...There are several risks which is directly associated with financing. Some of these risks are: Currency Exchange Risk This is a form of financial risk which arises when there is a potential change in the exchange rate of one currency against another. The persons who are mostly affected by this risk are investors and businesses who have assets and operations across international borders. They can also be faced with this risk if they have a loan or borrowings in a foreign currency. An example of this risk is if a dollar gets stronger against a foreign currency, reducing value of foreign investments. Business Risk This is the degree of uncertainty associated with an investment earnings and the investments ability to pay returns owed to investors. A company with a higher business risk should choose a capital structure that has a lower debt ratio to ensure that it can meet its financial obligations at all times. Some examples if business risks are declining in company profits or market share and bad management decisions Financial Risk This risk is the degree of uncertainty of payments resulting from a firm’s mix of debt and equity, the largest proportion of debt financing the greater this risk. For instance, if a company can’t get additional loans for growth of to fund operations here we can say they have high financial risk. Purchasing Power Risk The risk that unexpected changes in consumer prices will penalize an investor's real return from holding an investment...
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...Types of Supply Chain Risk 09.05.2016, 15:22 Print REFERENCE THIS 3,061 Words 7 Pages CHAPTERS LINE SPACING Types of Supply Chain Risk Types of Supply Chain Risk Introduction There have been many different definitions of supply chain risk, but it can be broadly defined as "the variation in the distribution of possible supply chain outcomes, their likelihood, and their subjective values" (March & Shapira, 1987, p. 1404). However, this definition has since been expanded upon to account for all the different departments and functions that operate within a supply chain. This leads to an overall definition of supply chain risk as "any risks for the information, material and product flows from original supplier to the delivery of the final product for the end user" (Juttner, et al., 2003, p. 202). Simply put, supply chain risk refers to the probability of a risk event occurring the supply line and when the product goes on sale. Furthermore, risk sources are the predominant causes of risk events, which are "the environmental, organisational or supply-chain variables which cannot be predicted with certainty and which impact on the supply chain outcome variables" (Juttner, et al., 2003). Identifying Supply Chain Risk There are a variety different approaches that a company can take in order to identify risk in their supply chain. Steele and Court (1996) proposed a conceptual framework for identifying the potential risk in an organisations supply chain...
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...BONDS: TYPES, RISKS, AND BENEFITS When a corporation wants to borrow money from the public on a long-term basis, it does so by selling securities that are called bonds. There are different types of bonds available, each with different risks and rewards. The different factors associated with each type of bond, determines how it fits into your portfolio. A bond is an interest-only loan, where the borrower will pay the interest every period, and then repay the principal amount at the end of the loan. The value of bonds fluctuates. When the interest rate increases, the bond becomes worth less. When interest rates fall, the bond becomes worth more. A bonds value at a particular point in time, known as its yield to maturity, can be calculated by using information such as: the number of periods to maturity, the face value, the coupon or stated interest payment made on a bond, and the market interest rate for bonds with similar features. With this information we can calculate the bonds yield to maturity (YTM) or “Yield” for short. The US government is the biggest borrower in the world. In early 2009, the total debt of the US Government was approaching $11 Trillion Dollars. When the government wants to borrow money for more than one year, it sells Treasury Notes/Bonds to the public. Most US treasury bonds are just ordinary coupon bonds. Some older issues are callable meaning the government can repurchase the bond at specific price prior to maturity. Treasury issues have...
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...Diabetes: Types, Risk Factors and Treatments Diabetes is one of the most common chronic medical disorders. Diabetes occurs either because of a lack of insulin or because of the presence of factors that oppose the action of insulin (Watkins 1). Clark explains that insulin is a hormone that is used to convert sugar and other food into energy. It is the body’s means of lowering blood sugar levels and when it fails, everything is out of balance (3). Without enough insulin, glucose builds up in the bloodstream instead of going into the cells for the body to use for energy. In order to have a better understanding of diabetes, it is important to know the types, risk factors and treatments. To begin with, there are actually three different types of diabetes. Type 1 and Type 2 are the most common. Gestational diabetes, which is only diagnosed during pregnancy, will not be discussed here. The clinical symptoms of diabetes can include frequent urination, unusual thirst, blurred vision, bruises that are slow to heal, fatigue and numbness of the hands and feet. Type 1 diabetes is caused by the destruction of the insulin producing cells of the pancreas (Tuch, Dunlop and Proietto 43). Simply put, when the cells are destroyed, the body does not produce insulin. Previously known as insulin dependent diabetes it is also referred to as juvenile diabetes since it is usually diagnosed in children and young adults. It affects around 15% of all people...
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...Type 2 Diabetes - Reducing the Risk James Irwin American Military University SCIN132: Introduction to Human Anatomy & Physiology 19 April 2013 Abstract Obesity is the leading cause of preventable deaths within the United States and has risen to epidemic proportions and is the major contributor to the increasing number of people who have type 2 diabetes. Type 2 diabetes is a result of the body resisting insulin, causing glucose to build up in the blood stream. Without intervention, this can have severe complications such as hypertension, heart attack or stroke, kidney disease, nervous system damage, eye problems and blindness, and pregnancy. Diabetes is the seventh leading cause of death within the United States. This growing trend is preventable by increasing awareness about the risk of diabetes and educating people on the importance of choosing a lifestyle consisting a healthy diet and physical activity. Type 2 Diabetes - Reducing the Risk Obesity within the United States has reached epidemic proportions within the past several decades. Obesity is a leading cause of preventable death in the United States, causing an estimated 200,000 deaths per year (2013). Obesity is a major contributing factor to the increasing number of people of have type 2 diabetes. The resulting medical costs are overwhelming and easily preventable in most cases. Lifestyle factors, such as diet and physical activity play a major role in the prevention and treatment of type 2 diabetes...
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...Performance, touring, and standard accounted for 41.4%, 26.1%, and 19.2% respectively. The reason Harley faces such diversification is clearly due to customer preferences and market demands. According to chapter 1 lecture slides, I believe that all four types of risks in international business are present: (1) Cross-cultural Risk: Harley operates in different facilities in the U.S., Brazil and Australia. Potential growth markets include Canada, Japan, Australia, Latin America (Brazil), India, and China. There are many cultural differences in languages, lifestyles, customs, and religion of the various countries. These differences may lead to inappropriate business strategies and ineffective relations with customers. However, understanding the different markets would be beneficial to Harley. (2) Country Risk: Differences in the country’s political, legal, and economic systems may adversely impact firm profitability. Government intervention restricts market access and imposes many challenges on the company. As the case mentions, Brazil’s government initially “imposed high import tariffs that doubled the cost of bikes to Brazilian buyers”. To overcome the high costs of import taxes, Harley built a plant in Brazil. (3) Currency or Financial Risk: Risk of exchange...
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...Abstract "Personality has been defined as an individual's characteristic patterns of thought, emotion, and behavior, together with the psychological mechanisms--hidden or not--behind those patterns.” (Funder, D. C. (2001). The personality puzzle. (2nd Ed.) New York: Norton). Relationship between Personality Types and Health Almost every day we describe and assess the personalities of the people around us. In my daily job, as a massage therapist, I meet people on a more personal level and tend to focus more on individuals. Instead, psychologists use the conceptions of personality that can apply to everyone. Personality research has led to the development of a number of theories that help explain how and why certain personality traits develop. There are many different theories of personality; the first step is to understand exactly what is meant by the term personality. A brief definition would be that personality is made up of the characteristic patterns of thoughts, feelings and behaviors that make a person unique. In addition to this, personality arises from within the individual and remains fairly consistent throughout life. Some of the fundamental characteristics of personality include: * Consistency- Essentially, people act in the same ways or similar ways in a variety of situations. * Psychological and physiological - Personality is a psychological construct, but research suggests that it is also influenced by biological processes...
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...Risk Management at Wellfleet Bank The credit risk is one of the risk facing by Wellfleet Bank owning an important portfolio of debts. This risk is common to most of banks in a position of borrower or counter party in a loan agreement. Nevertheless, we can relativized on the fact that until recently, their credit risk has been well managed involving a positive counter performance in the turmoil of the global financial crisis of 2007 compare to others competitors. The fact is that the bank is growing aggressively their corporate finance area. Work load is well more important than expected and this situation may occur some negative consequences due to credit applications which might be made in a rush. Less time per application involve pressure on risk officer and managers who might do not fully examine each of them. Moreover, a large number of credit application approved can result in a Liquidity Risk when banks get too small amount of cash and cannot meet payment obligations for depositors or to lend. We can noticed that relationship managers “bring everything in from the street. On one side, such situations are positive and bring more clients to the bank but on the other side such situations are negative and might bring “too much” potential clients to the bank which would be denied. A certain level of denied credit application might have some social and ethical consequences. Applicants might do not understand the reject of their application after being “attracted” by a relationship...
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...author of Cybercrime: The Transformation of Crime in the Information Age, once said, “In a nutshell, we are shocked by cybercrime, but also expect to be shocked by it because we expect it to be there, but – confusingly – we appear to be shocked if we are not shocked (if we don’t find it)!” In today’s society, cybercrimes are considered a greater threat than ever. Computer crime can be defined as a crime that is committed where the computer or electronic data device is integral to the criminal act (Kranacher, Riley, and Wells 114). Although many do not believe that they can cause any vital damage, cybercrimes such as wiretapping, piggybacking, and computer viruses can have significant repercussions on various organizations. By identifying the type of cybercrime, discussing how organizations can protect themselves from it, and multiple real-life examples, an insightful analysis of the implications of cybercrime can be better understood. Wiretapping Wiretapping has become a very common way of committing computer fraud. This occurs when perpetrators read information being transmitted between an organization’s computers. In order to decrease this, companies can implement various encryption techniques to help ensure that confidential information does not reach the hands of a person who can use it with malicious intent (Kranacher, Riley, and Wells 120-21). This information that is obtained could be pertaining to an organization’s consumers, employees, or to the daily activities that...
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...Chapter 2 Objective of Risk Management I. Multiple Choice 1. The fundamental objective of risk management is: a. diversification b. minimize the cost of risk c. hedging d. loss control Answer: b Type: K 2. If unexpected increases in losses from price risk are not offset by cash inflows from insurance contracts, hedging arrangements or other contractual risk transfers, they will result in: a. an increased stock price b. a reduced stock price c. bankruptcy d. increased diversification Answer: b Type: K 3. Johnson Incorporated, located in California, had a $1 million uninsured loss due to an earthquake in 1997. What impact is this likely to have on the firm’s value? a. It will have no impact. b. The firm value will increase by $1 million. c. The firm value will decrease by $1 million. d. The firm value will probably decrease, but the amount of decline will depend on other factors such as the firm’s level of diversification of risk. Answer: d Type: A 4. The cost of risk may include all of the following except: a. the cost of insurance. b. the cost of raw materials. c. the cost of increased precautions to control losses. d. the cost of investments in information to reduce risk. Answer: b Type: A 5. Maximizing the value of the firm is the same thing as minimizing the cost of risk if: a. the managers are socially responsible. b. the cost of risk is defined to include all risk-related costs from the perspective of...
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...Type 2 Diabetes results from a complex physiologic process that includes the pancreatic beta cells, peripheral glucose uptake in the muscle, the secretion of multiple cytokines and hormone-like molecules from adipocytes, hepatic glucose production, and likely the central nervous system. Consistent with the complex web of physiologic defects, the emerging picture of the genetics will involve a large number of risk susceptibility genes, each individually with relatively small effect (odds ratios below 1.2 in most cases). The challenge for the future will include cataloging and confirming the genetic risk factors, and understanding how these risk factors interact with each other and with the known environmental and lifestyle risk factors that increase the propensity to type 2 Diabetes. Type 2 Diabetes The genetics of Type 2 diabetes is complicated, with many different genes influencing a person's risk. Because of this array of genes, Type 2 diabetes is not inherited in a clearly dominant or recessive manner. Instead, a person may have one gene that increases their risk and other genes that decrease risk. Together, these genes, along with environmental factors, determine a person's overall risk for developing diabetes. With so many variables to consider, the medical community is a long way from a genetic test for Type 2 diabetes. Although researchers know from studying family histories that you can inherit a risk for Type 2 diabetes, they have had difficulty identifying...
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...Chapter 2 Objective of Risk Management I. Multiple Choice 1. The fundamental objective of risk management is: a. diversification b. minimize the cost of risk c. hedging d. loss control Answer: b Type: K 2. If unexpected increases in losses from price risk are not offset by cash inflows from insurance contracts, hedging arrangements or other contractual risk transfers, they will result in: a. an increased stock price b. a reduced stock price c. bankruptcy d. increased diversification Answer: b Type: K 3. Johnson Incorporated, located in California, had a $1 million uninsured loss due to an earthquake in 1997. What impact is this likely to have on the firm’s value? a. It will have no impact. b. The firm value will increase by $1 million. c. The firm value will decrease by $1 million. d. The firm value will probably decrease, but the amount of decline will depend on other factors such as the firm’s level of diversification of risk. Answer: d Type: A 4. The cost of risk may include all of the following except: a. the cost of insurance. b. the cost of raw materials. c. the cost of increased precautions to control losses. d. the cost of investments in information to reduce risk. Answer: b Type: A 5. Maximizing the value of the firm is the same thing as minimizing the cost of risk if: a. the managers are socially responsible. b. the cost of risk is defined to include all risk-related costs from the perspective of...
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... 2.2 RISK MANAGEMENT Risk analysis and management are a series of steps that helps a software team to understand and manage uncertainty. Many problems can plague a software project. A risk is a potential problem – it might happen, it might not. Risk management is also used in the public sector to identify and mitigate risk to critical infrastructure. For the most part, these methodologies consist of the following elements, performed, more or less, in the following order. • identify assets and identify which are most critical • identify, characterize, and assess threats • assess the vulnerability of critical assets to specific threats • determine the risk (i.e. the expected consequences of specific types of attacks on specific assets) • identify ways to reduce those risks • prioritize risk reduction measures based on a strategy The strategies include transferring the risk to another party, avoiding the risk, reducing the negative effect of the risk, and accepting some or all of the consequences of a particular risk. 2.2.1 Risk Identification Risk identification is a systematic attempt to specify threats to the project plan. By identifying known and predictable risks, I take first step towards avoiding them when possible and controlling them when necessary. We considered the following types of risk to identify the risk in proper manners. The types of risks are as follow:- • Project Risks: This type of risk can threaten the project plan. That is, if project risks become...
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...stop responding to the insulin that is produced, so that glucose in the blood cannot be absorbed into the cells of the body.” People with type 2 diabetes often have no symptoms at first and may not see any symptoms for many years. Symptoms include fatigue, hunger, increased thirst and urination, and pain and numbness in the hands and feet. Those with the highest risk of developing type 2 diabetes are generally over 45, overweight, have a family history of type 2 diabetes, lack physical exercise, have high blood pressure, or are members of certain racial or ethnic groups. Obesity is strongly linked to diabetes and is spreading down the age ladder. Though most teens and children are diagnosed with Type I diabetes, the rise in Type 2 diabetes among teens is troublesome because diabetes can take years to reveal its worst effects, which are strokes and heart attacks. If they become a diabetic in their teens, by the time they are in their 30’s and 40’s they could have terrible complications. Type 2 Diabetes is a lifelong disease and is the fourth leading cause of death in most advanced countries. Reduced life expectancy and huge health costs are seen in nearly every society. Based on the results of 2011 National diabetes statistics, 25.8 million people of all ages in the United States have diabetes; which is 8.3% of the U.S. population. Type 2 diabetes, once called non-insulin-dependent diabetes, is the most common form of diabetes, affecting 90% to 95% of the people with diabetes...
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...http://www.nerdypupil.com/product/acc-375-week-1-discussion-question-2/ Contact us at: nerdypupil@gmail.com ACC 375 WEEK 1 DISCUSSION QUESTION 2 Explain the different types of risk, such as audit risk, inherent risk, control risk and detection risk. How can a company assess its fraud risk? Home Work Hour aims to provide quality study notes and tutorials to the students of ACC 375 Week 1 Discussion Question 2 in order to ace their studies. ACC 375 WEEK 1 DISCUSSION QUESTION 2 To purchase this visit here: http://www.nerdypupil.com/product/acc-375-week-1-discussion-question-2/ Contact us at: nerdypupil@gmail.com ACC 375 WEEK 1 DISCUSSION QUESTION 2 Explain the different types of risk, such as audit risk, inherent risk, control risk and detection risk. How can a company assess its fraud risk? Home Work Hour aims to provide quality study notes and tutorials to the students of ACC 375 Week 1 Discussion Question 2 in order to ace their studies. ACC 375 WEEK 1 DISCUSSION QUESTION 2 To purchase this visit here: http://www.nerdypupil.com/product/acc-375-week-1-discussion-question-2/ Contact us at: nerdypupil@gmail.com ACC 375 WEEK 1 DISCUSSION QUESTION 2 Explain the different types of risk, such as audit risk, inherent risk, control risk and detection risk. How can a company assess its fraud risk? Home Work Hour aims to provide quality study notes and tutorials to the students of ACC 375 Week 1 Discussion Question 2 in order to ace their studies. ACC 375...
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