays forget about the power of ideas and just st art off their essay with a keyword and then spend the rest of the essay describing the product.An easy way to spice up a unique essay is to think of different topics. It can help to make sure that you also write about how others feel about your chosen topic or what the argument for and against the topic might be.By researching the different topics available and gathering several ideas of interesting ideas to use in your essay, you will be able to come up with a topic which is perfect for you. You can then brainstorm for a few minutes to see what other ideas you can come up with and use those in your essay.It is not enough to list all the great topics for essay writing because you need to choose a few. One of the easiest ways to choose great topicsis to see how much information you already have. Write down the keywords that you might be using in your essay, and try to find others that you haven't mentioned yet.Writing a successful essay is about having confidence in yourself and your ideas. It is important to write in the first person, so when you write about yourself it is always the voice of the writer. By taking the time to write about your own experiences and interests, you will be able to express who you really are in the essay.

Analysis of Great Portland Estates Example For Free - Free Essay Example

An Investment Analysis of Great Portland Estates, Plc. Chapter 1 à ¢Ã¢â€š ¬Ã¢â‚¬Å" Introduction Great Portland Estates, Plc. à ¢Ã¢â€š ¬Ã¢â‚¬Å" To Buy Or Not To Buy? A glance at the price movement of the common stock of Great Portland Estates in the past year is enough to excite any investor who was fortunate enough to catch the great wave of price increases that took the stock from 353.75p to a current price of 533.25p within the past year (Reuters 2006), an astonishing return of 50.74% in the past year. This price increase closely mirrors the index of real estate stocks in general (Great Portland Estates, Plc. 2006, pp. 3). Clearly these are exciting times for investors of Great Portland Estates, Plc. and for the commercial real estate market in the UK in general. This explosive stock movement is predicated by the à ¢Ã¢â€š ¬Ã…“broadly positiveà ¢Ã¢â€š ¬Ã‚  opinion of Great Portland Estates management that they will be able to convert their company into a Real Estate Investment Trust in January of 2007 (Great Portland Estates, Plc. 2006, pp. 31). The question remains for the discerning investor: has the market already discounted the future potential of Great Portland Estates, Plc. as a REIT into the current stock price, or can the investor still make substantial gains by holding the stock? Is it time for current Great Portland Estates, Plc. investors to take profits, or are there even greater increases to be expected from the stock? More importantly, even if the conversion of UK commercial real estate development and management companies to Real Estate Investment Trusts will enable real estate companies in the UK to exhibit accelerated earnings growth in the near future, is Great Portland Estates, Plc. an optimally positioned company to take advantage of the trend? Finally, is the conversion of Great Portland Estates, Plc. into a REIT assured by the current political climate? This analysis will consider these factors, assess the risk of the industry and of the company in general, and provide investors with a sound financial foundation to answer these serious questions. The Role of Financial Analysis in the Investment Decision The opinion of the informed financial research analyst can be pivotal in swaying the investment decisions of potential and current investors relative to any given security. It is the fiduciary duty of the analyst to provide a sound, solid, well-researched, and fully supported investment recommendation to clients and potential end-users of the financial analysis report. The clientele relies on the analyst to synthesize a plethora of often disparate facts and figures to arrive at a conclusive à ¢Ã¢â€š ¬Ã…“buyà ¢Ã¢â€š ¬Ã‚ , à ¢Ã¢â€š ¬Ã…“holdà ¢Ã¢â€š ¬Ã‚ , or à ¢Ã¢â€š ¬Ã…“sellà ¢Ã¢â€š ¬Ã‚  recommendation relative to any individual security or portfolio of similar securities. This analysis is written with these three goals in mind: The analysis will provide the clientele with a solid theoretical and empirical foundation to make a well-informed investment decision about the common stock and/or bonds of Great Portland Estates, Plc. The analysis will accomplish goal #1 from a à ¢Ã¢â€š ¬Ã…“top-downà ¢Ã¢â€š ¬Ã‚  approach, by first analyzing macroeconomic factors which support an investment decision. Next, the industry sector of commercial real estate development and management in the UK will be analysed to determine if the industry sector is more or less favorable to investment than the economy as a whole. Finally, the analysis will determine if Great Portland Estates, Plc. is well positioned to capture excess profits above what is expected for the commercial real estate development and management industry sector in the UK (or if, conversely, Great Portland Estates, Plc. should be considered as having less potential than the market to profit from the current and upcoming environment. The analysis will proceed from goal #2 by then assessing if Great Portland Estates, Plc. is adequately valued by the market, or if there is opportunity for profits in the current pricing of the securities of Great Portland Estates, Plc. This valuation will focus on two methods: Price to Earnings Multiplier Valuation and Multistage Dividend Discount Model Valuation. Care will be taken by the analyst to ensure that the valuation models are adequately explained to the potential end-users of the valuation, including any assumptions used and difficulties encountered with the valuation methodologies. Full disclosure of assumptions and source materials used for the analysis will help to ensure the integrity of the analysis. Also, disclosure of any potential conflicts of interest and personal biases the analyst may have in delivering the investment recommendation is vital. It is with these goals in mind that the following support for the investment recommendation is presented. It is hoped that this information will provide utility to seasoned investors, yet remain accessible to financial novices via a thorough explanation of all salient points. Investment Risk Disclosure Statement: The information contained within this report is directed towards assisting in an informed investment decision regarding the securities of Great Portland Estates, Plc. Every investment carries some form of risk, and Great Portland Estates is no exception. Care has been taken in the report to outline potential risk factors that could cause adverse price movement within the security, but there are quite likely other factors that are not included in this report which could cause the securities of Great Portland Estates, Plc. to exhibit more risk and variance in returns than has been implied by the recommendation and valuations presented here. Users of this report should be aware of their own risk tolerances before making an investment decision. There are no guaranteed returns on securities. Use this investment information at your own risk. Chapter 2 à ¢Ã¢â€š ¬Ã¢â‚¬Å" The Outlook for the Economy The Current State of the UK Economy The UK economy has been relatively stable over the past year, with only minor changes in inflation (2.5%), employment (-.2%), and manufacturing (.8%) (National Statistics 2006). Concerning to the real estate development market is the fuel-driven increase in producer inputs (measured by PPI, or Producerà ¢Ã¢â€š ¬Ã¢â€ž ¢s Price Inputs), which has risen 10.9% (Ibid.). The change in inflation is the highest in 9 months, though it is only marginally higher than the bankà ¢Ã¢â€š ¬Ã¢â€ž ¢s anticipated rate of 2% (Guardian Unlimited Money 2006), and the increase is explainable by rising fuel costs. The production inputs price increases could translate to potentially lowered margins in the real estate market if prop erty price increases do not cover the increases in materials costs. Interest rates have recently risen to 4.75, and the Bank of England has given the market signals that more rate increases could be forthcoming (Guardian Unlimited Money 2006). Increased financing costs for real estate development also threaten the property markets, although developers who finance the sale of property can gain from these increases. Forecasts for the UK Economy Averages of independent macroeconomic forecasts for 2007 chart the UK economy to remain relatively stable, with GDP growth anticipated at an average of 2.4%, and inflation (measured by CPI) anticipated at an average of 2.2%. These figures were provided by the comparison of 21 independent forecasts produced by the private sector, and aggregated by the Treasury (HM Treasury Macroeconomic Prospects Team July 2006). Thus, the economy is expected to remain stable, not exhibiting substantial growth or retraction along leading indicators. Con tinued increases in interest rates are anticipated to combat a somewhat higher level of inflation than assumed by the Bank of England, as mentioned previously. It is clear that significant assumptions regarding fuel and inputs pricing are intrinsically related to the estimates of all independent forecasters. In particular, growing political concerns regarding conflict in the Middle East and concerns of terrorism at home could significantly impact financial markets and the prices of inputs, which could translate to adverse deviations from forecasted results for macroeconomic variables. For instance, the median price predicted by the 21 independent forecasts for the price of oil is $66.2 per barrel. At the current settled futures price for February 2007 delivery of light sweet crude oil at $78.21 per barrel, with September futures at $74.35 per barrel (New York Mercantile Exchange 2006), it seems that serious doubt should be cast over the assumptions of the forecasters as pertaining t o energy prices and the macroeconomic effects of continued energy price increases. Such increases could feasibly cause economic growth into 2007 to be more stifled than is predicted by the averaged forecasts. Political Climate in the UK The political climate in the UK is one of subdued turmoil. Prime Minister Tony Blair is widely expected to step down from office in mid-2007 amidst allegations of poor management and conflict within his own party (Economist Intelligence Unit 2006). It is unclear whether the recent capture of suspected airline terrorists within the UK will strengthen Blairà ¢Ã¢â€š ¬Ã¢â€ž ¢s position. Whilst the political strife has little immediate effect on the pertinent industry sectors for this analysis, political reorganization always carries the risk that seemingly predictable variables (here, particularly the potential for UK real estate companies to convert to REIT status) could become less stable under a new political regime. Relative to the commercial real estate development and management industry sector, no significant political delays or aversions to the planned conversion of real estate companies into real estate investment trusts is foreseen (Haddock 2005, pp. 1). However, it is possible that conflicts with the taxation structure of the UK-REITs could ultimately stall or derail implementation plans. Corporate Expectations for Expansion Potential in the UK in 2007 Based on the lukewarm GDP expectations, uncertainty about energy and input pricing and inflation, and an expected increase in interest rates, it seems unlikely that most UK companies have grandiose expansion plans for the upcoming year. Of course, the outlook for individual sectors of the economy varies based on which sectors are poised to take advantage of the current and foreseeable macroeconomic climate. The specific ability of the commercial real estate development and management industry sector to maneuver within this climate will be discussed at length l ater in the analysis, followed by a detailed description of Great Portland Estates, Plc.à ¢Ã¢â€š ¬Ã¢â€ž ¢s ability to take advantage of the economic climate relative to the economy as a whole and the commercial real estate development and management industry sector in particular. Exchange rates and employment rates are of only tertiary interest in this particular analysis, although with further research, commercial property vacancy rates, property ownership to rental ratios, and other industry-specific macroeconomic variables could lead to nuanced conclusions within the analysis. Now that an understanding of the general UK economy has been established, it is prudent to continue to analyze the commercial real estate management and development industry sector within the larger economic framework, to try and understand if the industry sector exhibits any extraordinary opportunities beyond what one could gain by investing in an index representative of the general market. Following t his, the analysis can continue to include the target company within the industry: Great Portland Estates, Plc. Chapter 3 à ¢Ã¢â€š ¬Ã¢â‚¬Å" Structure and Outlook for the Commercial Real Estate Management and Development Industry Sector Relative Outlook of the Industry Sector Relative to the Overall UK Economy Although the general consensus for the overall UK economyà ¢Ã¢â€š ¬Ã¢â€ž ¢s growth potential in 2007 is lackluster at best, the recent stratospheric rise in stock prices and valuations for real estate companies indicates that the market believes that the UK commercial real estate management and development industry sector will dramatically outperform the overall market in the upcoming year. Obviously, the aforementioned planned conversion of real estate companies into REITs, along with rising property values, is contributing to the market perception that the industry is much more favorable than most in the current investment climate. Let us further analyse the rationa le behind the marketà ¢Ã¢â€š ¬Ã¢â€ž ¢s enthusiasm towards the soon-to-be-created REITs, by examining the appeal of REITs as well as the specific risk factors that must be considered with the REIT structure. The Marketà ¢Ã¢â€š ¬Ã¢â€ž ¢s Excitement about UK-REITs à ¢Ã¢â€š ¬Ã¢â‚¬Å" High Dividends and Economies of Scale Studies have shown that REITs offer an investor several advantages over traditional real estate investing. Specifically, REITs offer investors economies of scale that normal investors in real estate would not be able to access. Overall, we find that large REITs are increasing growth prospects while succeeding at lowering costs, leading to a direct relationship between firm profitability and firm size (Ambrose, Highfield, and Linneman 2005, pp. 323). Such potential for economies of scale should reasonably be expected to entice additional investors into real estate. However, most of the companies that will be converting to REITs are already publicly traded c ompanies, which means that investors already had access to the real estate development and management market. Other factors must necessarily explain the marketà ¢Ã¢â€š ¬Ã¢â€ž ¢s enthusiasm towards REITs relative to investing in a publicly traded real estate company. One of the most substantial differences between REITS and normal common stock is their mandated legal structure, which forces the REIT to pay the majority of their net income as dividends. These dividends are taxable, which enables the REIT to avoid (at least a percentage) of taxation at the REIT level (UK Investment Advice 2006). In the booming global real estate market, REITs have been attractive investment vehicles in those markets where they have been implemented (Ibid.). Thus, it is likely that much of the marketà ¢Ã¢â€š ¬Ã¢â€ž ¢s enthusiasm towards UK real estate companies comes from the knowledge that after the conversion, the companies will be paying high dividends on profits gained from an accelerating real estate market. The Darker Side of REITs à ¢Ã¢â€š ¬Ã¢â‚¬Å" Additional Risks REITs are not perfect investment vehicles, however. There are several risks that the REIT structure entails which the standard real estate company would not have to endure. For instance, the costs of compliance with the REIT regulations can be a major burden on REITs. Default risk is also increased by the mandated dividend payout, as the REIT will have less capital at its disposal to handle unforeseen problems. This lack of capital will also lower the flexibility of the REIT, as it will be unable to reinvest as large a percentage of its profits in future real estate investments than a normal real estate firm would. These risks must be factored into the REITà ¢Ã¢â€š ¬Ã¢â€ž ¢s weighted average cost of capital, which is more difficult to determine for this structure than it would be for a normal real estate company (Nwogugu, 2005. pp. 2-3). It is also unclear how UK-REITs will be taxed, further leading to uncertainty and risk surrounding the implementation of UK-REITs. If the REITS are taxed unfavorably to investors, the decline in real estate stock valuations could be substantial. Further, if the taxation structure is not fully resolved, these administrative delays would also be likely to have an adverse effect on the valuations of the would-be UK-REITs. It seems from current valuations of real estate companies that the market is certainly willing to accept the risks involved with REITs in order to cash in on high dividend payments during a booming real estate market. Industry Structure in UK Commercial Real Estate Development and Management The commercial real estate development and management industry sector is projected by Euromonitor International to grow by a modest 5% until 2009 (Global Market Information Database 2006), indicating that forecasted growth in real estate values is not responsible for the aggressive pricing of real estate company stocks. The market fo r commercial real estate in the UK is highly fragmented, with no company holding more than 10% of the overall market share (Ibid.). Land Securities, Plc. holds the largest share of the UK commercial real estate market with 10%, whilst British Land Company, Plc. and Slough Estates, Plc. hold 7% and 6%, respectively (Ibid.) All of these companies have lessened their diversification in recent times, instead focusing their efforts on the areas of the commercial real estate market in which they hold core competencies (Ibid.) It should be noted that this lowered diversification increases the market-specific risk of holding any stock in this industry. Thus, the industry as a whole is becoming somewhat more risky. Couple this additional market risk with the new risks associated with the REIT structure (discussed previously), and the real estate stocks in the UK are adding risk at a rate that should also be reflected in the cost of equity demanded of their securities. The lack of domin ant market share by any one company or small group of companies indicates that the UK market for commercial real estate is highly competitive, and is dominated by no monopolies or oligopolies. The industry is primarily devoted to the development and sale of capital goods, although the companies often engage in servicing activities related to real estate development, such as property management. Based on the structure of the market and the lack of a dominant monopoly or oligopoly to interfere with the price mechanism, companies in the commercial real estate industry should be considered à ¢Ã¢â€š ¬Ã…“price-takersà ¢Ã¢â€š ¬Ã‚  who must adapt to the pricing demands of the real estate market. Changes in the value of real estate can be expected to have dramatic effects on the companies engaged in commercial real estate, so these companies can expect to carry a greater degree of market-related risk than they would if any company held a larger percentage of the market and could exert p ricing control. Firms in this environment must instead attempt to add value by purchasing and developing properties that are underutilized (as does Great Portland Estates, Plc., which will be discussed explicitly later in the analysis). The industry is in a growth phase highlighted by recent trends in the real estate market, and is undergoing dramatic changes based on the introduction of the REIT structure. It follows that some companies may attempt to expand their market share by using the increased capital associated with a market à ¢Ã¢â€š ¬Ã…“rush to REITsà ¢Ã¢â€š ¬Ã‚  to engage in takeovers and acquisitions of competitors. Should the real estate market begin to à ¢Ã¢â€š ¬Ã…“cool offà ¢Ã¢â€š ¬Ã‚ , however, acquisitive maneuvers are much more likely to occur. Porterà ¢Ã¢â€š ¬Ã¢â€ž ¢s 5 Forces in the UK Commercial Real Estate Development and Management Industry Sector A solid framework to utilize in the analysis of any industry is Porterà ¢Ã¢â€š ¬Ã¢â€ž ¢s 5 For ces. According to the model, the main forces that affect an industry are the Degree of Rivalry, the Threat of Entry, the Threat of Substitutes, Buyer Power, and Supplier Power (Collis and Montgomery 1998, pp. 51). Since no monopolies or oligopolies exist and land zoned towards commercial use is a finite resource, it is safe to assume that there is a high degree of rivalry between companies in the industry. The threat of entry is also great in the industry, as the barriers to entry are quite low (entering the industry is only as expensive as the price of the first piece of property to be developed). The threat of substitutes is high between companies, but low between industries (companies may find several bidders for their commercial developments, but they will be hard-pressed to find substitutes for commercial real estate in general). These threats are also increased by access to information available on the internet, as well as the threat of telecommuting and the internet which can mitigate the need for some commercial à ¢Ã¢â€š ¬Ã…“brick and mortarà ¢Ã¢â€š ¬Ã‚  spaces in both retailing and office space. The power of buyers in the market is typically high, as the industry has bee previously defined as a à ¢Ã¢â€š ¬Ã…“price-takingà ¢Ã¢â€š ¬Ã‚  marketplace. This buying power oscillates with the market, however, and in an inflationary real estate market buyers have less power than in a stable or contracting market. The power of suppliers is also a market-relative variable, this time more relating to the pricing and relative scarcity of building materials at any given time. This can be expected to rise with increases in energy costs and the corresponding increases in materials for commercial real estate developers. Firms that focus on property management face lowered exposure to supplier power based on a lowered reliance on building materials and their costs. Still, the commercial real estate developer must obtain necessary supplies, and none can be expec ted to produce their own inputs. The level of vertical integration of the supply chain in the commercial real estate development and management industry sector can ultimately be expected to remain low, though the REIT vehicle could potentially give firms the economy of scale to manage some level of vertical integration. With little opportunity for supply chain integration, the power of suppliers can be expected to remain high for the foreseeable future in this industry. Armed with a solid understanding of the UK commercial real estate development and management industry sector, including the complications and opportunities of the forthcoming implementation of the REIT structure, the analysis may now proceed to the target of the report: the attractiveness of the stock of Great Portland Estates, Plc. First, a discussion about the company and an analysis of its place within the industry is in order. Following this company outline, it will be necessary to perform a valuation of the c ompany to understand how the market is currently pricing the security, and if there is any potential for profit in the stock based on the current market pricing. This analysis and pricing will finally coalesce into an investment recommendation. Chapter 4 à ¢Ã¢â€š ¬Ã¢â‚¬Å" Review of Great Portland Estates, Plc.à ¢Ã¢â€š ¬Ã¢â€ž ¢s Relative Investment Appeal The Function of Dividend Strategy and the High-Dividend Appeal of Newly-Formed UK-REITs Financial literature dictates that the dividend decision is a critical determinant of a stockà ¢Ã¢â€š ¬Ã¢â€ž ¢s value, as well as a self-selecting factor regarding those who will purchase the stock. The clientele effect dictates that certain classes of investors are drawn to dividend payout scenarios that reflect their cash flow and taxation needs (Ross, Westerfield, Jaffe 2005, pp. 522). The taxation differences between dividends and capital gains influence persons and corporate entities in higher tax brackets to prefer their gai ns distributed to them as dividends, and those in extremely low tax brackets prefer the cash flow advantages of regular dividend streams (Ibid.). Since the dividend policy of REITs will be regulated by the government, REITs will necessarily be high-dividend securities as the majority of the earnings of REITs must be transferred to the shareholders in the form of dividends. Thus, the appearance of REITs in the UK real estate market would draw out many investors who might not otherwise invest heavily in real estate. The blossoming global real estate market offers even further incentives to investors to find a scalable, tax-friendly, high-yielding investment vehicle to claim profits while the market continues to gain. Current real estate companies in the UK suffer from the problem of double-taxation: corporate earnings are taxed, and then as they are distributed to investors in the form of dividends, they are taxed again. This double-taxation issue causes these companies to suffer a discount on the value of their equity (Bond and Scott, 2006. pp 3). Obviously, based on the rapid share appreciation of Great Portland Estates, Plc.à ¢Ã¢â€š ¬Ã¢â€ž ¢s common stock, investors are eager to gain the tax advantages of holding the company as a REIT, rather than receiving the tax-diluted dividends of the public company (which are then to be taxed again at the individual level). One can assume also that the mandated dividend decision will affect the optimal capital structure of the company. Real estate companies have generally been less conservative in their use of debt, since their assets hold high collateral value. Yet, with the mandated high-dividend payout of the REIT structure, the risk of financial distress increases (since the company will have less of its earnings to safeguard itself from defaulting on loans) and one can expect that the leverage ratio, while still high, will decrease to afford the company flexibility in paying its creditors (Ibid, pp. 8). Of i nterest in the discussion of dividends relative to REITs is the notion that the dividends are relevant due to their signaling power (the notion that cutting dividends is an implication of financial difficulty, and that increasing dividends implies that management is confident in the ability to sustain earnings), but dividend policy is irrelevant due to the idea that investors can create à ¢Ã¢â€š ¬Ã…“homemade dividendsà ¢Ã¢â€š ¬Ã‚  by reinvesting dividends or selling stock to achieve the desired payout (Ross, Westerfield, Jaffee 2005, pp. 508). In the case of the REIT, however, it seems that both the dividend and the accompanying dividend policy are relevant to the investment decision, because it is the regulated dividend policy that allows the REIT its special tax advantages. Modigliani and Miller considered the implications on dividend payouts when opposed to positive net present value projects, and concluded that a dividend increase, or first dividend, should never be chosen over a positive net present value project (Ibid, pp. 509). Thus, an interesting question to consider is the loss in flexibility that the REIT structure will impose upon Great Portland Estates, Plc. in financing high net present value projects, as they adjust their capital structure to accommodate the high dividend payouts. Will Great Portland Estates, Plc. gain more from the increases in access to the capital markets via the REIT structure than it loses in flexibility to pursue high net present value projects? This will ultimately depend upon the scale of the operations and the amount of excess capital that Great Portland Estates, Plc. is able to extract from the capital markets based on the REIT structure. If the past yearà ¢Ã¢â€š ¬Ã¢â€ž ¢s stock performance is any indication of the willingness of the market to finance the projects of Great Portland Estates, Plc., then the company may indeed overcome this hurdle. Valuation Implications for Entities with à ¢Ã¢â€š ¬Ã…“Once-Tax edà ¢Ã¢â€š ¬Ã‚  Dividends The tax-friendly structure of the REIT does not come without a price, and the structural changes mandated by the REIT regulation will dictate or limit many of the variables that are used in valuation models. REITs must seek financing from capital markets frequently, because their mandated dividend policy limits the amount of leverage they can feasibly utilise. There are also restrictions on active management of REITs, and thus the potential growth rate of a REIT is somewhat capped by the regulations placed upon it (Damodaran pp.754). Further, external financing that is made available to the REIT will (in the case of US REITs) cause the number of shares in the firm to increase, diluting any existing shares in the REI (Ibid). Thus, the valuation of the REIT will differ substantially from a company with similar holdings, in regards to the types of assumptions that must be made for growth rates, leverage rates, and potential share price appreciation. Indee d, research has shown this to be the case: REITs typically trade at a statistically significantly higher value than the net value of their assets, based on investor pricing of the taxation benefits of the REIT structure (Gentry, Kemsley, and Mayer 2001, pp. 22). It should be stated that the regulations surrounding REIT implementation in the UK could change substantially from those of the US model before the process is finalized (although this seems unlikely), but these caveats seem well-positioned at this point, as it appears that the UK-REIT model will in many ways mirror that which has been implemented in the US, and the assumptions will be closely monitored in the valuations produced later in the analysis. Chapter 5 à ¢Ã¢â€š ¬Ã¢â‚¬Å" Analysis of Great Portland Estates, Plc. Position of Great Portland Estates, Plc. Within the Industry With a solid foundation and understanding of the commercial real estate development and management industry sector in the UK, it now be comes relevant to discuss the position of Great Portland Estates, Plc. within this industry. As has been identified earlier, the market is fragmented and competitive, and among the stiff competition, Great Portland Estates, Plc. does not even rank in the top ten according to market share. Nevertheless, the company has had a tremendous year, riding a global real estate boom and the expectations of investors that the company would convert into a REIT in January 2007. The company has solid short, intermediate, and long-term plans relating to real estate development, which include several ambitious commercial development projects. A brief run-through of the strategic and tactical plans of the company is in order, assessing the potential value and risks of the projects announced by the firm The following summaries only include those projects announced and uncompleted by the firm, and large enough to merit inclusion in the annual report. Great Portland Estates, Plc.à ¢Ã¢â€š ¬Ã¢â€ž ¢s portfolio also includes rental properties and other holdings that are not in the active development pipeline. Active Real Estate Development Pipeline for Great Portland Estates, Plc. 180 Great Portland Street à ¢Ã¢â€š ¬Ã¢â‚¬Å" This project highlights a type of near-term opportunity that Great Portland Estates, Plc. is capable of exploiting in a short amount of time. The project entails revamping a corporate office building and à ¢Ã¢â€š ¬Ã…“modernizingà ¢Ã¢â€š ¬Ã‚  space that was determined to be outdated and undesirable. The firm estimates that the rental value of the property once renovated is  £3.7M (Great Portland Estates, Plc. 2006, pp. 9). This is an example of a very short-term opportunity that Great Portland Estates, Plc. can quickly act upon in the current market; the anticipated completion date is December of 2006. The main risks with this project are potential increases in rental vacancies once the building is complete and possible declines in rental values into the future. 208 222 Regent Street à ¢Ã¢â€š ¬Ã¢â‚¬Å" This recently acquired retail property consists of two adjacent buildings in a busy retail district, and has an expected rental value of  £4.1M. The plan is to turn the two buildings into 22 storefronts (all large, well-respected brands) using the 63,200 ft.2 that will be available at the location once Great Portland Estates, Plc. has renovated the adjacent buildings. The expected turnaround time for this project is 18 months, so this project is a near- to intermediate-term project in the pipeline of the firm (Great Portland Estates, Plc. 2006, pp. 11). The main risks here are materials and inputs price increases, rental vacancies, and potential declines in future real estate and rental values. Tooley Street à ¢Ã¢â€š ¬Ã¢â‚¬Å" Although most of the active projects of Great Portland Estates, Plc. involve renovating and improving existing structures, the Tooley Street project shows that the Great Portland Estates, Plc. strategic vision also includes the development of entirely new structures. This project will be situated on a previously undeveloped plot of land owned by the firm. The plan is to create a modern and impressive office complex, with a large atrium in the center of the building. This 200,000 ft.2 project has an expected rental value of  £6.7M. Great Portland Estates, Plc. anticipates that this project will be completed in a surprising 18 month timeframe, placing the Tooley Street development in the intermediate-term pipeline for the firm (Great Portland Estates, Plc. 2006, pp. 13). Here, the main risks the company assumes in the project are materials price increases, potential increases in rental vacancies, potential regulatory hurdles that the company may have to overcome before completion of the planning stage of the project, and potential declines in future rental and real estate values. Titchmor à ¢Ã¢â€š ¬Ã¢â‚¬Å" Here, Great Portland Estates, Plc. is taking existing office space and horizontally expanding the building by constructing another high-rise adjacent to the existing structure. The existing retail and office complex will be expanded from 70,000 ft.2 to a 109,000 ft.2. The anticipated turnaround on the development is just over two years, placing this in the intermediate pipeline for Great Portland Estates, Plc. The firm expects rental value of  £4.55M from the development (Great Portland Estates, Plc. 2006, pp. 14). With this project, the company assumes the risks of increased materials costs, potential increases in rental vacancies, potential regulatory hurdles that may arise before the company completes the planning phase, and potential declines in future real estate values. Blackfriarà ¢Ã¢â€š ¬Ã¢â€ž ¢s Road à ¢Ã¢â€š ¬Ã¢â‚¬Å" This project is an interesting blend of short and long-term projects in the companyà ¢Ã¢â€š ¬Ã¢â€ž ¢s pipeline. Consisting of two stages, this development will earn the company rents on the existing 30,000 ft.2 space. When the current lease expires, Great Portland Estates, Plc. intends to use the space to create a 15 storey office complex, expanding the available space to 130,000 ft.2. The construction of the new building is scheduled to begin in January 2009 and complete in October of 2010, placing this project in both the near- and long-term pipeline (Great Portland Estates, Plc. 2006, pp. 16). Here, the company faces the most risk: potential increases in vacancy in the short term, potential increases in vacancies in the long-term (once the new structure is in place), potential increases in materials costs before 2009, potentially unforeseeable regulatory hurdles between now and 2009, and potential declines in future rental and real estate values. These projects are included here to demonstrate the strategic goals and long-term planning of Great Portland Estates, Plc., and they illustrate the types of projects that the firm is financially and logistically capable of developing. Comparison of Great Portland Estates, Plc. to the Industry à ¢Ã¢â€š ¬Ã¢â‚¬Å" Project Nature, Scale, and Scope With an understanding of the announced projects by Great Portland Estates, Plc., a comparison can be made to the rest of the industry to determine the position of Great Portland Estates, Plc. within the industry. These are the types of projects that other companies in the commercial real estate development and management industry sector would undertake. The differences in project scope and scale would be directly related to the size of the company. Hence, the company is developing projects that are in line with other firms in the UK commercial real estate development and management industry sector, although other firms may have larger o r smaller projects in their portfolio, depending on the size of the organization and the amount of financing they are able to secure for any given project. The future will be interesting to watch in this industry: as the companies convert to REITs, will the extra dividends inhibit the financing of the company and stall growth into larger ventures, or will the REIT investment vehicle provide enough financing and economies of scale to allow the firms to take on larger projects? Managerial Quality and Impact Upon Performance at Great Portland Estates, Plc. Great Portland Estates, Plc. seems to have competent management, judging by the extent of the planned projects and the ability of management to deliver past projects in a timely manner, meeting budgeted figures for these projects, in profitable development areas in the UK (Great Portland Estates, Plc. 2006, pp. 11). The REIT structure will likely impose restrictions upon management and their ability to raise financing and take as active a role in the development of these properties, as has been the case regarding US REITs (Gentry 2001, pp. 5). Thus, although Great Portland Estates, Plc. seems to be a well-managed company, the relevance of management in the returns of the common stock is likely to be lessened, to some degree, in the future as the company converts to the REIT structure. Outlook for Great Portland Estates, Plc. Although the company seems well-positioned with its current project pipeline, exhibits strong management, and will soon have the benefit of the REIT structure to entice further investment, there are several lingering risks that the company will have to face in the near future. The company faces risk based on the vicissitudes of the market for its goods, services, and supplies. The REIT structure is likely to increase competition in the commercial real estate development and management industry sector, as increased capital begins to seek a finite number of projects. The real esta te market in general is always a worrisome variable that Great Portland Estates, Plc. seems to have little expertise in hedging against. The vacancy rates of commercial real estate vary with the general economy, and the general economic outlook (discussed previously) is lackluster at best. Energy prices continue to soar, which will put pressure on materials prices for the companyà ¢Ã¢â€š ¬Ã¢â€ž ¢s developments, and may cause projects to exceed budget if these fluctuations are not conservatively accounted for in the companyà ¢Ã¢â€š ¬Ã¢â€ž ¢s revenue projections. Still, the outlook for Great Portland Estates, Plc. seems to be à ¢Ã¢â€š ¬Ã…“cautiously optimisticà ¢Ã¢â€š ¬Ã‚ , as evidenced by the marketà ¢Ã¢â€š ¬Ã¢â€ž ¢s support for the stock in recent history. This increased confidence will ease the firmà ¢Ã¢â€š ¬Ã¢â€ž ¢s access to capital markets and make financing future projects a relatively easy task. All in all, barring a convergence of all potential risks (increased co mpetition, increased inputs prices, a real estate market slump, and an economic downturn leading to high corporate vacancy rates), the outlook for Great Portland Estates, Plc. in the near future seems bright, considering the projects in the pipeline and the opportunities generated by the convergence to the REIT structure. All companies in the commercial real estate development and management companies face basically the same set of risks and opportunities, and although Great Portland Estates, Plc. does seem to have many positive and exciting opportunities, it does seem that larger players in the industry would find themselves in better positions to exploit the economies of scale offered by the REIT structure. With this understanding of the firmà ¢Ã¢â€š ¬Ã¢â€ž ¢s strengths, weaknesses, and position in the industry and economy as a whole, the analysis can move forward to valuation of the company to determine if the stock is à ¢Ã¢â€š ¬Ã…“overboughtà ¢Ã¢â€š ¬Ã‚ , à ¢Ã¢â€š ¬ Å“oversoldà ¢Ã¢â€š ¬Ã‚ , or adequately priced. With the evidence from the valuations and the subjective evidence presented here, a well-reasoned investment recommendation will be derived and presented. Chapter 6 à ¢Ã¢â€š ¬Ã¢â‚¬Å" Valuation of Great Portland Estates, Plc. Price to Earnings Valuation Method for Great Portland Estates, Plc. The analysis now turns to valuation of Great Portland Estates, Plc. using the popular PE multiplier. Using the fundamentals of Great Portland Estates, Plc., it is easy to compute the expected Price to Earnings ratio. Since the PE ratio is a function of the payout ratio, the cost of equity, and the growth rate of the firm, the following formula can be used to determine what the PE ratio should logically equal. Once this ratio has been determined, it can be compared to the current PE of the security, so that either the assumptions of the model may be revisited, or the stock can be valued relative to its current price. The formula for computing the expected PE ratio (in terms of the stable growth dividend discount model) is: P0 /EPS0 = ( Payout Ratio * ( 1 + gn )) / ( ke à ¢Ã¢â€š ¬Ã¢â‚¬Å" gn ) Where: gn = Stable Growth Rate Payout Ratio = Percentage of Earnings Paid in Dividends = 1 à ¢Ã¢â€š ¬Ã¢â‚¬Å" gn / ROEn ke = Cost of Equity EPS1 = Expected Earnings Per Share in Year 1 P0 = Stock Price in Year 0 Letà ¢Ã¢â€š ¬Ã¢â€ž ¢s compute the variables required. First, for the cost of equity, we will apply the dividend capitalization model (we could also apply CAPM to determine the cost of equity, and we would indeed be forced to if the stock did not pay dividends). Here, the formula required for the dividend capitalization model is: ke = (Dividends Per Share / Current Stock Value ) + Growth Rate in Dividends From the annual report, we know that dividends per share were 11.0p, and the Growth Rate in Dividends Per Share was 2.3%. The current stock value, as previously mentioned, is 533.25p. Q uick arithmetic gives us: ke = ( 11 / 533.25 ) + 2.3 = 0.043628223 That figures intuitively seems a bit low for the cost of equity. Of course, one must consider that the pricing of the stock is actually reflecting the expectation of much higher dividends per share. So here, weà ¢Ã¢â€š ¬Ã¢â€ž ¢ve run into the interesting situation with the company and the marketà ¢Ã¢â€š ¬Ã¢â€ž ¢s price ramp-up in expectation of the REIT conversion that causes the dividend capitalization model to be woefully inadequate. However, it seems that it should still be possible to determine exactly what dividends the market is discounting into the current price. After all, the most recent 11.0p dividend is certainly not the dividend that the market is concerning itself with, since it is common knowledge that a very high, mandated dividend will follow the conversion. So, perhaps with a few assumptions, the model will still hold. Checking the current profile for the stock, we note that the payout ratio of Great Portland Estates, Plc. is an extremely low 12.1% (Reuters UK 2006). Understanding as we do that this ratio will be inverted once the company converts to a REIT, and that investors are aware of the dividend increases forthcoming, it is obvious that the dividend assumption used in the pricing model is inadequate. Thus, we will use the expected growth in dividends to adjust the dividend priced in the model. If we were to adjust the growth rate in dividends, we would quickly find that the extreme growth from the non-REIT dividend to the REIT dividend would skew the cost of equity into a nonsensical figure. However, we should be able to assume a current dividend as if it were distributed under a REIT regime. Thus, weà ¢Ã¢â€š ¬Ã¢â€ž ¢ll set up a quick equation to determine what the dividend would have been under the REIT payout regime, assuming 90% REIT payout. 11x = 12.1% yx = 90% Where x = multiplier applied to current dividend to yield current payout y = adjusted dividend (dividend as if paid under 90% REIT structure) Solving for x yields 0.011. Substituting for x in the second formula gives us an adjusted dividend of 81.82p per share. Using this adjusted dividend, the dividend capitalization model gives the following cost of equity: ke = ( 81.82 / 533.25 ) + 2.3 = 0.176436474 or 17.64% This cost of equity is much more reasonable, considering all of the aforementioned risks and uncertainties involved with the company. Now letà ¢Ã¢â€š ¬Ã¢â€ž ¢s assume that the current increase in ROCE will be equal to the growth rate of the company. According to the annual report, ROCE increased 11.4% (Great Portland Estates, Plc. 2006, pp. 3). Although such growth should be considered difficult to maintain, letà ¢Ã¢â€š ¬Ã¢â€ž ¢s assume, for the moment, that this growth will continue for a reasonable amount of time, so that we may use it for the constant growth rate. gn = 11.4% Returning to the formula, now that we have our var iables: P0 /EPS0 = ( Payout Ratio * ( 1 + gn )) / (ke à ¢Ã¢â€š ¬Ã¢â‚¬Å" gn ) P0 /EPS0 = ( 12.1% * ( 1 + 11.4% )) / ( 17.64% 11.4%) Yielding an anticipated PE ratio, based on the firmà ¢Ã¢â€š ¬Ã¢â€ž ¢s fundamentals, of: P0 /EPS0 = 2.1606 This seems to be inconsistent with the thoughts of the market, which has priced the stock so that the PE ratio currently equals 6.33 (Reuters UK 2006). Letà ¢Ã¢â€š ¬Ã¢â€ž ¢s check the assumptions in our model. There seems to be an inconsistency with using the current payout ratio in the PE formula, but deriving the cost of equity from the predicted payout ratio. Using the predicted payout ratio in the PE formula yields: P0 /EPS0 = ( 90% * ( 1 + 11.4% )) / ( 17.64% 11.4%) = 16.067 à ¢Ã¢â€š ¬Ã‚ ¦which still seems somewhat unreasonable. Letà ¢Ã¢â€š ¬Ã¢â€ž ¢s revisit our constant growth assumption, and use an average of the current growth and the expected growth of the industry (mentioned above, source: Euromonitor), 5%. Th is gives us a constant growth variable of 8.2. Trying this value in the formula leads to our most theoretically sound PE ratio as of yet: P0 /EPS0 = ( 90% * ( 1 + 8.2% )) / ( 17.64% 8.2%) = 10.29661 Thus, after several iterations, our calculated PE ratio indicates that at a REIT payout ratio, the stock of Great Portland Estates, Plc. is still undervalued compared to the market-driven PE of 6.33. This could be a function of the many assumptions of the PE model used, or it could be indicative of general uneasiness by the market to fully price the future dividends into the current price of the stock. There are enough risks and uncertainties regarding the companyà ¢Ã¢â€š ¬Ã¢â€ž ¢s future to make a very strong case for this possibility. As it stands, this analysis finds that the valuation of Great Portland Estates, Plc. indicates that the stock is still undervalued and has much room to grow based on the forthcoming increases in dividends based on the REIT conversion. PE Analys is à ¢Ã¢â€š ¬Ã¢â‚¬Å" Current PE Comparison to Comparable Companies No Price to Equity analysis would be complete without a review of the PE multiples of comparable companies. For this, we will use the current PE ratio derived from the market, 6.33, and compare to some of the main competitors in the UK commercial real estate development and management industry sector. According to the Great Portland Estates, Plc. 2006 Annual Report, the main competitors of Great Portland Estates, Plc. are: Brixton Plc. CLS Holdings Plc. Derwent Holdings Plc. Development Securities Plc Grainger Trust Plc Hammerson Plc Helical Bar Plc Land Securities Groups Plc Liberty International Plc London Merchant Securities Plc Minerva Plc Quintain Estates and Development Plc Shaftesbury Plc Slough Estates Plc St. Modwen Properties Plc The British Land Company Plc Warner Estate Holding Plc Workspace Group Plc (Great Portland Estates, Plc. 2006, pp. 43) Next, searches were performed on Reuters UK to determine which companies were publicly traded and of those, which companies had meaningful PE ratios to compare to the PE of Great Portland Estates, Plc. These remaining competitors and their PE ratios were compiled into the following table for analysis: Company Name PE Diff. from GPOR.L 1. Brixton Plc. 6.03 0.30 3. Derwent Holdings Plc. 7.82 -1.49 4. Development Securities Plc 10.01 -3.68 5. Grainger Trust Plc 21 -14.67 6. Hammerson Plc 6.32 0.01 8. Land Securities Groups Plc 5.44 0.89 10. London Merchant Securities Plc 6.9 -0.57 12. Quintain Estates and Development Plc 15.47 -9.14 13. Shaftesbury Plc 7.57 -1.24 14. Slough Estates Plc 7.8 -1.47 16. The British Land Company Plc 5.72 0.61 17. Warner Estate Holding Plc 5.04 1.29 18. Workspace Group Plc 6.08 0.25 Great Portland Estates, Plc 6.33 Average 8.395 Median 6.615 Standard Deviation 4.487728139 As you can see, the PE ratio of Great Portland Estates is well below the average (which would indicate that the stock is undervalued relative to the market, all other things being equal). However, this is likely strongly affected by the presence of outliers (Grainger Trust, for instance, has a PE almost 15 higher than Great Portland Estates, Plc.). The median gives a much better representation of the à ¢Ã¢â€š ¬Ã…“middle of the roadà ¢Ã¢â€š ¬Ã‚  in PE values for this industry, in this case. Here, the median indicates that the PE ratio of Great Portland Estates, Plc. is only somewhat below normal. Also, considering that the difference between the median PE ratio and the PE ratio of Great Portland Estates, Plc. falls within one standard deviation of the mean, this discrepancy may not be statistically significant. Thus, the comparison of PE ratios in the industry shows that Great Portland Estates, Plc. may be slightly undervalued relative to the market. However, it is worth noting that many of the companies in this sample would also be subject to the same market uncertainties as Great Portland Estates, Plc., in that they will likely convert to REITs, and the uncertainty surrounding this transition is likely priced into their securities as well. Multi-Stage Dividend Discount Model Valuation for Great Portland Estates, Plc. In order to perform the multi-stage dividend discount model valuation for Great Portland Estates, we can use many of our previous assumptions from the PE valuation, only expanded to include several stages of growth in dividends. This seems to be a more appropriate valuation method, considering the dramatic changes in dividends that can be expected to occur. The inputs required for the multistage dividend discount model are: Net Income Book Value of Equity Current Earnings per share Current Dividends per share Beta of the stock Risk-free rate Risk Premium Length of high growth period ROE (high-growth period) Retention Rate (high-growth period) Growth rate in stable growth period Stable payout ratio Fortunately, these are easy variables to obtain. Net Income, Book Value of Equity, Earnings per Share, Dividends per Share, the risk-free rate, and Beta are all obtained from the Great Portland Estates Annual Report (Great Portland Estates, Plc. 2006, p3) and Stock Overview (Reuters UK 2006). The Market Risk Premium will be assumed here to be 5.5%, as this is a standard figure indicating the difference between common stock returns and the risk-free rate of return. The length of the high-growth period will be assumed to be 5 years, and the growth rate in the stable growth period will be equal to the expected growth of the industry sector (discussed above) at 5%. The theoretical framework for the multistage dividend discount model relies on discounting future dividends that will occur at some different rates of risk and return than those which occur in the near future. Typically, this model is used for firms expecting high-growth phases, which eventually taper down into stable gro wth (usually matching that of the overall growth rate of the economy). There is a model available at Damodaran Online which will process these inputs and generate a multistage dividend discount valuation. Once the value of the common stock is determined by the model, this value will be divided by the number of shares outstanding to arrive at a dividend-based valuation of Great Portland Estates, Plc. Without further ado, the following inputs are loaded into the à ¢Ã¢â€š ¬Ã…“Dividend Ginzuà ¢Ã¢â€š ¬Ã‚ : Inputs from current financials Net Income =  £148.30 Last year Book Value of Equity =  £654.70  £516.00 Current Earnings per share =  £0.84 (in currency) Current Dividends per share =  £0.11 (in currency) Inputs for Discount Rate Beta of the stock = 1 Riskfree rate= 4.85% (in percent) Risk Premium= 5.50% (in percent) Inputs for High Growth Period Length of high growth period 5 Do you want to calculate the growth rate from fundamentals? No (Yes or No) If no, enter the expected growth rate in earnings in high growth period= 8.00% Do you want me to gradually adjust your inputs during the second half? Yes Inputs for Stable Growth Period Enter growth rate in stable growth period? 5.00% (in percent) Stable payout ratio from fundamentals is = 82.60% (in percent) Will the beta to change in the stable period? Yes (Yes or No) If yes, enter the beta for stable period = 0.80 Enter the risk premium to use in stable period = 5.50% Which generates a multistage dividend discount model valuation for Great Portland Estates, Plc. of: Output from the program Cost of Equity = 10.35% Net Income = $148 Earnings per Share = $0.84 Growth rate in EPS = 8.20% Payout Ratio for high growth phase= 13.10% /td

BSHS 345 Week 4 Annotated Bibliography - 1433 Words

Annotated Bibliography BSHS/345 Annotated Bibliography Juleen K. Buser, Journal of Multicultural Counseling and Development 37.2 (April 2009): 94-104 This article is a great article that relates to African Americans seeking mental health treatment at lower rates than whites. The article states that this disparity can be attributed to attitudes toward services, alternate coping, and differences in care. This article also illuminates biases in counseling. Snowden, Lonnie R, Barriers to Effective Mental Health Services for African Americans, Vol. 3, Issue 4, 181-187 (Dec. 2001). Social Services and Welfare, Psychology This article states that many African Americans do not seek proper mental health care. It states that the†¦show more content†¦Technologies can be selected and so they can best meet the needs of the students who are differently abled. Donahue, P. (2005, July-September). Current perspective and future directions for social work practice and research. Families in Society, 86.3, 359-366. This article describes the aging gay and lesbian community. Past research of this community focused more on the gay White man, well-educated, active in the gay community and high socioeconomic backgrounds. This study examines current roles of social work regarding research with older gay men and lesbians and presents recommendations for both practice and research in the years ahead. Not only is this community of sexism, they are also victims of ageism. Future work must strive to be more representative of older lesbians, geographic diversity, and classes because these variables play an important role in shaping the gay aging experience. Bell-Tolliver, L., Burgess, R., Brock, L. J. (2009). African American therapists working with African American families: An exploration of the strengths perspective in treatment. Journal of Marital and Family Therapy, 35(3), 293-307. Retrieved from http://search.proquest.com/docview/220979644?accountid=35812 When working with African Americans and Native Americans human service workers must consider important factors. When doing a study