Witness Statement

Witness Statement/Bosnia I think that we should not go to war unless the United States’ military, citizens, or leaders are involved in the problem. A very good example of when we did help and it ended badly was what happened in Bosnia in 1992. Many different ethnic and religious groups lived together under a repressive communist government in Yugoslavia. In April 1992, Serbia set out to ethnically cleanse the Bosnian territory by removing all Bosnian Muslims, the Bosniaks, after the president Tito died in 1980.In 1993, The UN learned about this cleanse and made Sarajevo and many other places safe areas for Bosniaks. Slobodan Milosevic responded to the UN by attacking Bosniaks and surrounding Sarajevo. He blocked all roadways and closed down all the airports in Sarajevo. The Serbs then opened fire on thousands of UN peacekeepers and other citizens. This was the largest massacre in Europe since World War 2 by killing a rough total of 23,000 women and children and 8,000 men, whic h many were part of the UN aid.The UN tried to help again by sending thousands of flights to try and air lift the remaining people out of this unsafe area. In December 1995, the U. S. led negotiations that ended the conflict in Bosnia and provided a force to maintain the problems in the area until it was safe. Some could argue that the UN’s help was critical to stopping this issue, but I think it made it worst. I understand that the issue would have been terrible if no one stepped in but the Serbs didn’t actually do something until they noticed that the UN declared a safe zone.The UN making a safe zone made Milosevic angry and he then took over the safe zone. It was unnecessary for anyone to get involved in this issue besides the Serbs and Bosniaks. There were many deaths that could have been stopped if the UN just left the situation unfold by itself. I think that we should not go to war unless we are a part of the problem and this is a perfect example of why.

English subculture

What is subculture? – It is a culture within a culture 2. Name some of the subcultures you know. – Hip-hop, memo, hooligan & hippie 3. What subculture is represented in the picture? – Hip-Hop Why are members of the group easily recognizable? – Because they are getting ready to go on stage themselves 4. What is stereotyping? Give example of stereotypes. – Its a way of seeing people. E. G. The Germans are drinking a lot of beer 5. How might people stereotype you? – As a person who like to have fun and party! Reading 1. Describe the poll featured in the article. Statistics about children answered by adults 2.What words and expressions were used by adult Britons to describe children? Animal, feral, vermin 3. What is general perception of today's children and young people in – Beginning to behave like animals and that they are increasing the danger to society 4. Are British youngsters as criminal as they believed to be? – Not at all they are only responsible for 12 % not 50 % 5. What percentage of crime in the KICK is committed by young people? 12 % Geeks/ nerd: What is distinctive about the group Geeks are shy, love games or an other geek things (Math, school, magna, nine, science and many more things).Many are not good to talk to new people. Some are very lonely and don't go out much. Because of that are they bullied by many. But there are many geeks, so they find each other. What attitude is shown by its members towards dress and interests? Geeks is not interested in that to wear and not to wear. Stereotypical â€Å"nerd† appearance includes very large glasses, braces, severe acne and pants highly lifted up. In the media, many nerds are white males, portrayed as being physically unfit, either overweight or very thin. Products that would appeal to the members of the group.Geeks love games, books, all types of food, music, electronics. Summarize the story using the graphic organizer. Beginning – a man ask the bus conductor 1. – Bus conductor is negative 2. – Another person joins the debate – Old woman 3. – Another one joins the debate – old man 4. – Another one joins the debate – girl 5. – Suddenly all start discussing END – he talk with the police about the incident. What generalizations are used by the characters in the story? Old people doesn't see young people as good as them If you don't dress properly your parents haven't got any control Are there any stereotypes?No because they are all negative Discussion Who fault and could I have been avoided The bus conductor because he was rude Name some stereotypes of the Danish people. Has a great quality of life.

Theology essay

Lewis once said, â€Å"l believe In Charlatanry as I believe that the sun has risen not only because I see It, but because by It I see everything else. † I think this Is an extremely insightful quote to live by, especially if you are of the Catholic or Christian faith. I think what Lewis is trying to say is that we all know the sun exists because we see it rise every day, but because of the sun it is possible to see everything else on Earth. This relates back to Christianity because for Lewis he is saying that he can look t life in a different way than some people because he has the faith of God inside him.For example, I know someone who is completely immersed in their Catholic faith and to me they honestly seem to enjoy life every single day. Sure they have some bad days when some things don't go right, but even then they say that God has a reason for what has happened. When I think back to my friend and how they feel about life, and then compare that to my own faith and feel ings, there Is a complete difference. I am not proud to say this but I will: I have lost my faith throughout the years and moieties life Is Just a bleak thing I have to go through some days.After reading this quote I seriously considered how my life would be different if I had full faith in the Lord, and I think it would be more optimistic than how I feel now. There is a show on television called â€Å"19 kids and counting† and they are a very religious family who puts the Lord before anything else. One day while watching the show the older children were talking about a topic and then they proceeded to say how if you can't be happy even with God, how can you be happy without him? This is another statement I believe makes sense and goes along with Lewis' quote.For many, God is the one who lights the path for them to walk, and I really do believe being religious makes a person happier. Some may say that it Is the congregation of people and friends that gather In a church and sh are the same beliefs, but I think It Is the knowing and believing In a higher power always being there and never leaving your side that makes one happier than someone who does not believe in God. Christianity affects one's worldview significantly. A worldview is the framework from which we view reality and make sense of life and the world. [It's] any ideology, philosophy, theology, movement or religion that provides an overarching approach to understanding God, the world and man's relations to God and the world,† says David Nobel, author of Understanding the Times. For example, a 2-year-old is egocentric and believes they're the center of his or her own world, a secular humanist believes that the material world is all that exists, and a Buddhist believes he can be liberated from suffering by self-purification. Someone with a biblical worldview believes their primary reason for existence Is to love and serve God.Whether they know It or not, every person has some type of worldvi ew. A personal worldview Is a combination of all you believe to be true, and what you believe becomes the driving force behind every emotion, decision and action. Therefore, it affects your response to every area of life: from everything. A biblical worldview is based on the Word of God. When you believe the Bible is entirely true, then you allow it to be the foundation of everything you say and o. There is a problem though: nonpolitical worldview ideas bombard us constantly from television, film, music, newspapers, magazines, and books.For example, most Christians would agree with 1 Thessalonians 4:3 and other Scriptures that command us to avoid sexual impurity, but how often do Christians fall into lust or premarital sexual sin? If we don't really believe the truth of God and live it, then our witness will be confusing and misleading. Most of us go through life not recognizing that our personal worldviews have been deeply affected by the world. Through the media and other influenc es, the secularists American view of history, law, politics, science, God and man affects our thinking more than we realize.We then are taken â€Å"captive through hollow and deceptive philosophy, which depends on human tradition and the basic principles of this world rather than on Christ† (Colombians 2:8). However, by learning, applying and trusting God's truths in all area of our lives -? whether it's watching a movie, going to school, raising a family or working at the office -? we can egging to develop a deep comprehensive faith that will stand against the evil of our culture's nonpolitical ideas (Wordsmith. Mom). If we embrace more of God's worldview and trust it with unquestioning faith, then we begin to make the right decisions and form the appropriate responses to questions on abortion, same-sex marriage, cloning, stem-cell research and even media choices. Because, in the end, it is our decisions and actions that reveal what we really believe. â€Å"Do not conform a ny longer to the pattern of this world, but be transformed by the renewing of your mind.

Operations Management in Tesco Essay

Introduction In this assignment we will look at three aspects of operations management, which are Finance, human resource and information technology at an organisation. To understand the concepts better we have selected the case of Tesco Plc., UK. PART A: Managing Finance Financial management is a very important component of the operation management at a company. The role of the financial management at the company is to purposefully management the financial resources; present the performance of the organisation in financial terms. (Brigham E.F. and Ehrhardt M.C., 2010) The financial management has to acquire the required capital required for achievement of strategic and tactical objectives at a low cost. The financial management has to anticipate the financial result and maintain the financial balance as per the company’s needs. Information received by the Financial Management at Tesco The information that is of importance to the financial management of Tesco is * The investment cost of the funds on the capital market. * The  current rates of exchange that are prevalent in the market and short term interest’s rates that s prevalent in the monetary markets. * The financial management synthesises information that provides new investment opportunities available to the company. The financial management tries to make innovation in the financial field with the help of new financial instruments that are available in the market. Decisions taken by Financial Management of Tesco Plc. Based on the information, the financial management has to make critical decisions regarding finance of the company: * The financial management has to take decagons on the interest rates at which the company is willing to take loans. * It has to predict the future cash flow needs of the company. * The company has to make decision on the long term debt and short term loans while also making decision on the issue of shares and the option of self-financing. * The management has to make decision on the risk management technique to be adopted along with the financial impacts of the project that the company has undertaken on the financial health of the company. Role of Financial Institutions in Financial Decision Making Financial institutions are responsible for distributing financial resources to the users in planned manner. (Mondy R.W., 2009) There are different financial institutions in the market that specialise in collecting funds as well as lending it to different organisation to carry out their projects. The examples of financial institutions include banks, credit unions, asset management firms, building societies and stock brokerages. The financial institution can be categorised as * Deposit Taking Institutions * Finance and Insurance Institutions * Investment Institutions * Pensions providing institutions * Risk management institutions While there are government financial agencies who assigned to carry out the regulatory and supervisory function of different other institutions. The financial institutions have been integral in satisfying the financial and  management needs of different industries and this has also shaped the national economic scene. Deposit taking institution are mainly concerned with accepting deposits, providing commercial loans, real estate loans, mortgage loans and issuing share certificates. The finance companies provide loans, inventory financing and indirect consumer base, the companies gets funds form these institutions thorough the issue of bonds and other obligations. The insurance companies have become an integral part of a company’s financial obligations. The insurance companies also provide a different investment options and also provide loans for a number of purposes. The financial institutions such as stock, exchanges, commodity markets, futures, currency and options exchange are involved in creating and providing ownerships for financial claims. (Mondy R.W., 2009) These financial institution mange price change risks and maintain liquidity in the market. Through the various instruments the institutions provide investment opportunities and help businesses to generate funds for various purposes. The various investment banks are responsible for a number of financial activities such as underwriting securities, selling securities to investors, providing brokerage services and providing fund raising advice. Analysis of the Financial Statement of Tesco Plc. The financial statement is periodic documents that are published by companies to show the company’s financial performance. The information from financial statement is important for internal and external purposes. The financial statements are used by the employees and management for their own information about the company while the manager use tit to plan future activities and compare performances of departments in financial terms. The statements can also be sued to compare with other company’s statement to compare the performance on a macroeconomic level. A financial abatement mainly consists of four main components which are balance sheets, profit and loss account, cash flow statements and income statement. Each component has different function which can be lined out as: Balance Sheets: It provides the financial situation of the company as a whole. It records the tangible and intangible goods that the company owes or owns. The three categories in a balance sheet are assets, liabilities and shareholders’ equity. The assets are basically categorised in to current assets, fixed assets and other  assets. The liabilities section of the balance sheet consists of current liabilities and long term liabilities. The shareholders equity represents the net worth of the company. In balance sheet, the shareholder’s equity is calculated as the sum of liabilities and net worth. Profit and Loss Account: it summarizes the incomes and expenses of a company in a given period of time. This includes accruals which are incomes that will be realised only after the particular profit and account was prepared. Cash Flow Statements: These statements are very important to predict the future flow of finance in the company. The cash flow statement is concerned with understanding if there is enough money for all the activities and expenses of the company and stands as a good measure for a company’s liquidity. Income Statement: The income statements are used to measure the company’s sales and expenses over a specific period of time. They are prepared at the end of each financial year and shows the results of the operation of the company I the given time. The financial health of the company will also be analysed using Ratio Analysis, The Analysis of Financial Performance of Tesco Financial statement analysis is concerned with identify the strengths and weaknesses of the company’s finances and establish the relationship between the different financial statements. Tools and Techniques: There are various tools and techniques that have been identified to conduct financial analysis. The tools and techniques are categorised in to (Brigham E.F. and Ehrhardt M.C., 2010) * Horizontal and Vertical Analysis: The horizontal analysis is the comparison of two or more financial data. It represents the changes between years in both monetary and percentage form. While Vertical analysis is concerned with the preparing ad presenting common sized statements. * Ratios Analysis: The ratio analysis is considered to be the most powerful toll for analysing the financial health of the company, ratio simply means one number expressed in terms of the other. There are many forms of ratio analysis satisfying different functions which are profitability ratios, liquidity ratios, activity ratios, long term solvency ratios and leverage ratios. Table 1) Financial Ratio of Tesco Plc. Ratio/ Year| 2009| 2010| 2011| Gross Profit Margin| 7.6%| 7.8%| 8%| Operating Profit Margin| 5.91%| 5.88%| 6.07%| Return on Assets| 7.06| 4.69| 5.08| | | | | Return on Capital Employed| 7.06| 4.68| 5.07| Current Ratio|

Instant Replay Would Ruin the World’s Most Popular Sport Essay

The quarterback gets the snap, lobs it to the corner of the end zone, the wide receiver jumps up†¦.. it’s a catch! But did he get his feet in? Let’s look at the replay. Over 25 years ago on March 11th, 1986, the National Football League (NFL) introduced â€Å"instant replay† into the sports world (Wired, 2009, p.1). This recording technology has slowly worked its way into professional basketball, tennis, baseball & many other sports around the world. Soccer, often called Football outside of the United States, is one of the few sports that have resisted the temptation to introduce technology to the officiating of its games. Although the implementation may make the game more precise, this resistance has kept soccer â€Å"pure,† embracing its imperfections and old tradition. To put it in the most basic of terms, instant replay is â€Å"a recording of an action in a sports event that can be shown on television immediately after the original play happens† (Merriam-Webster, 2013, p.1). Instant replay may appear to be nothing but a tool to help officials make the right call, but with benefits comes consequences. One of the consequences of instant replay is an intense slowdown of the time it takes a sporting match to be completed. For example, in the NFL, a 2010 study breaking down a four-game playoff marathon (around 12 hours of broadcast time) resulted in fans watching on average for each of the four games: 67 mins of players standing around, 17 mins of instant replays, 11 mins of actual playing time, and 3 seconds of cheerleaders (The Wall Street Journal, 2010). When replays take up more time then the â€Å"live game,† our priorities, as players, announcers, and fans clearly need to be adjusted. Focusing on these replays often takes the attention away from what is currently going on in the game, which in my opinion takes away from the joy and passion that comes with sport. NFL football, although hugely popular, can’t compete with the fluidity and beauty of Soccer football. The word â€Å"beauty† is often thrown around loosely in describing soccer because of the games continuous ability to surprise. With soccer, the fans have two 45-minute halves sandwiching a 15-minute break. The clock never stops and in many respects, the players and ball never stops. This elegance of 11 players on each side keeping continuous play of one round ball for minutes on end, making passes and runs, and connecting 45-yard balls is where the â€Å"beauty† of the game is established. The simplicity of the game is what makes it so special. This simplicity can’t be compromised by technology, which in turn would cloud the games purity. â€Å"The beauty of sport is its humanity and the sense that it is peopled with people and not automatons.† (The New York Times, 1989, p.2). Berkow in his New York Times editorial puts this idea in the simplest of terms, stating that people play and officiate sports, and to take just a little part of that away is when sport loses its integrity. The technological advances in sport and society in the last 30 years have been unimaginable and the biggest challenge society has had is to know when to use these technologies. The first official rules of soccer were drawn-up by the English Football Association in 1863. Nothing much has changed since then. (Livestrong, 2010, p.3). There is a great source of pride and passion knowing that rules have been roughly the same since this time. The requirement of the players and referees to have the stamina to run for 45 uninterrupted minutes is truly demanding. It requires a dedication not only physical but spiritually, knowing the game has been virtually the same for over a 120 years. The biggest promoters of instant replay technology has been media companies in every sport that instant replays exist. But why? One of the key reasons is the opportunity to stop games and therefore play more commercials, which results in more profits for the networks. The New York Times commented in 2010 that its important to â€Å"never stop the game (of soccer), because that leads to television sticking its grubby commercials where they do not belong.† In fact, purists actually spit up at the thought of â€Å"The Beautiful Game† being interrupted by referees peering at replay video screens (NBC Sports, 2010, p.3). Also from a purely technical approach, there is absolutely no time periods long enough to review any calls. Referees often have 3-5 seconds to make a call. This constant demand to make a call and keep the game flowing is not only what makes soccer beautiful but is how the game needs to be officiated. â€Å"Test cricket, for instance, is made up of 540 separate moments of play — balls — each day; tennis is a series of points; rugby has regular breakdowns† (Sports Illustrated, 2010, p.1). Other sports have this segmented structured to them, which give them these constant opportunities to review or questions calls. All else aside, soccer can’t have instant replays implemented because that would mean the entire structure and rules would have to change along with them. Many soccer fanatics, particularly in the 2010 World Cup, which there were multiply questionable calls, are fed up with referees missing/making bad calls. Certainly, an argument can be made that instant replay may help change a bad officiating decision. But â€Å"indisputable visual evidence† to overturn a goal or call by a referee on the field could result in a 5 minute pause, which results in the referee returning to announce that there is no conclusive evidence, so the call on the field remains. How satisfying is that to any spectator or competitor? The â€Å"human error† element of game is sometimes an issue but also is a beautiful part of the game. If we had technology run every call, the element of surprise within the game would be lost. There is nothing better than teams fighting back from a few bad calls to come out on top; this ability of athletes to overcome obstacles (bad referees) makes watching soccer all the more worth it. Yet the controversy remains and the fans will continue to be mad at the referees. In the modern age technology is viewed as a solution to almost anything. If you have a hot room, buy an air conditioner to cool it down. But is soccer’s problem that black and white? Can we implement instant replay and we will fix the underlying issue? â€Å"The main difficulty underlying the use of technology to solve social problems is that these problems are fundamentally different from technical problems† (Society and Technological Change, 2014, pg. 31). Now many may argue that officiating mistakes aren’t a social problem, but something like soccer so ingrained into society and culture makes for a different situation. People world-wide have a loyalty and in their mind an obligation to the sport even though many never even step on a field. The implementation of instant replays could cause an absolute outcry world wide because we would be trying to â€Å"fix,† (missed/wrong calls) something that doesn’t need fixing to begin with. In many respects, Soccer is and has become a universal language. Spanning across the globe with over a thousand professional leagues, most ever country has at least one professional league for people to view. Other sports are also played worldwide but not nearly at the magnitude that soccer is at a professional level. Instant replay, if implemented in soccer, would completely change the playing field and spectator’s view of the game. Tarnishing the 100 years of soccer world-wide may cause a loss in the universal language that has been cherished and appreciated for so long. An even playing field for every professional team is just another beautiful part of the game that cannot be tampered with. Finally, I believe soccer allows fans and announcers to get lost in the game. Almost removing themselves from all external forces such as social media, texting, and technology in general and putting focus on the simple game of â€Å"football.† Other sports give you the ability to stay distanced from the game because the most critical points will always be showed over and over again between plays, sets, & points. With no stops or ability to look away, real soccer fans stay true to their selves when their team is on because otherwise they may miss something spectacular. The absence of technology in soccer is just another reason why the game is so simple, yet so beautiful. So risking an occasional bad call to retain the fluidity of the sport is something I embrace. â€Å"If one picture is worth a thousand words, moving pictures can speak volumes.† (American Journal Sports Medicine, 2007, pg. 358). The real world has mistakes and the real world doesn’t stop for a 60-second commercial. I vote yes for the real world and all its warts, particularly when it results in allowing myself and the rest of the world to watch and play in the world’s most popular and beautiful game! Bibliography Berkow, Ira. â€Å"SPORTS OF THE TIMES; Bloodless Instant Replays.† The New York Times. The New York Times, 14 Nov. 1989. 26 Sept. 2013. . Biderman, David. â€Å"11 Minutes of Action.† The Wall Street Journal 10 Jan. 2010: Print. â€Å"FIFA Shows It’s Still Leery of Instant Replay.† Yahoo Sports. N.p., n.d. 26 Sept. 2013. . â€Å"FIFA’s Plan To Quash Bad Call Controversy: Censor In-Stadium Replays.† SportsGrid RSS. N.p., n.d. 26 Sept. 2013. . â€Å"Instant Replay Controversy in Baseball Rears Its Ugly Head Again.† Bob Long Sports. N.p., n.d. 26 Sept. 2013. . â€Å"Instant Replay.† Merriam-Webster. Merriam-Webster, n.d. 26 Sept. 2013. . â€Å"Length of a Regulation Soccer Game.† LIVESTRONG.COM. N.p., n.d. 26 Sept. 2013. . â€Å"March 11, 1986: NFL Adopts Instant Replay.† Wired.com. Conde Nast Digital, n.d. 26 Sept. 2013. . â€Å"Off the Bench.† Off the Bench. N.p., n.d. 26 Sept. 2013. . â€Å"Soccer Could Use Instant Replay, but Not at Expense of the Sport’s Flow.† Soccer Could Use Instant Replay, but Not at Expense of Flow. N.p., n.d. 26 Sept. 2013. . â€Å"Soccer Resists Instant Replay Despite Criticism.† Wired.com. Conde Nast Digital, 30 Nov. 2009. 26 Sept. 2013.. â€Å"World Football.† Bleacher Report. N.p., n.d. 26 Sept. 2013. .

Financial Analysis Essay Example | Topics and Well Written Essays - 1000 words - 1

Financial Analysis - Essay Example ning process varies depending on the unique features of the business and its goals, but basically there are various general steps and guidelines that form the basis of the planning process. These steps include; Determination of Current Financial Situations, Establishment of Financial Objectives, Identification of Alternative Courses of Action, Evaluation of those alternatives, development and Implementation of Financial Action plan and even the process of Plan re-evaluation and revision. Dividends are termed as the ultimate distribution of either present or past earnings in factual assets amongst the existing shareholders within a given firm based on their ownership proportions (FABOZZI, F2011). Dividend policy often connotes to pay-out policy that is usually pursued by various managers while making decisions on the pattern and size of the shareholder’s cash distribution over time. The managements’ primary objective is based on the shareholders’ maximization of wealth, which often directly translates into value maximization of a given firm as determined by the company’s stock price. The achievement of this goal can be done through the aspect of granting shareholders with a fairer payment with regards to their investments. However, based on this Company under study, the effect of its shareholder’s dividend policy is still un-settled in one way or the other (FRAME & CURRY, 1974). There are generally two major types of dividend policies that include the residual and managed policies. In residual policy the quantity of dividend simply refers to the cash that is left behind after the given Company utilizes NPV rule in making desirable investments. This hence means that there will be a higher dividend variability with regards to the amount and can even reach a zero point. On the other hand, the optimal policy refers to a policy that largely work towards maximizing the firm’s stock price, thereby leading to the ultimate maximization based on the level of

Theory of Extreme Capital Structure Essay Example | Topics and Well Written Essays - 1500 words

Theory of Extreme Capital Structure - Essay Example Therefore, capital structure can be defined as the arrangement of capital. In order to analyse capital structure, we need to highlight the difference between capital structure and financial structure. The terms are interchanged in some circles to mean the same, but they are not quite the same. Financial structure is the sum of all the means the firm uses to fund its activities. Therefore, financial structure comprises of net worth and liabilities of the company i.e. short and long term. The capital structure on the other hand is financial structure excluding short term borrowing. Capital structure has already been seen as two-fold, with the finance and asset structure. The source of capital is what determines what asset will be purchased. The structure of capital is categorised as follows: 1. According to sources: The structure may either be simple or complex. A simple structure consists of a single source while the complex is where the sources are more than one. (Although retained e arnings is not considered an additional source). This mode is only possible under the fund concept because it is rare for a firm to have one asset, invalidating the asset concept. 2. According to sources This is broadly categorised into internal and external sources. Internal sources comprise of share capital (bonus issue), capital reserve, and reserve and surplus. On the hand the external sources include share capital (bonus issue excluded), share premium, forfeited shares, long term and short-term liabilities and debentures. 3. According to ownership This is either ownership capital or creditorship (debt) capital. Ownership capital includes equity share capital and retained earnings while creditorship comprises of debentures, long-term and short-term liabilities. It is agreed by all accountants where preference shares should be grouped as they have the both elements of ownership and debt. 4. According to cost behaviour This classifies the assets as either fixed cost or variable co st, depending on their expense implications. The fixed cost capital include preference share, long term debt and debentures whereas variable cost capital include equity share and short term liabilities. Firms have different capital structures depending on industry, company type, and proportion of capital contribution. The theories of capital structure try to ask the pertinent questions in leveraging, valuation, and financial balance. This involves evaluating how a firm can affect its total valuation factoring debt and equity, how debt affects the firm’s position. This is by use of accounting ratios 1  Where  is the firm’s debt yield, assuming the element of perpetuity of debt 2.  [E=EBIT-I] Where we assume 100% dividend payout and the firms earning are constant with no element of growth. Therefore, the earnings/price ratio gives the market discount rate, which equals the present value of the series of expected future dividends at the existing market value of the share. 3.  Where  is the firm’s overall capitalisation rate. It computation is normally the weighting of the cost of capital as shown below + The theories of capital structure try to explain the relationship between capital, leverage and the firm’s value. What we want to know is what happens to , and when the degree of leverage (D/V) increases or how is the value of capital