Qualitative Analysis-Part 2 Anions Essay

Chloride Solution + 0. 1M AgNO3 =white precipitate formed, very fine texture. Iodide solution + 0. 1M AgNO3 =yellow/white precipitate formed, cloudy texture. Silver Chloride + ammonium hydroxide = white precipitate forms, slowly begins to disappear. Adding HNO3 the reappearance of a white precipitate began, indicating the presence of the chloride. SO4 solution + 0. 5mL of BaCl2-CaCl2 = heated for about 10minutes, fine white precipitate throughout test tube. 5drops of 6M HCl + SO4 = no change indicating no reaction took place, confirming that sulphate is not present in solution. Unknown Substance: When testing for carbonates, little to no reaction took place indicating no presence of carbonates. While testing for Chloride and Iodide, my solution reacted with sulphric acid and a yellow-ish colour change took place. No reaction took place when added to hydrochloric acid or barium hydroxide. Sulphate was tested for and no reactions or changed underwent, confirming that it is not present in the solution. Ammonium hydroxide was not needed due to Ag not being present in solution. Iodide present, upon liberation of CH2Cl2 solution, red-ish/brown colour change along with 2 separate layers forming. Discussion: In wastewater and drinking water today, there are many ions and anions alike that we make come into contact with and have to test for. These tests allowed me to get a first hand experience on testing for certain anions in a known and unknown substance. It is important to be able to detect substance in solutions, known tests are designed to allow one chemical react with another chemical to confirm the presence or absence of anions. By running a series of reactions, it provides a clear understanding of what chemicals are present in what solutions. This then allowed me to test for unknown anions in an unknown solution. These tests are important because it could cause the plants to change the processes that are taken to clear and purify our water. Conclusion: My solution was present with Iodide after running a series of experiments. It is known that a red/brown colour change will partake and two layers will form. Both of these things took place confirming what was mentioned above. Questions: 1. What is an ion? An ion is an atom or molecule that undergoes change. 2. What is a polyatomic anion? A polyatomic anion is a charged ion made up of 2 or more atoms covalently bonded. 3. What products are produced when an acid like H2SO4 reacts with a carbonate like CaCO3? Why is this type of reactions so important for the fresh waters of southern Ontario? H2CO3 and CaSO4 would be produced, this type of reaction is important to the fresh waters of southern Ontario because this allows for better for vegetation which helps keep the water clean. 4. What is a quantitative analysis? How does it differ from a qualitative analysis? A quantitative analysis is the detection of the presence of chemical elements in an unknown substance as to where qualitative analysis used to separate

Research Analysis of Barbara Ehrenreich’s Cultural Baggage Essay

Barbra Ehrenreich’s â€Å"Cultural Baggage† essay found in Greene and Lidinksy (2012), expresses the author’s views on traditional values that come from a family’s heritage. Ehrenreich is motivated to write about this subject because her way of being raised was challenged. She was raised to find new things to try, and not succumb to the mindset of just accepting something because it’s always been there. Her Father said, â€Å"’think for yourself’ and ‘always ask why’† (Ehrenreich, 2012, p. ). The purpose of the content is to show Barbra Ehrenreich’s disconnection from holding family traditions, and then argues that it’s not a necessity for every family to pass down traditions. Barbra insists that people from very traditional based religions will be disappointed and appalled that her family is always looking for new things to try (Ehrenreich, 2012). In the author’s opinion, there is nothing wrong for not following, or neglecting to start, family traditions. Ehrenreich’s biggest claim in her essay is that she steadfastly disagrees with recurring traditions and expresses her intent for individuality in her family. She made a statement at the end of the essay saying, â€Å"My chest swelled with pride, as my mother’s would have, to know that the race of †none† marches on† (Ehrenreich, 2012, p. 3). This shines light on the fact that they are a happy family with out traditions and have no intentions of ever adopting any. Also, Ehrenreich (2012) goes on to explain that her Grandmother would suggest that just because it’s old doesn’t mean it’s right, or necessary to continue. Barbra is satisfied and proud to announce â€Å"none† as her ethnic background and â€Å"none† for her traditions. Barbra has a tone in the paper that exemplifies an informal conversation among women; particularly mothers. Her intention was to target mothers because she is justifying the guilt she felt when she realized her children weren’t growing up with traditions. Her question then was: Am I doing the right thing by not having any traditions for them? So, Barbra nervously asked her children if they were fine with not having any family traditions, and they eplied, â€Å"yes† (Ehrenreich, 2012). This was a relief for Barbra as it would be for most mothers. My final contention in this matter would be to agree with Barbra Ehrenreich in saying that family traditions are not necessary, and it is important to branch out to new ventures. When Barbra asked her children about traditions they said, â€Å"and the world would be a better place if nobody else did either† (Ehrenreich, 2012, p. 3). The reason they say the world would be a better place is because people would be more interesting from branching out and learning new things. In addition, the reasons there is a lot of conflicts in society, and on a global scale, are from radical people feeling their traditions or belief have been imposed upon by someone else. Examples include: Islamic religion, Al Qaeda, the Civil rights movement, the Civil War, and Gang Violence. Barbra is correct with her position on traditions with calling it â€Å"baggage,† because it weighs down the minds ability to see things in a new light, and that is the most important thing to me.

Introduction to Global Business Assignment Example | Topics and Well Written Essays - 500 words

Introduction to Global Business - Assignment Example It is necessary to find out particular industries, which may help in the building of another industry, which will give national advantage. As suggested by President Khama, the country should promote commercial farming and safari tourism in the country. However, commercial farming would probably require a large labor force, which is not ample in Botswana. The question is whether these industries will lead to an increase in the economic development. Since Porter’s theory explicitly states that the comparative advantage needs to be created, if the government encourages tourism, by building proper safari parks, and marketing the tourism industry of Botswana in the international arena, then the conditions of Porter’s diamond theories will be fulfilled. Tourism also does not require much investment, and hence it can work efficiently. If the competition in the commercial farming is increased, then the supply conditions will also be met. The African Safari in Botswana can be an attraction, because it gives individuals to roam around unguided, if they have a car, and they can spot different types of animals, which includes zebras, monkeys, wild boars and many other birds, which will give Botswana an edge in the global market. Hence, using factor conditions, and creating favorable conditions, the government can create comparative advantage for this industry. Fisher and Clark’s structural change theory also suggests that in the case of Botswana, diamonds are not ‘forever’, and therefore there should be a change in the structure, moving from primary to the service industry, in the form of tourism. This would definitely lead to further specialization and economic development (biz-ed, n.p). 3. The government can impose trade barriers, which includes imposing quotas. It can also put custom duties and tariffs on certain products to increase the price of the imported goods to deter people from buying them. Sometimes, the government can

Reading response Essay Example | Topics and Well Written Essays - 500 words - 29

Reading response - Essay Example People should base their actions on the desire to promote the happiness and welfare of others. The new society must be based on brotherly love between people. According to Winthrop, the coexistence of people suggests a sincere belief in God and adherence to ethical principles, which are given by Christianity. Love, kindness, mercy, justice, and mutual aid are considered as the basic ethical principles that will enable people to live a happy and peaceful life. The new society is intended to conform to Gods ideal. Only God can justify the existence of the ideals of the new society in the Americas. People should do everything possible so that their life was based on respect for God and desire to follow the path, which is consistent with the plan of God to people. This path involves strict adherence to ethical principles, which should help people to create heaven on earth. Thus, Winthrops speech can be viewed as a project of an ideal society, which the author proudly calls the City upon a Hill. This project is optimistic as to what future awaits the people. Winthrop is confident that in the New World, people will be able to find what they have been looking for so long, namely prosperity, well-being and peace. On the other hand, people need to be proactive in creating a new godly society where all of them are brothers and sisters to each other. The project assumes that people consciously and voluntarily entrust their lives to God who enters their hearts and minds as an integral part of their nature. Winthrop encourages people to open their souls and hearts to God. This spiritual union promises prosperity and happiness both for the people and for God. In general, this speech bears the imprint of a kind of religious fanaticism. I am surprised ho w Winthrop encourages people to purify their hearts and minds from bad thoughts and follow the path that God prepared for them. The new Christian society is seen as the successor of the mission of

The new age religion Essay Example | Topics and Well Written Essays - 500 words

The new age religion - Essay Example People feel more comfortable and more willing to do something if there is scientific evidence to back up the results. Scientology, crossing the boundaries of religion and science, offers both religious experience and scientific results. Science and religion are two vastly different concepts. Science is based primarily on fact and thoughts and ideas that can be proven with concrete evidence. In science, something is not real unless there is definite, unchangeable evidence. Concepts start as theories, but then they are agreed upon once they have been proven without a doubt. On the other hand, religion is entirely based on faith. Regardless of whether or not something can be proven, people are liable to believe certain concepts when they trust their intuition. Though many people can argue that there is no proof for the existence of God, those that believe in Him claim that proof is not needed when faith is present. Globalization is the process by which cultures and societies become integrated though communication. Though globalization is more commonly connected with economics and politics, religion is not exempt from the process. Atheism, for example, has been spread throughout the world due to globalization. As a belief that there is no higher deity, atheism has become a welcome theory to people that do not want to mess with the concepts of gods and organized religions or otherwise do not believe in them. Atheism originated in France, but, due to globalization, has made its way to the belief systems of many Americans, as well as hundreds of thousands throughout the rest of the world. Secularism is the belief that the government, or the state, should be separate from religion. For example, the United States is a country that believes and practices the separation of state from religion. Church has no place in public and government locations, such as schools or courthouses. It is better that states are

Hrm Essay Example | Topics and Well Written Essays - 500 words

Hrm - Essay Example There are various differences between leadership and management; however, their biggest difference is how they get their followers to do what they want. This makes all the difference in various aspects of how they do things. Managers’ power given to them by the organizations they are employed in and they have assistants who work for them. Management uses transactional method to have tasks done. This means that the subordinates do what they are told because they expect something in return, this is normally salary. Managers act out of motivation that they will get paid after delivering. Therefore they put focus to their subordinate to reach the organizations’ expectations. On the other hand leaders do not have subordinates, unless in formal setting where they also hold management roles. In normal circumstances, leaders have followers who are inspired by their actions (Daft, & Lane, 2005, P. 5). Leadership requires that a person appeal other people so much that they are ready to stop doing what they are doing to follow them. It means they are ready to take risks they would not have considered to take were it not for the influence of a particular person (Bertocci, 2009, P. 6). Leaders get things done through their strong charisma and they do not promise their followers material reward; they persuade them by promising them positive transformation. Therefore, leadership is about making positive effect in people’s lives and leaders are able to convince people that they will become better people after following their leadership. Leadership focus a lot of their attention to people they work with. Leaders are charismatic but they do not necessarily hav e a loud personality they use a quiet, genuine style of addressing people. They are also ready to take blame for other people’s mistakes and always give credit to others. Leadership has many positive effects to

Exclusive interview with E. H. Sutherland Essay Example | Topics and Well Written Essays - 750 words

Exclusive interview with E. H. Sutherland - Essay Example The theory also had a structural element positing that conflict and social disorganization are the underlying causes of crime because they determine the patterns of people associated with. This latter element was dropped when the fourth edition was published in 1947. But he remained convinced that social class was a relevant factor, coining the phrase white-collar criminal in a speech to the American Sociological Association on December 27, 1939. In his 1949 monograph White-Collar Crime he defined a white-collar crime as approximately as a crime committed by a person of respectability and high social status in the course of his occupation. Sutherland's Response. Criminology is a fascinating field and because of my curious nature and natural passion for intrigue. I joined this profession and as you are already aware that the distinctive feature of criminology since the 1930s has been the dominance of sociology among the various disciplines studying crime and criminal justice. My humble contributions to the sociology of crime and delinquency came from his teaching, scholarship, and involvement in criminal justice policy and this field has helped me to pioneer, innovate and provide significant contributions to the study of organized crime, prisons, and criminological theory. I have also made central and lasting contributions to the sociology of criminal law and white collar crime and my ideas in each of these areas are reviewed to produce a portrait or profile of what he added to criminology, to remind those who know it already and also to those who have no knowledge about this field. Q2 Being an expert criminologist do you think that money and greed are the reasons w

Paternalism - article by Dworkin Gerald Example | Topics and Well Written Essays - 500 words

Paternalism - by Dworkin Gerald - Article Example Regardless of the society’s best interests at heart any form of legislation has no right to exert its authority over an individual because it is a threat to the person’s independence. By making a set of rules and putting restrictions the system tries to confine and form a community which it deems correct rather than letting the individuals’ form a society they think is an ideal one. Although paternalism claims to have best of intensions for a person yet it is not necessary that the individual also sees it as means for a better life. For Mill such interference is not only offensive but also an abuse of his autonomy. Paternalistic interference can be categorized into pure and impure types of interventions. Pure paternalism deals with restrictions which ensure the benefit of an individual. While impure paternalism tries to protect an individual by putting restrictions on one’s independence. Mill asserts that majority of the individuals are rational adults who are aware of the fact that most of the paternalistic laws are made in order to remedy their safety. Yet it should be left for an individual to decide whether he wants to follow them or not i.e. freedom of choice should be granted because one learns best through ones mistakes. He is not ignorant of the fact that not all individuals have same level of intelligence and for children specifically paternalistic restrictions are necessary though he says that some modicum of restraint should be observed. He also realizes in certain cases practice of restraint is necessary so an outside force is required for the implementation of such restrictions. Hence although in order to form law and order paternalistic restrictions are necessary yet some leniency should be granted in their practice so that it would not threaten an individual’s liberty and at the same time precautionary measures are also

Multinational Business of Big Bazaar, First Solar, and Tata Motors Case Study

Multinational Business of Big Bazaar, First Solar, and Tata Motors - Case Study Example The  Big Bazaar Company is planning to spread into the Middle East countries like Yemen as there is a huge opportunity in this market due to the nonpresence of any global retail chains there and availability of domestic supplier. The location of Yemen is at the southern end of Arabian Peninsula in the Middle East. The Arabian Sea, Red Sea and the Gulf of Aden have made boundaries its southern and western side of the country. Two neighbour countries also bordered i.e. Saudi Arabia in north and Oman in the east. The population of this country is very poor and a large percentage the population is rural people. But in the last decades, it has been large scale urbanization in the country and now near about half of the population lives in town. There is a good incentives scheme by the Yemen government in any large foreign investment project. The purpose of this is to attract potential foreign investors to the prospective sectors of the country by minimising the risk of initial investment . Government also provide free exchange of currency from strong currency to Yemen or vice versa. To start a project in Yemen no need of nationalisation and reservation are required. Foreign investment projects are exempted from paying profit tax up to 7 years which is expandable up to 16 years if it helps to strengthen the sector. There is lack of well-developed commercial business centres in Yemen even in coastal cities; therefore, the country has poorly developed retail market. Most of the shops are in the major cities and maximum of these are family owned. The producers or manufacturer of retail products and goods are only the seller. No professional retail outlets or chains are there who sells by getting supply from producers. This is why the retail market is not at all penetrated even in urban areas of the country. But there is a good demand of retail chains which can provide the finished retail goods across the country and as the per capita income has been increasing and the p urchasing power as well as buying behaviour has been developing since the last decades. Big Bazaar is a India based supermarket chain and it get the supply of retail products from institutional supplier as well as direct from the producers of good branded product and sell those after retail pricing those products according to its profit margin strategy. But in Yemen as there is no such kind of institutional supplier. So the company needs to tie up with the home-based producer of the retail product like garments, food products, and other daily needed products which have a good demand in the urban market. First Solar’s multinational business can be analysed by doing a PESTEL analysis of the international business environment and the potential market analysis. Political: It represents how the government represents the economy and a certain business i.e. the way of representing and the extent. Political factors of a country represented by certain areas like taxation policy, labou r law, trade restrictions, tariffs and govt. stability. So, market attractiveness towards foreign investors will be high if the entire areas of political environment are business-friendly. Economical: Economical factors are influenced and comprised by the economy of a country, and the World economy. These factors are interest rates, inflation, economic growth i.e. exchange rates and currency strength.  

What exactly are the consequences of performance appraisal in Essay

What exactly are the consequences of performance appraisal in organisations and how does it contribute to organisational or individual performance - Essay Example Additionally, the process provides the management with information that helps them to identify employee potentials. The organization can desire to affect the employee attitude by the results obtained by the employee through the evaluation cycle. The evaluation cycle provide the employee with clear performance SMART goals. The performance SMART goals are Specific, Measurable, Actionable, Realistic and Time-bound that the employee should work towards achieving. If the employee is performing well, the organization can reward such an employee by job promotion or increase in salary pay. If an employee performance is poor, the organization can choose to train the employee so that the employee can improve in performance (Kerwick 2013). After goal setting in performance appraisal, the supervisor and employee hold a self-appraisal meeting to discuss the employee’s performance so that they can identify potential goals for the upcoming appraisal period (Michelle, Douglas & John 2010). Based on the management, the employees perform their job and the supervisor should a keep note of the employee’s accomplishments and challenges. When a performance appraisal is carried out, a supervisor needs to show the employee how their performance affects the productivity of the organization. The employees should also understand how their performance affects the ability of others employees to do their jobs, and it helps put his job duties into an overall company context. This helps improve the notion of teamwork among the staff and can also encourage the cooperation to achieve corporate goals. After employee evaluation, employees with high scores become motivated and are likely to perform well and increase organizational productivity (Michelle et al 2010).An employee with a positive feedback makes himself feel like a worthy contributor in the organization hence encouraging them to perform better in the future. This

Aristotle Impact on Law Essay Example for Free

Aristotle Impact on Law Essay Aristotle (384 322 BC), was a Greek philosopher, logician, and scientist. Along with his teacher Plato, Aristotle is generally regarded as one of the most influential ancient thinkers in a various ways. Aristotle was born in Stagira in northern Greece, and as a young man he studied in Platos Academy in Athens. After Platos death he left Athens to proceed in philosophical and biological research in Asia Minor and Lesbos, and he was then invited by King Philip II of Macedonia to tutor his young son, Alexander the Great. Aristotle was extremely successful in tutoring Alexander, as he develoepd a great mind and was widely known for launching the invasion of the Persian Empire. Aristotle returned as a resident to Athens, and it was during this time (335-323 BC) when he wrote or at least completed some of his major theories, which included law. Aristotle and his teacher Plato, had alike minds when it came to their political views. They both believed that law had a moral purpose. They thought that it made people live their lives based on their reason, rather then their passion. When Aristotle talks about people following their reason, he means that they live their lives to the fullest taking in consideration all the talent and skill they are blessed with and using it to their advantage. One accomplishes this by making the most out of what he/she has been given to benefit themselves in life. Basically, he was following the natural law tradition because he felt as though the most important purpose of law was to help people live their lives positively and be happy. Law helped lead people into a positive direction Aristotle advanced a theory of individual rights, at the same time accepting aspects of positive law theory and natural law theory. He was supporting equity in judicial decision making and tells us how this can operate consistently with the rule of law. Also, Aristotles brilliant ideas on ethics forms a basis for punishment in criminal law. He teaches how to educate lawyers and the legal profession to incorporate ethics and virtue; he teaches lawyers how they can be more persuasive. Furthermore, Aristotle also had a huge insight on moral virtues and believed that if these virtues are to be nurtured, law is needed. He believed that law is essential to help discipline citizens and their actions, as well as to help maintain the beneficial habits they acquire. One of the most important aspects of our modern court/trial is the examining of the evidence. In most cases, the amount of quality evidence, or the lack of evidence, plays a huge role in making the final decision. Aristotle was the first person to think out the problem on evidence. When he approached a problem, he would examine: a) what people had previously written or said on the subject, b.) the general consensus of opinion on the subject, and c)a systematic study of everything else that is part of or related to the subject. His studies on evidence extremely influenced the concept and everything that comes along with it in the present day. He believed that every action needs to be judged according to all the relevant circumstances to the situation. As just mentioned, Aristotle believed that every action needed to be judged. Therefore, he believed that judging these actions were to be done based on the concept of equity. It was the foundation of modern law and the road to justice. Aristotle was against some aspects of equity. For example, Aristotle believed that men were more useful and important in life. He believed that women should not be granted many of the rights that men had, such as the right to vote, but that is a different topic. When it came to judging someone based on his/her actions, Aristotle supported the concept of equity 100%. Aristotle seems to be primarily concerned to discover and refine the moral standards by which human beings should be governed. What laws are to be used to establish and maintain those standards depends on the good sense of the community and the prudence of its leaders, including its poets and other educators. In particular, his views on the connection between the well-being of the political community and that of the citizens who make it up, his belief that citizens must actively participate in politics if they are to be happy and virtuous, and his analysis of what causes and prevents revolution within political communities have been a source of inspiration for many contemporary theorists.

Conan Doyle creates mystery Essay Example for Free

Conan Doyle creates mystery Essay Conan Doyle creates mystery and suspense in a variety of ways. The setting and atmosphere formed in a mystery story are vital and often one of the most effective ingredients. The desired effect, which in the case of these short stories is mystery and suspense, depend largely upon the setting and atmosphere. The major events that take place in The Speckled Band occur at the home of Dr Roylott in Stoke Moran. Watson describes the two uninhabited sections as a picture of ruin. The description of the two thirds of the house that are in ruin, raises questions in the readers mind as to what is occurring in the two areas of the house which are uninhabited. When the shape of the building is compared to the claws of a crab, it creates a perturbing simile for the reader. The reader may ask the question, Are Holmes and Watson about to be trapped within the claws? The major events that occur in The Speckled Band take place during the night. This creates an overwrought atmosphere as the night is thought to heighten emotions. During the night it is harder to see, and many perceive this as potentially dangerous. The fact that Stoke Moran is in a remote and secluded location, separate from the village, also indicates that no one could hear a murder or be able to help the victim. Therefore this is a perfect setting for a murder. The setting that is created also generates many decoys that could possibly throw the reader completely off the scent. The first being the gypsies. Roylott allows them access to his fields and therefore there are nearly always some there. In Victorian times you were thought badly of if you consorted with gypsies as they were thought to be social outcasts and were often feared by people due to curses and the magic they supposedly practiced. Not only do the gypsies provide a decoy and a slight edge to the story, they also create an unusual setting. The final element that dramatically adds to the setting, and that creates suspense in the atmosphere, is the wild animals that Dr Roylott allows to roam free. He has a cheetah and a baboon, which are feared by the villagers almost as much as their master. Personally I feel that Roylotts pets almost represent his character. The atmosphere around Stoke Moran must be one of tension and fear, and this is clearly illustrated through the setting that Doyle devises. The atmosphere and setting is also greatly influenced by the weather. On the eve of Julia Stoners death,It was a wild night. The wind was howling outside, and the rain was beating and splashing against the windows. Here Conan Doyle uses the technique pathetic fallacy as the weather mirrors the terrible events that are about to occur. Suddenly, amid all the hubbub of the gale, there burst forth the wild scream of a terrified woman. The use of literary techniques such as these adds to the foundations of the story and makes it a great deal more exciting. Personally I like the way suspense is created throughout this story. I thought this example was one of the most exciting parts. Conan Doyle uses detail to build up tension when Watson and Holmes must make their second visit to Stoke Moran in the dead of night. The atmosphere, while Watson and Holmes make their secret entrance, is on edge. There is a chill wind which gives the effect that it is eerie and ghostly, the pair are almost waiting for something to happen, when they see what appears to be a hideous and distorted child. Although it is only the baboon, it creates a heightened sense of suspense. When they realises the cause of their panic they find it humorous, and tension drops slightly as the foremost event has not yet occurred. Even though they are laughing, they are both still concerned about the cheetah roaming the grounds and the fact that they have to be totally soundless.

Benefits of the International Reporting Standards

Benefits of the International Reporting Standards 2. 0 Literature review 2.1 Introduction Literature abounds in polarising this subject matter the benefits of the international reporting standards. Looking back at the last quarter of the 20th century it will no longer be seen as an evolutionary period global financial market in a bit to introduce a single set of standards that will be generally acceptable in financial reporting. International reporting standards have revolutionized the domestic accounting system to a more capital oriented system (Hope et al, d Archy 2001). Lantto (2007) states that the information provided by the IFRS is more reliable and relevant. Darke and Deske (2006) highlights that the disclosure quality has increased tremendously since the adoption of the IFRS. Furthermore, Ding et al (2006) states that the adoption of the IFRS has made a great impact in bridging the differences in the use of the domestic standards among the countries. In justifying the theories, there are opinions as well as oppositions on the advantages of the international reporting standards. What becomes evident although arguably is that the movement from the domestic standard of reporting to the international standard of reporting is of great benefit to financial reporting to the shareholders, firms ,organizations and also global economy as it will place the whole countries in the same reporting field. This chapter will review this report from the historical background of the international financial reporting standards, the Implementation and enforcement then to the benefits of the adoption of this standard. 2.2 Financial Reporting. In the beginning financial reporting can hardly be called external (Alexander, Britton and Jorissen, 2003: 22) rather it was a way by which the owners were informed on their income and capital. This is because the owners and managers of the company were not separated. Until in the 1800s when they started encountering the agency problems it becomes evident to separate ownership (management) from capital supply. Then external wreporting was introduced in order to provide information outside the borders of a specific country. Hence, financial reporting emanates from internal to external reporting. Financial reporting provides information to the users for making economic decisions (Iqbal 2002). Gilmore and Wilmot (1992) states that reporting has developed over time in a bid to stress the need for investment decision making and also to attract investors into the company. Hegarty (1997) opines that the range and varieties of this reporting regime is as a result of an evolution which shows the uniqueness in the economic, cultural and legal jurisdiction. As a part of the revolutionary process financial reporting has changed over time (Crowther 2000). The change is a result of a need for a good financial reporting system that will communicate real value an d risk to the users of the reports (Damant 2000) .Hence, the quality of a financial report is dependent on the reporting standards. 2.3 Why Standards? According to (Perks 1994,p.137),Accounting standards may be seen as the professions rules, which supplement companies Act requirements that are intended to restrict directors freedom of manovoevre and to ensure that the financial statements are presented on a more comparable, consistent and standard basis. Perks (1994) reporting standards is also important in order to prevent scandals, abuses, financial collapsing in the companies and creative accounting that may jeopardize the profession. Also, Elliot and Elliot (2008) highlight some reasons for standard this includes: Comparability: Financial statements should be able to allow users make predictions on future cash flows and also evaluate managements performance. Credibility: For financial information to disclose information that will give a true and fair view, uniformity is therefore essential. Influence: To be able to stimulate a development of the conceptual framework the process at which the standards are formulated should be able to give a constructive appraisal of the policies proposed for the individual financial reporting. Discipline: A mandatory standard is necessary as it structures a regulation that will be systematic and ongoing thereby enforcing a disciple in the financial markets for all organizations listed in the stock exchange. The usefulness of a reporting standard cannot be overemphasized although there are some arguments on this. Harvey and Keer (1983) argued that information produced using financial standards could be unreliable at times and the standards might be bureaucratic and inflexible. Also, there may be adverse allocative effects . Consequently, there might be consensus-seeking and standard overload . Lets take an illustration of a of two companies; Enron and Ahold to further explain why we need standards. Enron is the seventh largest US based company falling into bankruptcy as a result of an overstated profit of $500 million and the Ahold the third largest US grocer had their earnings overstated for the past two years by $500. 2.3 How National differences affects reporting. Given that the environment differ from country to country, the types of decisions to be taken and information needed in decision making differs from one country to another. Hence, accounting system is environment specific. (Iqbal 2002). Adhikari and Tondkar (1992) reported that financial accounting reporting and disclosure standards and practices do not develop in a vacuum but reflect the particular environment in which they are developed (p. 76). The culture of a country affects its method of accounting and financial reporting. For example, Gary (1988) in his books illustrated one of the ways by which cultural differences affects countries financial reporting; a country with a high uncertainty avoidance and low individualism will tend to be more conservative in their income measurement than in a country with low certainty avoidance and high individualism. Although the measures of cultural attributes may be indistinct and not direct in financial reporting compared with the other factors that affect financial reporting.Also, the nature of accounting regulations in a country is influenced by the general system of law applicable in that country. For example Jaggi and Low (2000), notes that companies in the common laws countries tends to have a high level of disclosures than countries in a codified Roman law system. La Porta et al. (1998) argues that common countries have investors with a strong legal protection than the Roman law countries do. Moreover, the differences in the types of business organization and ownership also affect financial reporting. Elliot and Elliot (2008) further explains this stating that in a country like the UK the business structure indicates a separation of the ownership and the management while in the French business the structure differentiates the ownership from the managers.. According to Nobes and Parker (1 998, p.21):The difference in the providers of finance (creditors/insiders) versus (equity/ outsiders) is the key cause of international differences in financial reporting. Although there is an increasing scale, companies firms had to find extra capital to finance growth. (Alexander, Britton and Jorrisen 2003). Roe (2003), further argues that political differences are the major cause of the differences in corporate structures in the developed western countries. Also the accountancy profession is another determinant of the differences in financial reporting. Nobes and Parker (2006:36) emphasizes that the strength, size, and competence of the accountancy profession in a country affect the type of financial reporting that will be obtained in that country. So with these differences the financial analyst cannot be able to make a headway there is therefore a need for a uniform reporting standards. 2.4 Why the call for international reporting standards Over the years it becomes apparent for an ever increasing worldwide competition. The globalization of the markets and companies increased as a result of the cross-border securities market listings and capital raising.. Thus, there was no cross-border investments, investors therefore prefer to invest in companies whereby there will are more comfortable with their system of accounting . 2.5 Background of the International Reporting Standards. Financial reporting standards for international applicability became prevalent in the 1970s. International Accounting Standards committee (IASC) was set up in the 1973 in order to standardize the reporting differences in international investment communities. The establishment of the International Accounting Standard committee is seen as a response to the call by the accounting profession for a greater co-ordination of accounting rules among the various nations of the world (Kraayenhof 1960).The need was expressed in the international congresses of Accountants held in September, 1972 in Sydney. Chetkovich (1979, p.13) emphasizes that at each of these congresses, there was a demand for a better communications and closer cooperation among accountants on a worldwide basis; and also for greater harmonization of accounting standards. This statement led to the establishment of the IASC on June 29, 1973. The objectives of IASC are: to formulate and publish in the public interest, international standards; also to promote their acceptance and observance world-wide, and to work generally for the improvement and harmonisation of regulations, accounting standards and procedures relating to the presentation of financial statements. (IASC, 1983, Preface to Statements of International Accounting Standards, p.1). This is the first step towards the achievement of a globally recognised standard .The members of the IASC accept that adopting of international accounting standards (IAS) will improve the quality of financial statements (IASC ,1995). How far did this go or were there criticisms to this standard? IASC helped in solving the problem of uniformity although the purpose of it enactment was far from being realised. One of the weaknesses is that the standard issued by IASC has many objectives thereby making it difficult to achieve the purpose of consistency in recognition, measurement and presentation of transactions (IASB section 4). The standard is also too broad and allowed the use of several alternative accounting treatments. Atiken and Wise (1984) emphasizes that the IASC gives more attention to the multinational companies and investors in the multinational businesses more than it emphasizes on the harmonization of all spheres of the organization globally. Therefore emphasizing that IAS C was set up for the harmonization of accounting on a worldwide basis in order to improve the financial reporting and decision-making capability of multinational businesses, and investors in multinational businesses.(p.176). The second criticism to the use of IASC is that of the mandate. The statement starts with the phrase to formulate and publish in the public interest international standards†¦. (IASC). Hence they act in the interest of the public by a way of enforcing the rules which may not be favourable to the public. This absence of democratic legitimacy has been the major reason by which the IASC standards have not been enforced. Besides , this the structure and the membership composition of the IASC lacked the requirements needed for a global standard setting organization which includes the independence of its members, technical expertise and the decision making bodies representatives. McKinnon and Janelle (1983, p.33) argued that IASC has only succeeded in codifying generally accepted practice, in serving as a neutral source of standards ,and in influencing groups with the enforcement powers. Consequently, the IASC was restructured from the year 1998 to 2000 to International Accounting Standards Board (IASB). IASB is an independent London-based standard accounting body privately funded. The first IFRS was issued in the year 2003 with a membership of 19 countries but it has tremendously grown to 70 countries now with the EU mandating that all listed companies should use the IFRS in their financial reporting effective from the year 2005 (EC,2002). IASB has two member bodies the standard setting board and the member board of trustees .The IASB establishment is allied to that of the international federation of Accountants worldwide (IFAC).. The International Accounting Standards Board is committed to developing, in the public interest, a single set of high quality, global accounting standards that require transparent and comparable information in general purpose financial statements in addition, the IASB co-operates with the national accounting standard-setters to achieve con vergence in accounting standards around the world. (IASB, 2002, p.1). IASB has taken corrective measures in removing the accounting alternatives thereby ensuring that firms give a report that will reflect a true position and economic performance of the firm. IASB also aims at promoting global consistency in application and enforcement. It has also met the requirement that the business which operates in multiple bodies have a uniform financial statement which will be understandable in the countries whereby they operate. 2.6 International Accounting Standard Board (IASB) versus FASB? Norwalk agreement in the year 2002 by the Financial accounting Standard Board (FASB) and the International Accounting Standards Board was signed by both bodies after the need for a high quality, consistent and a comparable information which will be applicable to both domestic and the cross border financial reporting was recognized. Jacob and Madu (2009, p.3) the cited that both FASB and the IASB has pledged to use their best efforts in making their existing financial reporting standards fully compatible as is practicable and to coordinate their future work programmes to ensure that once achieved compatibility is maintained. This was also confirmed in their meeting in October 2005 of the two bodies reaffirming their commitments to converge US GAAP to IFRS. In a Concept Release, the SEC(2000) notes, Establishing and maintaining high quality accounting standards are critical to the US approach to regulation of capital markets, which depends on providing high quality information to facilitate informed investment decisions. (Jacob and Madu 2009).SEC released a proposal on July 13 2007, which states that US should recognize financial statements prepared using the IFRS from the foreign private issuers without reconciling them back to GAAP [2].furthermore, SEC informs all the investors that IFRS is the only set of standards with a high quality accounting standards that is more informative, useful for preparing financial reports compared with the US GAAP. This recent move to IFRS suggest that ,IFRS is the only standard that is of high quality and globally recognized and also has a potential to improve comparability of the financial statements despite of the country whereby they are domiciled. Despite all these efforts to converge to IFRS some academic literature still opines this stating that there are still material differences between the IFRS and the US GAAP. More so, the information contained in reconciliation is evident in the investment decisions made by the US investors. for example ,Culter and Neidemeyer (2009) argues that the major challenge why US did not want to adopt the IFRS is that there are differences in regulation and the manner at which these rules are been interpreted. IFRS is principal based regulatory system; which means that the rules are already set. On the other hand US GAAP is ruled based, whereby a detailed guidelines and principles is already laid out. Delliot (2007) emphasized that the principle based rules focuses more on the objective not relying more on the detailed rules. Deming (2005,p.4) gives a conclusive report pointing out that IFRS has more of a common law approach, than the US GAAP which is more of a civil law approach Furthermore, in the number of standards, IFRS has forty nine sta ndards while and nineteen interpretations and this consist of an approximate of two hundred pages (Delliot 2009) while the US GAAP has twenty thousand page (Mitra 2009).Other notable differences are seen in the financial reporting using the US GAAP and the IFRS. This will be comprehensively reviewed in the subsequent chapter. 2.7 Implementation and Enforcement of Financial Reporting Standards The credibility of a standard relies on its smooth implementation by countries that adopts it. Enforcement is a difficult concept to quantify and measure (Nobes and Parker 2006). The enforcement process differs from one country to another. Even at the international level there is still no genuine enforcement process. Moreover, some accounting bodies set standards and leaves enforcement to other bodies while others do both. For example US Securities and Exchange Commission sets laws and enforces it while IASC, Accounting Standards board (ASB) sets and develops standards and do not have the power to enforce these standards For the set rule of IFRS to be achieved an enforcement body has to be set up with powers to enforce the standards (Lamfalussy, 2001; Committee of European Securities Regulators [CESR], 2003a). Nobes and Parker (2008) states that the most determining factor for a successful adoption of this standard as a global standard is in the approach taken by the financial regulating bodies in the countries that adopts it. Giner and Rees (2005), Brown and Tarca (2005 )and Ball(2006 ) affirms that the purpose of IFRS is to provide a high quality financial reporting which can only be achieved with vigorous enforcement by the regulatory bodies (Schipper 2005 and Ball et al. 2003.The enforcement has not been easy certain factor has affected the effective enforcement of the law. Some of them vary from the cost, regulators interest and whether the businesses or accountants really need them. Watts and Zimmerman (1986), opines that the value of regulation is an empirical question, more apprehensive of ho w the regulatory authorities can value the costs and benefits of regulation. For example in the EU countries the structure and the organization that is in charge of the oversight of the requirements in the financial reporting varies among the EU countries. Also some countries do not have institutional oversight of financial reporting (FEE, 2001a, p.10).The EU regulation therefore mandates that the member states are to take appropriate measures in order to ensure compliance with IFRS. (European Commission EC], 2002, n.16). As a result of this the need for a country to produce a multiple financial statements was eliminated. Lafferty (1981) noted that no enforcement mechanism ever existed in reality. Perks (1993), expressed in his opinion that, without a legal backing it is not easy for the reporting standards to be enforced. Enforcing of the accounting standards therefore may require statutory audit, an effective sanctions and monitoring by supervisory bodies and for it to be implemen ted. Thus, there will be continuous reformations and changes in these standards. IFRS AND EU The European Parliamentary on enacted a legislation 0n 14 March 2002 requiring all companies listed in the European stock exchange to publish their financial statements with in accordance with the International financial reporting standards. There is also an endorsement mechanism which ensures that IFRS meets the needs of the EU listed countries. 2.4 International Standardization, Harmonization and Uniformity. The move towards greater harmonization of professional accounting practices has been traced back 1904 and the first accounting congress in St Louis, Missouri (Samuels and Piper, 1985, p.59, Mueller, 1979, p.7). Samuels and Piper (1985 p.59) states that international issues were not important while Mueller (1979 p.7) states that there is a need to pay attention to International harmonization. Combarros (2000), also argues that there is a need for harmonization of the accounting. Harmonization and standardization are used synonymously by some authors (Tay and Parker, 1990). While other researchers has differentiated the two. Tay and Parker (1990, p.73) defined harmonization as a movement away from total diversity of practice and standardisation is seen as a process which involves a movement towards uniformity. Saudagaran (2001:32), futher emphasized that the rationale for harmonization is that it will enhance comparability of financial statements [therefore] making it easier to use acr oss countries While other proponents is of the school of thought that harmonization will is not be practicable or truly probable. Rudhede and Wahlberg (2003) emphasizes that the lack of accounting harmonization will give difficulties to the investors in understanding the accounting principles which varies among the countries. Walton. Moreover, harmonization is a way to put processes in place to be able to reduce the obstacles inherent in international comparability. Hulle (1993, p.73) stated that the objective of harmonization is the comparability of accounts. All the efforts of the EU towards harmonization of these accounting standards have been challenging and slow. 2.4.2 Merits of international harmonization. An argument in favour of international harmonization is, efficiency in trans-border transactions. (Walton, Haller, Raffournier, 1998, p.9). Although lack of uniformity in the reporting procedures and the comparability of the accounting information is another barrier to cross border investments. This comparability of the financial postions across national bodies is seen as one of the most important reason for harmonization (Cummins 1975). This will help to reduce lack of trust and non reliance on the financial statements. With this there will be a flow of international investment in the capital market. Turner (1983 p.58) in his studies affirms that the second advantage of harmonization is to consolidate divergent information when more than one set of report is required to comply with different national laws or practices; further stating that accounting diversity is the major cause why companies spend unnecessarily cost. According to Houston and Reinstein (2001), harmonization of the a ccounting standards will reduce the cost of business, more particularly across national borders, than it will contribute towards greater efficiency of the market regulations. Not only will that harmonization reduce the costs inherent in conducting financial statements analysis and investments in international context. Another advantage of international harmonization of the accounting standards is saving of resources (Muller 1961, Spacek 1971). Further arguments is that international harmonization of the accounting standards can advance capital market efficiency(Ramanna and Sletten 2009) while Ball et al., 2000; Ball Et al 2006 envisaged that if the international market does not go along with the associated capital market institutions can be expensive. Finally, harmonization of the international accounting standards will help in improving management decisions in the multinationals. (Hauworth 1973). 2.4.3 Demerits of international harmonization International harmonization if faced with some criticisms, Some of which are economic while others are political. One of the criticisms is that it cannot carter for a wide range of national circumstances, legal systems, stages of economic development, and cultural differences (Samuel and Piper, 1985, pp 100-109). Atiken and Islam refuted this stating that the nature of the economic transactions and the methods by which they are accounted for does not vary in essence. Walton, Haller, Raffournier, (1998) argued that harmonization distorts social balances that have not been tackled over a long period of time. In the readings of Blake and Hossain (1996) International harmonization of reporting standards especially IASC is less respectful of local particularities; in regards to this context options will be seen as to be bad ,methods are termed either good or bad and costly reconciliations is likely to be imposed. Kenny and Larson (1993) further argued that large professional organizations protect their selfish interest in the standard setting process. Also the absence of a strong professional accounting body is a major obstacle to harmonization of accounting standards. 2.10 Arguments for international reporting. The essence of international reporting standards is to give a universal reporting standard that will be comprehensive and transparent thereby improving investors confidence as well as also creating market integrity. (Hope et al., 2005; dArcy, 2001). In this section we looked at the benefits of international reporting standards to the investors, firms, and also to the global economy. Gordon (2008, p. 3) cited the speech of Levitt (1997) which stating that for international reporting standards to gain acceptance three key objectives must be in place: The standards should include a core set of accounting pronouncements that constitute a comprehensive, generally accepted basis of accounting. The standards must be of high quality – they must result in comparability and transparency and they must provide for full disclosure. The standards must be rigorously interpreted and applied. Financial Reporting quality and transparency under IFRS The question has been if the accounting figures reported under this standard will give of high quality compared to those under domestic standards?. Also will IFRS show transparency in disclosure for an informed decision for investment? Barth et al., (2007) states that this is an extremely intricate question to answer as the application of any given standard has exhibited the effects of the features of the financial reporting system, its standards, as well their interpretation, enforcement and litigation. As these affects the competence of the financial prepares and users. Tarca (2004) said that international accounting standards are one way of improving transparency in financial reporting. Ashbaugh and Pincus (2001) elaborate that since the adoption of IFRS there has been improvement in the forecast accuracy by the analyst. As a result of this analysts cost of information acquisition also reduces. Cuijpers and Buijink (2005) from his sample of firms domiciled in the European Union pr ovide evidence that the analyst following has increased. Also Barth et al (2003) and Barth et al (2007) reveal that higher value relevance for firms is higher since the adoption of the IFRS as compared with the pre adoption period. IFRS therefore reduces the estimation of risk in market returns. Hence we will say that the quality of the IFRS in financial reporting is therefore inestimable in countries that adopt IFRS than those that use the locally recognised standards. Although we have affirmed that IFRS is associated with a high accounting quality there may be oppositions to this. Firstly, where there is an intrinsic flexibility in the principles based standards; this may present opportunities for firms to manage their earning thereby reducing the accounting quality. Also, in a bit to limit the managerial discretion which relates to the accounting alternatives will also reduce the ability of the firm to report accounting measurements that will give a reflection of what the true po sition and economic performance of the company is. Thus, accounting regime affects the quality of the information thereby affecting the cost of capital. Cost of capital and IFRS Adoption There are various propositions on the whether the adoption of IFRS reduces liquidity and lower cost of capital. Before the adoption of IFRS investors have to spend some time and effort in translating the standards in a way they can to understand. This process wastes efforts time and incurs transaction cost. The cost of capital determines how risky an investment would be. The higher the cost of capital the more risky the investment will be. According to (Coffee 2002), findings on bonding theory there is a lowered cost of capital. Deske (2006) affirms that this associated reduction in information cost is the main benefits by which IFRS is being adopted. There will be a reduced cost since the same standard will be used by all countries not regarding where the countries are domiciled. Aras and Crowther (2008) argued that the reduction in the cost of information in the adoption of IFRS and an assured consequent reduction can only benefit the countries whose legal, cultural, and economic s ystem is the same with the nations which are involved in setting IFRS, hence other countries which are not beneficial to this may incur increased cost compliance. Although, Barth (2007); Marquez-Ramos (2008) emphasized that IFRS reduces information cost of an economy as capital flows and trade becomes globalised. Improved comparability of the accounting reports: The use of IFRS eliminates the lack of comparability of financial statements. Choi et al. 1999, p. 249 states that comparability eliminate the current misunderstandings of the investors on the reliability of foreign financial statements and this removes one of the most main impediments affecting the flow of international investment. It also makes it easier for companies to compare financial results of different reporting entities from different countries. Global recognition Globalization of the business activities has increased creating a need for comparability of financial information between firms of different countries .Most of the companies are going globalized therefore the use of national accounting rules is increasingly impairing effective communication both in internal and external reporting. In a recent study by the international federation of Accountants(IFAC) most accounting leaders all over the world has agreed that adopting IFRS will be vital for economic growth in their countries. It is also significant as it will make it easier to compare human capital needs of companys subsidiaries all over the world since professionals will be more mobile. IFRS improves profit figures: The movement from the domestically recognized standards to the internationally recognized standards has resulted to a tremendous increase in the net profit figures of top most countries financial reports although the balance sheets have deteriorated. It is noted already that IFRS requires a comprehensive reporting than the domestic standards. IFRS has determined the various accounting methods by which profit figures will be derived from and reported by the firms (Aras and Crowther 2008). Impact of IFRS on financial reporting Examining financial statement implications is important because, †¦ the only direct effects †¦ are changed financial statements †¦ (Hung and Subramanyan, 2004, p.4) Pijper (2009), further examines how IFRS has affected the reporting of financing on the balance sheet. In GAAP the put option were disclosed in a footnote as an off balance sheet figure, but with the IFRS the put options which is held by minorities are now treated as a financial liabilities. Prior to the adoption of IFRS most companies were very conservative in their depreciation rates and this was affecting the business profits in that some assets will still be in use and there is no report on the expense incurred against those assets in the income statements but now the IFRS has reduced the distortions b these excessive prudent nature of depreciation rates .From the studies of (Hung and Subramanyan 2004) IFRS emphasized that fair value should be used for balance sheet valuation. Barth et al (2005) from hi s studies discovered that companies that uses IFRS experienc Benefits of the International Reporting Standards Benefits of the International Reporting Standards 2. 0 Literature review 2.1 Introduction Literature abounds in polarising this subject matter the benefits of the international reporting standards. Looking back at the last quarter of the 20th century it will no longer be seen as an evolutionary period global financial market in a bit to introduce a single set of standards that will be generally acceptable in financial reporting. International reporting standards have revolutionized the domestic accounting system to a more capital oriented system (Hope et al, d Archy 2001). Lantto (2007) states that the information provided by the IFRS is more reliable and relevant. Darke and Deske (2006) highlights that the disclosure quality has increased tremendously since the adoption of the IFRS. Furthermore, Ding et al (2006) states that the adoption of the IFRS has made a great impact in bridging the differences in the use of the domestic standards among the countries. In justifying the theories, there are opinions as well as oppositions on the advantages of the international reporting standards. What becomes evident although arguably is that the movement from the domestic standard of reporting to the international standard of reporting is of great benefit to financial reporting to the shareholders, firms ,organizations and also global economy as it will place the whole countries in the same reporting field. This chapter will review this report from the historical background of the international financial reporting standards, the Implementation and enforcement then to the benefits of the adoption of this standard. 2.2 Financial Reporting. In the beginning financial reporting can hardly be called external (Alexander, Britton and Jorissen, 2003: 22) rather it was a way by which the owners were informed on their income and capital. This is because the owners and managers of the company were not separated. Until in the 1800s when they started encountering the agency problems it becomes evident to separate ownership (management) from capital supply. Then external wreporting was introduced in order to provide information outside the borders of a specific country. Hence, financial reporting emanates from internal to external reporting. Financial reporting provides information to the users for making economic decisions (Iqbal 2002). Gilmore and Wilmot (1992) states that reporting has developed over time in a bid to stress the need for investment decision making and also to attract investors into the company. Hegarty (1997) opines that the range and varieties of this reporting regime is as a result of an evolution which shows the uniqueness in the economic, cultural and legal jurisdiction. As a part of the revolutionary process financial reporting has changed over time (Crowther 2000). The change is a result of a need for a good financial reporting system that will communicate real value an d risk to the users of the reports (Damant 2000) .Hence, the quality of a financial report is dependent on the reporting standards. 2.3 Why Standards? According to (Perks 1994,p.137),Accounting standards may be seen as the professions rules, which supplement companies Act requirements that are intended to restrict directors freedom of manovoevre and to ensure that the financial statements are presented on a more comparable, consistent and standard basis. Perks (1994) reporting standards is also important in order to prevent scandals, abuses, financial collapsing in the companies and creative accounting that may jeopardize the profession. Also, Elliot and Elliot (2008) highlight some reasons for standard this includes: Comparability: Financial statements should be able to allow users make predictions on future cash flows and also evaluate managements performance. Credibility: For financial information to disclose information that will give a true and fair view, uniformity is therefore essential. Influence: To be able to stimulate a development of the conceptual framework the process at which the standards are formulated should be able to give a constructive appraisal of the policies proposed for the individual financial reporting. Discipline: A mandatory standard is necessary as it structures a regulation that will be systematic and ongoing thereby enforcing a disciple in the financial markets for all organizations listed in the stock exchange. The usefulness of a reporting standard cannot be overemphasized although there are some arguments on this. Harvey and Keer (1983) argued that information produced using financial standards could be unreliable at times and the standards might be bureaucratic and inflexible. Also, there may be adverse allocative effects . Consequently, there might be consensus-seeking and standard overload . Lets take an illustration of a of two companies; Enron and Ahold to further explain why we need standards. Enron is the seventh largest US based company falling into bankruptcy as a result of an overstated profit of $500 million and the Ahold the third largest US grocer had their earnings overstated for the past two years by $500. 2.3 How National differences affects reporting. Given that the environment differ from country to country, the types of decisions to be taken and information needed in decision making differs from one country to another. Hence, accounting system is environment specific. (Iqbal 2002). Adhikari and Tondkar (1992) reported that financial accounting reporting and disclosure standards and practices do not develop in a vacuum but reflect the particular environment in which they are developed (p. 76). The culture of a country affects its method of accounting and financial reporting. For example, Gary (1988) in his books illustrated one of the ways by which cultural differences affects countries financial reporting; a country with a high uncertainty avoidance and low individualism will tend to be more conservative in their income measurement than in a country with low certainty avoidance and high individualism. Although the measures of cultural attributes may be indistinct and not direct in financial reporting compared with the other factors that affect financial reporting.Also, the nature of accounting regulations in a country is influenced by the general system of law applicable in that country. For example Jaggi and Low (2000), notes that companies in the common laws countries tends to have a high level of disclosures than countries in a codified Roman law system. La Porta et al. (1998) argues that common countries have investors with a strong legal protection than the Roman law countries do. Moreover, the differences in the types of business organization and ownership also affect financial reporting. Elliot and Elliot (2008) further explains this stating that in a country like the UK the business structure indicates a separation of the ownership and the management while in the French business the structure differentiates the ownership from the managers.. According to Nobes and Parker (1 998, p.21):The difference in the providers of finance (creditors/insiders) versus (equity/ outsiders) is the key cause of international differences in financial reporting. Although there is an increasing scale, companies firms had to find extra capital to finance growth. (Alexander, Britton and Jorrisen 2003). Roe (2003), further argues that political differences are the major cause of the differences in corporate structures in the developed western countries. Also the accountancy profession is another determinant of the differences in financial reporting. Nobes and Parker (2006:36) emphasizes that the strength, size, and competence of the accountancy profession in a country affect the type of financial reporting that will be obtained in that country. So with these differences the financial analyst cannot be able to make a headway there is therefore a need for a uniform reporting standards. 2.4 Why the call for international reporting standards Over the years it becomes apparent for an ever increasing worldwide competition. The globalization of the markets and companies increased as a result of the cross-border securities market listings and capital raising.. Thus, there was no cross-border investments, investors therefore prefer to invest in companies whereby there will are more comfortable with their system of accounting . 2.5 Background of the International Reporting Standards. Financial reporting standards for international applicability became prevalent in the 1970s. International Accounting Standards committee (IASC) was set up in the 1973 in order to standardize the reporting differences in international investment communities. The establishment of the International Accounting Standard committee is seen as a response to the call by the accounting profession for a greater co-ordination of accounting rules among the various nations of the world (Kraayenhof 1960).The need was expressed in the international congresses of Accountants held in September, 1972 in Sydney. Chetkovich (1979, p.13) emphasizes that at each of these congresses, there was a demand for a better communications and closer cooperation among accountants on a worldwide basis; and also for greater harmonization of accounting standards. This statement led to the establishment of the IASC on June 29, 1973. The objectives of IASC are: to formulate and publish in the public interest, international standards; also to promote their acceptance and observance world-wide, and to work generally for the improvement and harmonisation of regulations, accounting standards and procedures relating to the presentation of financial statements. (IASC, 1983, Preface to Statements of International Accounting Standards, p.1). This is the first step towards the achievement of a globally recognised standard .The members of the IASC accept that adopting of international accounting standards (IAS) will improve the quality of financial statements (IASC ,1995). How far did this go or were there criticisms to this standard? IASC helped in solving the problem of uniformity although the purpose of it enactment was far from being realised. One of the weaknesses is that the standard issued by IASC has many objectives thereby making it difficult to achieve the purpose of consistency in recognition, measurement and presentation of transactions (IASB section 4). The standard is also too broad and allowed the use of several alternative accounting treatments. Atiken and Wise (1984) emphasizes that the IASC gives more attention to the multinational companies and investors in the multinational businesses more than it emphasizes on the harmonization of all spheres of the organization globally. Therefore emphasizing that IAS C was set up for the harmonization of accounting on a worldwide basis in order to improve the financial reporting and decision-making capability of multinational businesses, and investors in multinational businesses.(p.176). The second criticism to the use of IASC is that of the mandate. The statement starts with the phrase to formulate and publish in the public interest international standards†¦. (IASC). Hence they act in the interest of the public by a way of enforcing the rules which may not be favourable to the public. This absence of democratic legitimacy has been the major reason by which the IASC standards have not been enforced. Besides , this the structure and the membership composition of the IASC lacked the requirements needed for a global standard setting organization which includes the independence of its members, technical expertise and the decision making bodies representatives. McKinnon and Janelle (1983, p.33) argued that IASC has only succeeded in codifying generally accepted practice, in serving as a neutral source of standards ,and in influencing groups with the enforcement powers. Consequently, the IASC was restructured from the year 1998 to 2000 to International Accounting Standards Board (IASB). IASB is an independent London-based standard accounting body privately funded. The first IFRS was issued in the year 2003 with a membership of 19 countries but it has tremendously grown to 70 countries now with the EU mandating that all listed companies should use the IFRS in their financial reporting effective from the year 2005 (EC,2002). IASB has two member bodies the standard setting board and the member board of trustees .The IASB establishment is allied to that of the international federation of Accountants worldwide (IFAC).. The International Accounting Standards Board is committed to developing, in the public interest, a single set of high quality, global accounting standards that require transparent and comparable information in general purpose financial statements in addition, the IASB co-operates with the national accounting standard-setters to achieve con vergence in accounting standards around the world. (IASB, 2002, p.1). IASB has taken corrective measures in removing the accounting alternatives thereby ensuring that firms give a report that will reflect a true position and economic performance of the firm. IASB also aims at promoting global consistency in application and enforcement. It has also met the requirement that the business which operates in multiple bodies have a uniform financial statement which will be understandable in the countries whereby they operate. 2.6 International Accounting Standard Board (IASB) versus FASB? Norwalk agreement in the year 2002 by the Financial accounting Standard Board (FASB) and the International Accounting Standards Board was signed by both bodies after the need for a high quality, consistent and a comparable information which will be applicable to both domestic and the cross border financial reporting was recognized. Jacob and Madu (2009, p.3) the cited that both FASB and the IASB has pledged to use their best efforts in making their existing financial reporting standards fully compatible as is practicable and to coordinate their future work programmes to ensure that once achieved compatibility is maintained. This was also confirmed in their meeting in October 2005 of the two bodies reaffirming their commitments to converge US GAAP to IFRS. In a Concept Release, the SEC(2000) notes, Establishing and maintaining high quality accounting standards are critical to the US approach to regulation of capital markets, which depends on providing high quality information to facilitate informed investment decisions. (Jacob and Madu 2009).SEC released a proposal on July 13 2007, which states that US should recognize financial statements prepared using the IFRS from the foreign private issuers without reconciling them back to GAAP [2].furthermore, SEC informs all the investors that IFRS is the only set of standards with a high quality accounting standards that is more informative, useful for preparing financial reports compared with the US GAAP. This recent move to IFRS suggest that ,IFRS is the only standard that is of high quality and globally recognized and also has a potential to improve comparability of the financial statements despite of the country whereby they are domiciled. Despite all these efforts to converge to IFRS some academic literature still opines this stating that there are still material differences between the IFRS and the US GAAP. More so, the information contained in reconciliation is evident in the investment decisions made by the US investors. for example ,Culter and Neidemeyer (2009) argues that the major challenge why US did not want to adopt the IFRS is that there are differences in regulation and the manner at which these rules are been interpreted. IFRS is principal based regulatory system; which means that the rules are already set. On the other hand US GAAP is ruled based, whereby a detailed guidelines and principles is already laid out. Delliot (2007) emphasized that the principle based rules focuses more on the objective not relying more on the detailed rules. Deming (2005,p.4) gives a conclusive report pointing out that IFRS has more of a common law approach, than the US GAAP which is more of a civil law approach Furthermore, in the number of standards, IFRS has forty nine sta ndards while and nineteen interpretations and this consist of an approximate of two hundred pages (Delliot 2009) while the US GAAP has twenty thousand page (Mitra 2009).Other notable differences are seen in the financial reporting using the US GAAP and the IFRS. This will be comprehensively reviewed in the subsequent chapter. 2.7 Implementation and Enforcement of Financial Reporting Standards The credibility of a standard relies on its smooth implementation by countries that adopts it. Enforcement is a difficult concept to quantify and measure (Nobes and Parker 2006). The enforcement process differs from one country to another. Even at the international level there is still no genuine enforcement process. Moreover, some accounting bodies set standards and leaves enforcement to other bodies while others do both. For example US Securities and Exchange Commission sets laws and enforces it while IASC, Accounting Standards board (ASB) sets and develops standards and do not have the power to enforce these standards For the set rule of IFRS to be achieved an enforcement body has to be set up with powers to enforce the standards (Lamfalussy, 2001; Committee of European Securities Regulators [CESR], 2003a). Nobes and Parker (2008) states that the most determining factor for a successful adoption of this standard as a global standard is in the approach taken by the financial regulating bodies in the countries that adopts it. Giner and Rees (2005), Brown and Tarca (2005 )and Ball(2006 ) affirms that the purpose of IFRS is to provide a high quality financial reporting which can only be achieved with vigorous enforcement by the regulatory bodies (Schipper 2005 and Ball et al. 2003.The enforcement has not been easy certain factor has affected the effective enforcement of the law. Some of them vary from the cost, regulators interest and whether the businesses or accountants really need them. Watts and Zimmerman (1986), opines that the value of regulation is an empirical question, more apprehensive of ho w the regulatory authorities can value the costs and benefits of regulation. For example in the EU countries the structure and the organization that is in charge of the oversight of the requirements in the financial reporting varies among the EU countries. Also some countries do not have institutional oversight of financial reporting (FEE, 2001a, p.10).The EU regulation therefore mandates that the member states are to take appropriate measures in order to ensure compliance with IFRS. (European Commission EC], 2002, n.16). As a result of this the need for a country to produce a multiple financial statements was eliminated. Lafferty (1981) noted that no enforcement mechanism ever existed in reality. Perks (1993), expressed in his opinion that, without a legal backing it is not easy for the reporting standards to be enforced. Enforcing of the accounting standards therefore may require statutory audit, an effective sanctions and monitoring by supervisory bodies and for it to be implemen ted. Thus, there will be continuous reformations and changes in these standards. IFRS AND EU The European Parliamentary on enacted a legislation 0n 14 March 2002 requiring all companies listed in the European stock exchange to publish their financial statements with in accordance with the International financial reporting standards. There is also an endorsement mechanism which ensures that IFRS meets the needs of the EU listed countries. 2.4 International Standardization, Harmonization and Uniformity. The move towards greater harmonization of professional accounting practices has been traced back 1904 and the first accounting congress in St Louis, Missouri (Samuels and Piper, 1985, p.59, Mueller, 1979, p.7). Samuels and Piper (1985 p.59) states that international issues were not important while Mueller (1979 p.7) states that there is a need to pay attention to International harmonization. Combarros (2000), also argues that there is a need for harmonization of the accounting. Harmonization and standardization are used synonymously by some authors (Tay and Parker, 1990). While other researchers has differentiated the two. Tay and Parker (1990, p.73) defined harmonization as a movement away from total diversity of practice and standardisation is seen as a process which involves a movement towards uniformity. Saudagaran (2001:32), futher emphasized that the rationale for harmonization is that it will enhance comparability of financial statements [therefore] making it easier to use acr oss countries While other proponents is of the school of thought that harmonization will is not be practicable or truly probable. Rudhede and Wahlberg (2003) emphasizes that the lack of accounting harmonization will give difficulties to the investors in understanding the accounting principles which varies among the countries. Walton. Moreover, harmonization is a way to put processes in place to be able to reduce the obstacles inherent in international comparability. Hulle (1993, p.73) stated that the objective of harmonization is the comparability of accounts. All the efforts of the EU towards harmonization of these accounting standards have been challenging and slow. 2.4.2 Merits of international harmonization. An argument in favour of international harmonization is, efficiency in trans-border transactions. (Walton, Haller, Raffournier, 1998, p.9). Although lack of uniformity in the reporting procedures and the comparability of the accounting information is another barrier to cross border investments. This comparability of the financial postions across national bodies is seen as one of the most important reason for harmonization (Cummins 1975). This will help to reduce lack of trust and non reliance on the financial statements. With this there will be a flow of international investment in the capital market. Turner (1983 p.58) in his studies affirms that the second advantage of harmonization is to consolidate divergent information when more than one set of report is required to comply with different national laws or practices; further stating that accounting diversity is the major cause why companies spend unnecessarily cost. According to Houston and Reinstein (2001), harmonization of the a ccounting standards will reduce the cost of business, more particularly across national borders, than it will contribute towards greater efficiency of the market regulations. Not only will that harmonization reduce the costs inherent in conducting financial statements analysis and investments in international context. Another advantage of international harmonization of the accounting standards is saving of resources (Muller 1961, Spacek 1971). Further arguments is that international harmonization of the accounting standards can advance capital market efficiency(Ramanna and Sletten 2009) while Ball et al., 2000; Ball Et al 2006 envisaged that if the international market does not go along with the associated capital market institutions can be expensive. Finally, harmonization of the international accounting standards will help in improving management decisions in the multinationals. (Hauworth 1973). 2.4.3 Demerits of international harmonization International harmonization if faced with some criticisms, Some of which are economic while others are political. One of the criticisms is that it cannot carter for a wide range of national circumstances, legal systems, stages of economic development, and cultural differences (Samuel and Piper, 1985, pp 100-109). Atiken and Islam refuted this stating that the nature of the economic transactions and the methods by which they are accounted for does not vary in essence. Walton, Haller, Raffournier, (1998) argued that harmonization distorts social balances that have not been tackled over a long period of time. In the readings of Blake and Hossain (1996) International harmonization of reporting standards especially IASC is less respectful of local particularities; in regards to this context options will be seen as to be bad ,methods are termed either good or bad and costly reconciliations is likely to be imposed. Kenny and Larson (1993) further argued that large professional organizations protect their selfish interest in the standard setting process. Also the absence of a strong professional accounting body is a major obstacle to harmonization of accounting standards. 2.10 Arguments for international reporting. The essence of international reporting standards is to give a universal reporting standard that will be comprehensive and transparent thereby improving investors confidence as well as also creating market integrity. (Hope et al., 2005; dArcy, 2001). In this section we looked at the benefits of international reporting standards to the investors, firms, and also to the global economy. Gordon (2008, p. 3) cited the speech of Levitt (1997) which stating that for international reporting standards to gain acceptance three key objectives must be in place: The standards should include a core set of accounting pronouncements that constitute a comprehensive, generally accepted basis of accounting. The standards must be of high quality – they must result in comparability and transparency and they must provide for full disclosure. The standards must be rigorously interpreted and applied. Financial Reporting quality and transparency under IFRS The question has been if the accounting figures reported under this standard will give of high quality compared to those under domestic standards?. Also will IFRS show transparency in disclosure for an informed decision for investment? Barth et al., (2007) states that this is an extremely intricate question to answer as the application of any given standard has exhibited the effects of the features of the financial reporting system, its standards, as well their interpretation, enforcement and litigation. As these affects the competence of the financial prepares and users. Tarca (2004) said that international accounting standards are one way of improving transparency in financial reporting. Ashbaugh and Pincus (2001) elaborate that since the adoption of IFRS there has been improvement in the forecast accuracy by the analyst. As a result of this analysts cost of information acquisition also reduces. Cuijpers and Buijink (2005) from his sample of firms domiciled in the European Union pr ovide evidence that the analyst following has increased. Also Barth et al (2003) and Barth et al (2007) reveal that higher value relevance for firms is higher since the adoption of the IFRS as compared with the pre adoption period. IFRS therefore reduces the estimation of risk in market returns. Hence we will say that the quality of the IFRS in financial reporting is therefore inestimable in countries that adopt IFRS than those that use the locally recognised standards. Although we have affirmed that IFRS is associated with a high accounting quality there may be oppositions to this. Firstly, where there is an intrinsic flexibility in the principles based standards; this may present opportunities for firms to manage their earning thereby reducing the accounting quality. Also, in a bit to limit the managerial discretion which relates to the accounting alternatives will also reduce the ability of the firm to report accounting measurements that will give a reflection of what the true po sition and economic performance of the company is. Thus, accounting regime affects the quality of the information thereby affecting the cost of capital. Cost of capital and IFRS Adoption There are various propositions on the whether the adoption of IFRS reduces liquidity and lower cost of capital. Before the adoption of IFRS investors have to spend some time and effort in translating the standards in a way they can to understand. This process wastes efforts time and incurs transaction cost. The cost of capital determines how risky an investment would be. The higher the cost of capital the more risky the investment will be. According to (Coffee 2002), findings on bonding theory there is a lowered cost of capital. Deske (2006) affirms that this associated reduction in information cost is the main benefits by which IFRS is being adopted. There will be a reduced cost since the same standard will be used by all countries not regarding where the countries are domiciled. Aras and Crowther (2008) argued that the reduction in the cost of information in the adoption of IFRS and an assured consequent reduction can only benefit the countries whose legal, cultural, and economic s ystem is the same with the nations which are involved in setting IFRS, hence other countries which are not beneficial to this may incur increased cost compliance. Although, Barth (2007); Marquez-Ramos (2008) emphasized that IFRS reduces information cost of an economy as capital flows and trade becomes globalised. Improved comparability of the accounting reports: The use of IFRS eliminates the lack of comparability of financial statements. Choi et al. 1999, p. 249 states that comparability eliminate the current misunderstandings of the investors on the reliability of foreign financial statements and this removes one of the most main impediments affecting the flow of international investment. It also makes it easier for companies to compare financial results of different reporting entities from different countries. Global recognition Globalization of the business activities has increased creating a need for comparability of financial information between firms of different countries .Most of the companies are going globalized therefore the use of national accounting rules is increasingly impairing effective communication both in internal and external reporting. In a recent study by the international federation of Accountants(IFAC) most accounting leaders all over the world has agreed that adopting IFRS will be vital for economic growth in their countries. It is also significant as it will make it easier to compare human capital needs of companys subsidiaries all over the world since professionals will be more mobile. IFRS improves profit figures: The movement from the domestically recognized standards to the internationally recognized standards has resulted to a tremendous increase in the net profit figures of top most countries financial reports although the balance sheets have deteriorated. It is noted already that IFRS requires a comprehensive reporting than the domestic standards. IFRS has determined the various accounting methods by which profit figures will be derived from and reported by the firms (Aras and Crowther 2008). Impact of IFRS on financial reporting Examining financial statement implications is important because, †¦ the only direct effects †¦ are changed financial statements †¦ (Hung and Subramanyan, 2004, p.4) Pijper (2009), further examines how IFRS has affected the reporting of financing on the balance sheet. In GAAP the put option were disclosed in a footnote as an off balance sheet figure, but with the IFRS the put options which is held by minorities are now treated as a financial liabilities. Prior to the adoption of IFRS most companies were very conservative in their depreciation rates and this was affecting the business profits in that some assets will still be in use and there is no report on the expense incurred against those assets in the income statements but now the IFRS has reduced the distortions b these excessive prudent nature of depreciation rates .From the studies of (Hung and Subramanyan 2004) IFRS emphasized that fair value should be used for balance sheet valuation. Barth et al (2005) from hi s studies discovered that companies that uses IFRS experienc

Shakespeare :: essays research papers

The Globe Theatre 1. Prehistory Shakespeare joined the Lord Chamberlain men in 1594. At that time the company didn't have an own theatre. Sometimes they played in ,,The Theatre" or in the ,,Curtain-Theatre". After James Burbage died in 1598, the lease of the land where ,,The Theatre" was built, was passed. His sons Cuthbert and Richard Burbage tried to convince the owner to renew the lease, but he didn't. So Cuthbert and Richard leased land at the south bank of the Themse. Half of the needed money was raised by the Burbage brothers, the other half was raised by five actors of the group, one of them was Shakespeare. As the owner wasn't in London for some days, the people of the company teared the theatre down and transported the material over the Themse to the new land. The Globe Theatre was established between pubs and brothels (Kneipen und Bordelle). The theatre building was finished in 1599 and the first performance was in the summer of 1599. 2.The construction of the Globe Theatre The G.T. was London's most important public theatre. The name of the G.T. came from a sign beyond the gate, where Hercules was shown together with a globe. Around the picture there was written the sentence: "Totus mundus agit histrionem", that means: "The whole world is a stage". The G.T. was made from wood. It was an almost round building. There was place for circa 1200 people. A roof made of straw protected the three galeries inside the theatre and also the dressing-room but not the stage. Even if it was raining, the actors had to play. The court was surrounded by the galeries. Most of the stage laid in the court. The stage was a large platform. At the back, on each side of the platform, were two large doors. In the centre of the platform was a recess or inner stage, which was usually concealed by a curtain. But there was no front curtain to hide the stage completely and separate the actors from their audience. 3.The actors and the audience The actors were all men. Even the female roles were played by boys. The actors had to learn 800 lines a day, that was the reason why they could play 70 roles after three years. They acted without any costumes or scenery, instead they played in their own clothes. There was no real owner of the theatre and no boss.

Theory of marxism and sports Essay -- essays research papers

The paper that is about to be presented is about how a theory invented by Karl Marx can intertwine with sports as we know it. The Marxist theory mainly affects how people can participate in different sports depending on their class status. In the first two paragraphs, the paper will describe the basic intentions of the Marxist Theory and its background. The next two paragraphs will explain how the the theory and spoats coincide.   Ã‚  Ã‚  Ã‚  Ã‚  The Marxist theory is used all over the world. In fact, it is used moer than any other social theory. His thoughts have been used for for diffent political, military, and academic views and studies. Karl marx lived from 1813-1883 in Germany. His theory covers the culture, politics, economics and industrialization of his time. He called the leading role of the social parts of each individual societies superstructures. In Marx’s eyes there were two classes: The Bourgeoisie and the Proletariat. The upper class, more wealthy, Bourgeoisie, had the smaller more powerful aristocratic class. On the other hand, the Proletariat are less skilled lower class workers that are the majority. Do to the separation of these two classes the Bourgeoisie own all the means of production and have the rights to all the riches. They have the power to influence there thoughts and beliefs in society because of their economic and social dominance (Rigauer, 2000). The Marixst theory is set up on economic factors and puts to much considertion on   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   them. According to Marx he thinks money is everything within society and social life. Marxism tries to identify which sports are accessible to whom. A recent example: in contemporary British society class differences regarding participation rates in different sports can be found. The higher the social class, the more likely the individual is to be more active and to attend a sports event. The explanation therefore: a lack of resources in finances and availability of those in the working class. Affected sports are walking, jogging, swimming, weight-lifting, snook... ...In conclusion, after reading in depth articles and individual opinions on the topic, I realized that the Marxist approach is one dimensional and incomplete. Therefore, leaving me to be critical of an unfulfilling and one sided view of Marxist theory and sport. However,   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   the commonalities that arise between capitalism and the development of sport in our society still cannot be ignored. Thus, giving his theory partial credibility in my opinion. While I struggled to understand how this information could be used directly in the field of sport administration, in the end, I have learned that simply being aware of different sociological theories can help to understand why society behaves the way it does in the sport context. This application is very indirect; however, it will allow me to approach future situations with a deeper understanding of sports in society.