Intimate and Family murder Essay examples - 1050 Words

After I read the chapter, all I could say is the world’s really strange—maybe gone mad. First-off, it’s pretty disturbing when you think that love could actually be a key to homicide—that â€Å"love† itself could be the very root of motives for murder. Whenever I see the news on TV about intimate or family-related homicides, it awes me and makes me wonder how could they do such a thing. But anyway, I’ve observed that some do it to hide an affair from the spouse, some are for money, others are for authority (certain family status), and some are just for attention. It usually happens between couples. Intimate partner homicide usually involves a man killing his female partner, often after a long and escalating pattern of woman battering. When†¦show more content†¦It is pointed out that a number of studies identify abuse as a factor in female suicide attempts. And most of the battered women, as most studies show, would quot;visit the hos pital with an abuse-related injury or complaint on the same day as their suicide attempt.quot; nbsp;nbsp;nbsp;nbsp;nbsp;As the proportion of the elderly in the U.S. in the population increases, researchers have become increasingly aware of domestic violence among their ranks. Old stereotypes die hard, and social service providers and law enforcement agencies sometimes assume that because people are elderly they are not capable of committing or being victimized by domestic violence. One example is from the chapter itself, with the former military man, Ronald Gene Simmons who executed his entire family on Christmas. He did it because he wanted to control everything in his family. nbsp;nbsp;nbsp;nbsp;nbsp;Speaking of families, there are also cases when the assumption of homicide is usually taken in the form of â€Å"mercy killings†. I’ve also seen movies wherein family members just take the life of one sick member, particularly the elderly. And the reason’s simple: because they’d rather see theShow MoreRelatedDomestic Violence Effects On The United States Of America Essay1321 Words   |  6 Pagesto (Breiding, Smith, Basile, et al. (2014) , a national Intimate Partner and Sexual Violence Survey, conducted in the U. S. in 2011 revealed, The lifetime prevalence of physical violence by an intimate partner was an estimated 31.5% among women. An estimated 22 .3% of women experienced at least one act of severe physical violence by an intimate partner during their lifetime. The lifetime prevalence of physical violence by an intimate partner was an estimated 27.5% for men. An estimated 14Read MoreCase Study: the Simon Gittany Mu rder Case Essay1734 Words   |  7 PagesCase Study: The Simon Gittany Murder Case Word count: 1543 Type of Homicide Simon Gittany was charged with the murder of Lisa Cecilia Harnum on 30 July 2011, was later found guilty on 27 November 2013 and sentenced to 18 years imprisoned without parole. At the time of Lisa Harnums death, she and Simon Gittany were living together and were engaged to be married. Their apartment was on the 15th floor of a block of apartments in Sydney. Miss Harnum fell to her death from the balcony of thatRead MoreThe Effects Of Domestic Violence On Children780 Words   |  4 Pages(National Domestic Violence Statistics, 2014). 72% of all murder-suicides involve an intimate partner and 94% of the victims of these murder suicides are females. Moreover, 9.4% of women in the United States have been raped by an intimate partner in their lifetime (National Domestic Violence Statistics, 2014). Intimate partner violence accounts for 15 % of all violent crimes (National Domestic Violence Statistics, 2014). Domestic violence (DV) or intimate partner violence (IPV) is defined as a patt ern ofRead MoreIntimate Partner Violence And Domestic Violence1300 Words   |  6 PagesIntroduction. Intimate partner violence (IPV) which falls into the category of domestic violence is an epidemic among individuals in every community affecting twelve million men and women each year. IPV has no discrimination when it comes to characteristics of the victims. Although victims of IPV are predominately female, men are just as capable of becoming victims as well. The term intimate partner violence describes physical, sexual, or psychological harm by a current or former partner (CDC, 2015)Read MoreSocial Structure And The Occurrence Of Family Homicides1663 Words   |  7 PagesOccurrence of Family Homicides. Colleen M. Mohsinger NCCU CRJU – 3000 WT1 SP’2015 In 2010, Chelsea Diem and Jesenia M. Pizarro set out to determine whether social structure had an influence on the occurrence of familial homicide in any significant fashion. They wanted to analyze the relationships between social disorganization, economic deficiency, and different types of family homicide. Diem and Pizarro (2010) stated in their research that due to the rarer incidences of family homicidesRead MoreDomestic Violence And Mental Injuries1399 Words   |  6 Pagesby an intimate partner in the U.S. which equates to more than 10 million people. This number is staggering. It is also reported by NCADV (2015) that more than 20,000 calls are made to domestic violence hotlines every day, and women ages 18-24 are most commonly abused by an intimate partner. The statistics go on and on and the number of domestic violence statistics increase every year. NCADV (2015), reports that 1 in 3 female murder victims and 1 in 20 male murder victims are killed by intimate partnersRead MoreIntimate Partner Violence And Domestic Violence1728 Words   |  7 PagesIntroduction Intimate partner violence (IPV) which falls into the category of domestic violence, is an epidemic among individuals in every community affecting twelve million men and women each year. IPV has no discrimination when it comes to characteristics of the victims. Although victims of IPV are predominately female, men are just as capable of becoming victims as well. The term intimate partner violence describes physical, sexual, or psychological harm by a current or former partner (CDC,Read MoreThe Homicides Committed By Ortiz879 Words   |  4 Pagesincluded his father, mother, aunt and older brother, which were successful gang members, he did not observe or experience an adequate exposure to conventional norms. Becoming a gang member was part of the family business. Many generations before Ortiz served in the gang and it had became a family tradition that Ortiz was expected to carry on. His friends were also in the gang because they lived in the same housing project as he did. The housing project that the gang formed due to where Ortiz wasRead MoreViolence And Sexual Abuse At The Health Care Agencies1576 Words   |  7 Pagesoccurs in all communities, regardless of social, economic, religious, or cultural group. There are different types of violence and abuse such as homicide, school violence, intimate partner violence, child abuse, elder abuse, sexual abuse etc.†¦ but this presentation will mostly emphasize on women violence, especially on intimate partner violence. Although women can be violent in relationship with men, the overwhelming burden of partner violence is considered by women at the hands of men. ViolenceRead MoreViolence Against Children and Women702 Words   |  3 Pagessocieties across the world view children and women as being submissive members of a family while men hold dominant roles. Laws and the society have often promoted a mans rights to manipulate and control his family, even through violence, from the olden days to the prese nt world. Domestic violence refers to aggression or violence perpetrated within the perspective of a momentous interpersonal relationship such as marriage, family and dating (Karmen, 2010). It includes violence between a wife and a husband

Literary Works Based On War And Heroism - 1003 Words

Kenyia Lepine Instructor Lovoy English 271 June 22, 2015 In reading The Iliad and Beowulf, one can conclude they are both literary works based on war and heroism. The hero in the Iliad is Achilles, who is from Greece and is the Archaen army’s greatest warrior in the battle of the Trojan war. Beowulf, a Geatish warrior has come to help the Danes in their long fight against Grendel, showing his heroism. Both characters Achilles and Beowulf share some similar traits such as their thirst for glory, their abnormal strength, and their courage. The characters also display several differences among each other as in they are not from the same cultures, Beowulf is more selfless than Achilles, and Achilles fights humans instead of mythical creatures such as Beowulf does. In medieval literature and todays literature, heroism is important simply because it gives people hope and inspires them. As stated before, Achilles and Beowulf were both thirsty for glory and I think that trait is still present in today’s time which cannot always be p ositive. Also, in todays time it is not the term hero that has changed. It is we who have changed. For most people, the media, pop culture, and events in society change our perception of a hero. In Beowulf, Beowulf’s thirst for glory is expressed throughout the entire story. â€Å"Inspired again by the thought of glory, the war-king threw his whole strength behind a sword-stroke and connected with the skull (2677-2680)†. In the Iliad, Achilles shows hisShow MoreRelatedThe Civil War And The 19th Century Essay1119 Words   |  5 PagesThe 19th century was one of the most troubling times in human history. Things like the civil war, child labor and even slavery helped shape the literary culture from 1850-1900. The civil war was a war fought between the Northern and Southern States in the United States of America. Among the 34 states in January 1861, seven Southern slave states individually declared their secession from the United States of America and formed the Confeder ate States of America. The first state to secede was southRead MoreFahrenheit 451s Guy Montag: a Hero or a Villain?1209 Words   |  5 Pagesdiscuss and apply the five literary elements of literature to the text. In greater detail, when a work itself is criticized or evaluated, usually one literary element is focused on to prove an argument pertaining to a novel. To bring the topic into focus, Ray Bradbury’s Fahrenheit 451 possesses many points that could be argued in contradictory ways based upon factual evidence from the text. In particular, the story presents a futuristic world that is in the middle of a nuclear war crisis. The futuristicRead MoreAnalysis Of Wilfred Owen s Poem Dulce Et Decorum Est1692 Words   |  7 Pagesdominant World War One ideologies of militarism and nationalism. You will find that this poem is a great example as it defies the dominant values and beliefs of war in Britain. Wilfred Owen Let’s discuss the poet. Wilfred Owen was one of the leading voices of the first world war. In January 1917, Owen was deployed but he was innocent to the realism of war. In April, he sustained shell-shock during active service, which led to his return to Britain. While being treated at the Craiglockhart War HospitalRead MoreChinua Achebe s Things Fall Apart1314 Words   |  6 Pagesduties and instead was deeply in debt and unable to care for his wife and children. In a cultural society where a son was to inherit a barn, a title, a wife and crop; the author describes a much different life for Okonkwo (Achebe, 1959). In addition, based on the religious culture of the Igbo tribe, Unoka was considered to have bad chi, an ill-fated death of evil fortune and a dishonorable burial. Thus, Okonkwo hated his father for these attributes and swore to be the opposite of him. Achebe articulatesRead MoreThe Dream Of The Rood And Beowulf1488 Words   |  6 PagesIn Anglo-Saxon literary works, the writing usually addressed to a Christian audience but yet all commonly affirm the values of the warrior cultures in power in different matters. In the two pieces â€Å"The Dream of the Rood† and Beowulf there are two powerf ul kings being represented that are set in overlapping values that benefit their true courageous deeds. Both are considered good, but do they mean the same thing in Christianity and paganism contexts? Specifically, the two pieces both fuse togetherRead Moreâ€Å"To face the blood and the slaughter† Spartan Society and Values according to Tyrtaeus and Xenophon1114 Words   |  5 Pagesaccording to Tyrtaeus and Xenophon â€Å"No man ever proves himself a good man in war unless he can endure to face the blood and the slaughter, go against the enemy and fight with his hands.† The preceding was quoted from â€Å"The Spartan creed† by the poet Tyrtaeus. There are two authors in this primary resource reading which include Tyrtaeus as well as Xenophon, whom authored â€Å"The laws and customs of the Spartans†. These two works give great detail to the Spartan society. As history has presented it, SpartaRead MoreAfrican Americans During The Civil War1155 Words   |  5 Pages African Americans were kept out of the loop of American society. The constant struggles for whatever advantages they could gain. African Americans were the main source of labor; back then black children are forced to work rather than go to school and be educated reading was even forbidden. African Americans have for the most part lost whatever Socially, politically, economically situation they had as a result of Reconstruction very brutally and systematically. African Americans did not attempt toRead MoreThe Celtic Twilight And Celtic Revival1106 Words   |  5 PagesAlso called the Celtic twilight after W.B. Yeats’ The Celtic Twilight and the Celtic Revival, the Irish Literature Revival is a reverse step in literary history to the Celtic folklore for â€Å"authenticity in the construction of traditions (597)† as they â€Å"are continually redefined in response to political demands (597).† Since the Celtic people were known to be the first Europeans who inhabite d the Western Europe, it implies â€Å"a discrete category of identity by virtue of having a name applied to themRead MoreGender Roles : The Great Gatsby, The Mystery Of Heroism, And The Scarlet Letter1862 Words   |  8 Pagesthat the societal expectations placed on gender affect literary works. Gender often conflicts with the hopes and dreams of the characters and makes it harder for them to achieve success. The flawed societal gender constructions found in American literature are adversarial to characters in their search for fulfillment. The concept of gender roles obstructing success is ubiquitous in the many works, including The Great Gatsby, The Mystery of Heroism, The Scarlet Letter, A Raisin In The Sun, and The DeathRead MoreHemingway s The World War I, Lost Generation, By Ernest Hemingway1460 Words   |  6 Pagesand ignorant. Literary style and works Many people hold the opinion that there has been no American writer like Ernest Hemingway. A member of the World War I â€Å"lost generation,† Hemingway was in many ways his own best character. Whether as his childhood nickname of â€Å"Champ† or as the older â€Å"Papa,† Ernest Hemingway became a legend of his own lifetime. Although the drama and romance of his life sometimes seem to overshadow the quality of his work, Hemingway was first and foremost a literary scholar, a writer

Digital Fortress Chapter 127-128 Free Essays

Chapter 127 There was a sudden and reverent silence among the group on the podium. It was as if they were watching an eclipse or volcanic eruption-an incredible chain of events over which they had no control. Time seemed to slow to a crawl. We will write a custom essay sample on Digital Fortress Chapter 127-128 or any similar topic only for you Order Now â€Å"We’re losing it!† a technician cried. â€Å"Tie-ins! All lines!† On the far-left screen, David and Agents Smith and Coliander stared blankly into their camera. On the VR, the final fire wall was only a sliver. A mass of blackness surrounded it, hundreds of lines waiting to tie in. To the right of that was Tankado. The stilted clips of his final moments ran by in an endless loop. The look of desperation-fingers stretched outward, the ring glistening in the sun. Susan watched the clip as it went in and out of focus. She stared at Tankado’s eyes-they seemed filled with regret. He never wanted it to go this far, she told herself. He wanted to save us. And yet, over and over, Tankado held his fingers outward, forcing the ring in front of people’s eyes. He was trying to speak but could not. He just kept thrusting his fingers forward. In Seville, Becker’s mind still turned it over and over. He mumbled to himself, â€Å"What did they say those two isotopes were? U238 and U†¦?† He sighed heavily-it didn’t matter. He was a language teacher, not a physicist. â€Å"Incoming lines preparing to authenticate!† â€Å"Jesus!† Jabba bellowed in frustration. â€Å"How do the damn isotopes differ? Nobody knows how the hell they’re different?!† There was no response. The room full of technicians stood helplessly watching the VR. Jabba spun back to the monitor and threw up his arms. â€Å"Where’s a nuclear fucking physicist when you need one!† Susan stared up at the QuickTime clip on the wall screen and knew it was over. In slow motion, she watched Tankado dying over and over. He was trying to speak, choking on his words, holding out his deformed hand†¦ trying to communicate something. He was trying to save the databank, Susan told herself. But we’ll never know how. â€Å"Company at the door!† Jabba stared at the screen. â€Å"Here we go!† Sweat poured down his face. On the center screen, the final wisp of the last firewall had all but disappeared. The black mass of lines surrounding the core was opaque and pulsating. Midge turned away. Fontaine stood rigid, eyes front. Brinkerhoff looked like he was about to get sick. â€Å"Ten seconds!† Susan’s eyes never left Tankado’s image. The desperation. The regret. His hand reached out, over and over, ring glistening, deformed fingers arched crookedly in stranger’s faces. He’s telling them something. What is it? On the screen overhead, David looked deep in thought. â€Å"Difference,† he kept muttering to himself. â€Å"Difference between U238 and U235. It’s got to be something simple.† A technician began the countdown. â€Å"Five! Four! Three!† The word made it to Spain in just under a tenth of a second. Three†¦ three. It was as if David Becker had been hit by the stun gun all over again. His world slowed to stop. Three†¦ three†¦ three. 238 minus 235! The difference is three! In slow motion, he reached for the microphone†¦ At that very instant, Susan was staring at Tankado’s outstretched hand. Suddenly, she saw past the ring†¦ past the engraved gold to the flesh beneath†¦ to his fingers. Three fingers. It was not the ring at all. It was the flesh. Tankado was not telling them, he was showing them. He was telling his secret, revealing the kill-code-begging someone to understand†¦ praying his secret would find its way to the NSA in time. â€Å"Three,† Susan whispered, stunned. â€Å"Three!† Becker yelled from Spain. But in the chaos, no one seemed to hear. â€Å"We’re down!† a technician yelled. The VR began flashing wildly as the core succumbed to a deluge. Sirens erupted overhead. â€Å"Outbound data!† â€Å"High-speed tie-ins in all sectors!† Susan moved as if through a dream. She spun toward Jabba’s keyboard. As she turned, her gaze fixed on her fiance, David Becker. Again his voice exploded overhead. â€Å"Three! The difference between 235 and 238 is three!† Everyone in the room looked up. â€Å"Three!† Susan shouted over the deafening cacophony of sirens and technicians. She pointed to the screen. All eyes followed, to Tankado’s hand, outstretched, three fingers waving desperately in the Sevillian sun. Jabba went rigid. â€Å"Oh my God!† He suddenly realized the crippled genius had been giving them the answer all the time. â€Å"Three’s prime!† Soshi blurted. â€Å"Three’s a prime number!† Fontaine looked dazed. â€Å"Can it be that simple?† â€Å"Outbound data!† a technician cried. â€Å"It’s going fast!† Everyone on the podium dove for the terminal at the same instant-a mass of outstretched hands. But through the crowd, Susan, like a shortstop stabbing a line drive, connected with her target. She typed the number 3. Everyone wheeled to the wall screen. Above the chaos, it simply read. ENTER PASS-KEY? 3 â€Å"Yes!† Fontaine commanded. â€Å"Do it now!† Susan held her breath and lowered her finger on the ENTER key. The computer beeped once. Nobody moved. Three agonizing seconds later, nothing had happened. The sirens kept going. Five seconds. Six seconds. â€Å"Outbound data!† â€Å"No change!† Suddenly Midge began pointing wildly to the screen above. â€Å"Look!† On it, a message had materialized. KILL CODE CONFIRMED. â€Å"Upload the firewalls!† Jabba ordered. But Soshi was a step ahead of him. She had already sent the command. â€Å"Outbound interrupt!† a technician yelled. â€Å"Tie-ins severed!† On the VR overhead, the first of the five firewalls began reappearing. The black lines attacking the core were instantly severed. â€Å"Reinstating!† Jabba cried. â€Å"The damn thing’s reinstating!† There was a moment of tentative disbelief, as if at any instant, everything would fall apart. But then the second firewall began reappearing†¦ and then the third. Moments later the entire series of filters reappeared. The databank was secure. The room erupted. Pandemonium. Technicians hugged, tossing computer printouts in the air in celebration. Sirens wound down. Brinkerhoff grabbed Midge and held on. Soshi burst into tears. â€Å"Jabba,† Fontaine demanded. â€Å"How much did they get?† â€Å"Very little,† Jabba said, studying his monitor. â€Å"Very little. And nothing complete.† Fontaine nodded slowly, a wry smile forming in the corner of his mouth. He looked around for Susan Fletcher, but she was already walking toward the front of the room. On the wall before her, David Becker’s face filled the screen. â€Å"David?† â€Å"Hey, gorgeous.† He smiled. â€Å"Come home,† she said. â€Å"Come home, right now.† â€Å"Meet you at Stone Manor?† he asked. She nodded, the tears welling. â€Å"Deal.† â€Å"Agent Smith?† Fontaine called. Smith appeared onscreen behind Becker. â€Å"Yes, sir?† â€Å"It appears Mr. Becker has a date. Could you see that he gets home immediately?† Smith nodded. â€Å"Our jet’s in Malaga.† He patted Becker on the back. â€Å"You’re in for a treat, Professor. Ever flown in a Learjet 60?† Becker chuckled. â€Å"Not since yesterday.† Chapter 128 When Susan awoke, the sun was shining. the soft rays sifted through the curtains and filtered across her goosedown feather bed. She reached for David. Am I dreaming? Her body remained motionless, spent, still dizzy from the night before. â€Å"David?† She moaned. There was no reply. She opened her eyes, her skin still tingling. The mattress on the other side of the bed was cold. David was gone. I’m dreaming, Susan thought. She sat up. The room was Victorian, all lace and antiques-Stone Manor’s finest suite. Her overnight bag was in the middle of the hardwood floor†¦ her lingerie on a Queen Anne chair beside the bed. Had David really arrived? She had memories-his body against hers, his waking her with soft kisses. Had she dreamed it all? She turned to the bedside table. There was an empty bottle of champagne, two glasses†¦ and a note. Rubbing the sleep from her eyes, Susan drew the comforter around her naked body and read the message. Dearest Susan, I love you. Without wax, David. She beamed and pulled the note to her chest. It was David, all right. Without wax†¦ it was the one code she had yet to break. Something stirred in the corner, and Susan looked up. On a plush divan, basking in the morning sun, wrapped in thick bathrobe, David Becker sat quietly watching her. She reached out, beckoning him to come to her. â€Å"Without wax?† she cooed, taking him in her arms. â€Å"Without wax.† He smiled. She kissed him deeply. â€Å"Tell me what it means.† â€Å"No chance.† He laughed. â€Å"A couple needs secrets-it keeps things interesting.† Susan smiled coyly. â€Å"Any more interesting than last night and I’ll never walk again.† David took her in his arms. He felt weightless. He had almost died yesterday, and yet here he was, as alive as he had ever felt in his life. Susan lay with her head on his chest, listening to the beat of his heart. She couldn’t believe that she had thought he was gone forever. â€Å"David.† She sighed, eyeing the note beside the table. â€Å"Tell me about ‘without wax.’ You know I hate codes I can’t break.† David was silent. â€Å"Tell me.† Susan pouted. â€Å"Or you’ll never have me again.† â€Å"Liar.† Susan hit him with a pillow. â€Å"Tell me! Now!† But David knew he would never tell. The secret behind â€Å"without wax† was too sweet. Its origins were ancient. During the Renaissance, Spanish sculptors who made mistakes while carving expensive marble often patched their flaws with cera-â€Å"wax.† A statue that had no flaws and required no patching was hailed as a â€Å"sculpture sincera† or a â€Å"sculpture without wax.† The phrase eventually came to mean anything honest or true. The English word â€Å"sincere† evolved from the Spanish sincera-â€Å"without wax.† David’s secret code was no great mystery-he was simply signing his letters â€Å"Sincerely.† Somehow he suspected Susan would not be amused. â€Å"You’ll be pleased to know,† David said, attempting to change the subject, â€Å"that during the flight home, I called the president of the university.† Susan looked up, hopeful. â€Å"Tell me you resigned as department chair.† David nodded. â€Å"I’ll be back in the classroom next semester.† She sighed in relief. â€Å"Right where you belonged in the first place.† David smiled softly. â€Å"Yeah, I guess Spain reminded me what’s important.† â€Å"Back to breaking coeds’ hearts?† Susan kissed his cheek. â€Å"Well, at least you’ll have time to help me edit my manuscript.† â€Å"Manuscript?† â€Å"Yes. I’ve decided to publish.† â€Å"Publish?† David looked doubtful. â€Å"Publish what?† â€Å"Some ideas I have on variant filter protocols and quadratic residues.† He groaned. â€Å"Sounds like a real best-seller.† She laughed. â€Å"You’d be surprised.† David fished inside the pocket of his bathrobe and pulled out a small object. â€Å"Close your eyes. I have something for you.† Susan closed her eyes. â€Å"Let me guess-a gaudy gold ring with Latin all over it?† â€Å"No.† David chuckled. â€Å"I had Fontaine return that to Ensei Tankado’s estate.† He took Susan’s hand and slipped something onto her finger. â€Å"Liar.† Susan laughed, opening her eyes. â€Å"I knew-â€Å" But Susan stopped short. The ring on her finger was not Tankado’s at all. It was a platinum setting that held a glittering diamond solitaire. Susan gasped. David looked her in the eye. â€Å"Will you marry me?† Susan’s breath caught in her throat. She looked at him and then back to the ring. Her eyes suddenly welled up. â€Å"Oh, David†¦ I don’t know what to say.† â€Å"Say yes.† Susan turned away and didn’t say a word. David waited. â€Å"Susan Fletcher, I love you. Marry me.† Susan lifted her head. Her eyes were filled with tears. â€Å"I’m sorry, David,† she whispered. â€Å"I†¦ I can’t.† David stared in shock. He searched her eyes for the playful glimmer he’d come to expect from her. It wasn’t there. â€Å"S-Susan,† he stammered. â€Å"I-I don’t understand.† â€Å"I can’t,† she repeated. â€Å"I can’t marry you.† She turned away. Her shoulders started trembling. She covered her face with her hands. David was bewildered. â€Å"But, Susan†¦ I thought†¦Ã¢â‚¬  He held her trembling shoulders and turned her body toward him. It was then that he understood. Susan Fletcher was not crying at all; she was in hysterics. â€Å"I won’t marry you!† She laughed, attacking again with the pillow. â€Å"Not until you explain ‘without wax’! You’re driving me crazy!† How to cite Digital Fortress Chapter 127-128, Essay examples

Capital Budgeting

Answer 1: Calculation of project IRR: Initial Cash Flow: $3,000,000.00 Discounted Net Cash Flows at 19% Year Cash Flows PVF(@19 % PV 1 $1,100,000.00 0.840336134 $924,369.75 2 $1,450,000.00 0.706164819 $1,023,938.99 3 $1,300,000.00 0.593415814 $771,440.56 4 $950,000.00 0.498668751 $473,735.31 $3,193,484.61 Discounted Net Cash Flows at 24 % Year Cash Flows PVF(@24% PV 1 $1,100,000.00 0.806451613 $887,096.77 2 $1,450,000.00 0.650364204 $943,028.10 3 $1,300,000.00 0.524487261 $681,833.44 4 $950,000.00 0.422973598 $401,824.92 $2,913,783.23 IRR= IRR = 22.46 % Answer 2: Calculation of NPV Year Cash Flows PVF(@15% PV 1 $1,100,000.00 0.869565217 $956,521.74 2 $1,450,000.00 0.756143667 $1,096,408.32 3 $1,300,000.00 0.657516232 $854,771.10 4 $950,000.00 0.571753246 $543,165.58 $3,450,866.74 Initial Investment = $ 3,000,000.00 NPV = $3,450,866.74 - = $ 3,000,000.00 = $450,866.74 Answer 3: The Company should accept this project as the NPV of the project is positive. The NPV in this case is $ 450,866.00. Also, the IRR is higher than the required rate of return. Answer 4: The depreciation is the expense that occurs every year to write off the plant and machinery. Basically, depreciation does not affect the cash flows, but in case of tax implication, the amount of depreciation is subtracted from the cash flow before subtracting the tax. Therefore, depreciation provides the tax benefits, which ultimately increases the amount of the cash flow (Peterson Fabozzi, 2004). Answer 5: Sunk Cost = Sunk cost refers to that part of the project costs, which have been incurred and there is no chance to recover them. Sunk cost is just opposite to the variable cost, because it does not change with the change in the proposed course of action. This cost does not take part in decision making process as there is no relevance in taking this cost and if taken, then it does not affect the decision. Examples of sunk cost are the research cost that has been incurred before the starting the project, staff training cost, advertising cost, etc. In the present case of Air Jet Best Parts Inc., the cost that has been incurred before purchasing the machine is regarded as the Sunk cost and it does affect the decision for purchasing the machine (Bierman Smidt, 2007). Opportunity cost: Opportunity cost refers to the benefit that is foregone, when another course of alternative is chosen. In simple words, when an alternative is chosen over other alternative, then the cost of choosing that alternative is called as opportunity cost. Example of opportunity cost in the present case is when the company accepts another proposal whose NPV is greater than the recent alternative having NPV of $450,866.74 and the benefit that the company will loose for not accepting the recent project is regarded as the opportunity cost (Bierman Smidt, 2007). Answer 6: Sensitivity analysis of the project In the present case, sensitivity analysis of the project has been done for different rates of returns. For this purpose 14%, 16% and 18% rates have been selected. NPV at 14 % Year Cash Flows PVF(@14% PV 1 $1,100,000.00 0.877192982 $964,912.28 2 $1,450,000.00 0.769467528 $1,115,727.92 3 $1,300,000.00 0.674971516 $877,462.97 4 $950,000.00 0.592080277 $562,476.26 $3,520,579.43 NPV (14%) = $520,579.43 NPV at 16 % Year Cash Flows PVF(@16% PV 1 $1,100,000.00 0.862068966 $948,275.86 2 $1,450,000.00 0.743162901 $1,077,586.21 3 $1,300,000.00 0.640657674 $832,854.98 4 $950,000.00 0.552291098 $524,676.54 $3,383,393.59 NPV (16%) = $383,393.59 NVP at 18 % Year Cash Flows PVF(@18% PV 1 $1,100,000.00 0.847457627 $932,203.39 2 $1,450,000.00 0.71818443 $1,041,367.42 3 $1,300,000.00 0.608630873 $791,220.13 4 $950,000.00 0.515788875 $489,999.43 $3,254,790.38 NPV (18%) = $254,790.38 Following graph represent the relationship between r and NPV. For analyzing the scenario, three possible cases of cash flows have been selected most likely, moderate and worst. In all cases, the probability of the cash flow is given below: Year Cash Flows Most Likely PVF(@15% PV 1 $1,100,000.00 $990,000.00 0.869565217 $860,869.57 2 $1,450,000.00 $1,305,000.00 0.756143667 $986,767.49 3 $1,300,000.00 $1,170,000.00 0.657516232 $769,293.99 4 $950,000.00 $855,000.00 0.571753246 $488,849.02 $3,105,780.07 Year Cash Flows Moderate PVF(@15% PV 1 $1,100,000.00 $880,000.00 0.869565217 $765,217.39 2 $1,450,000.00 $1,160,000.00 0.756143667 $877,126.65 3 $1,300,000.00 $1,040,000.00 0.657516232 $683,816.88 4 $950,000.00 $760,000.00 0.571753246 $434,532.47 $2,760,693.39 Year Cash Flows Worst PVF(@15% PV 1 $1,100,000.00 $770,000.00 0.869565217 $669,565.22 2 $1,450,000.00 $1,015,000.00 0.756143667 $767,485.82 3 $1,300,000.00 $910,000.00 0.657516232 $598,339.77 4 $950,000.00 $665,000.00 0.571753246 $380,215.91 $2,415,606.72 On analyzing the scenario in different conditions it can be concluded that in case of most likely situation there is total NPV of $ 105780.07 whereas in case of worst situation the NPV is $ 584,393.28. The NPV in this scenario is computed below: tablewidth="100%" cellpadding="0" cellspacing="0" border="1" Situation Probability NPV Total Most likely 0.25 $3,105,780.07 $776,445.02 Moderate 0.50 $2,760,693.39 $1,380,346.70 Worst 0.25 $2,415,606.72 $603,901.68 $2,760,693.39 There are many risks associated with the project, like market risk and specific risk. Market risk is the risk that arises with the change in the market prices. Examples of market risk are inflation in market, downfall in US dollar value and some other government intervention that leads to close the project. There are also some specified risks associated with this project, like if the expected cash flows are not generated according to the desired level and when whole project fails due to no demand in the market (Baker English, 2011). Task 5: Answer 1(a): The competitor chosen is Raytheon INC. that has issued Raytheon 7.2% having maturity date 15 august, 2027 and YTM of 4.16 % (Morning Star 2013). Let assumed that AirJet Best Parts Inc. has issued the bond having face value of $100.00 and coupon rate 7.2%. Therefore cost of debt is 4.16 %. Answer 1(b): Cost of debt (Bonds) = Current YTM of Bonds x (1-t) = 4.16 (1-.034) = 2.74 % Answer 1(c): Other method for calculation of cost of debt is as follows: (Pratt, 2003). Cost of Debt (Kd) = (Amount of Interest / Amount of debt) X 100 Also when there is premium or discount the cost of debt is as follows Cost of Debt (Kd) = Interest amount/ (Amount of debenture + Amount of premium) X 100 Cost of Debt (Kd) = Interest Amount/ (Amount of Debenture Amount of Discount) X 100 Answer 1(d): The coupon rate (based on the face value of the bond) determines the interest payment, but not necessary reflect the actual cost of the corporations debt. As the required return changes the price of the debt issue price also changes so that the actual interest payments and anticipated payments at the end gives the investors their revised required return (Pratt, 2003). Answer 2: Betas of the three competitors are as follows Competitors Beta Raytheon Co. 0.63 Lockheed Martin Corporation 0.6 Northrop Grumman Corporation 1.03 Source: Yahoo Finance Answer 2(a): Average of beta: (0.63+ 0.60 + 1.03)/3 = 0.75 Risk free return = 3%, Market return = 4 % Using CAPM model Expected return = 3 % + 0.75(4%-3%) = 3.75% Answer 2(b): Advantages of using CAPM model: It is one the easiest method to calculate the expected return of the equity. It considers only systematic risk that reflect that it assume real factors in computing the expected return. Disadvantages of using CAPM model: It assumes that market is stable. It also assumes individuals can borrow and lend freely at a risk less rate of return. Dividend growth model cannot be applied where company does declare any dividend or whose dividend per share is growing at a rate higher than cost of equity (Ke). This method also fails to deal with risk directly. On the contrary CAPM model has a wider approach as it deals with some restrictive assumptions. The main condition for using this model is that companys share is quoted on the stock exchange and all the variables in this model are market determined. Answer 3 (a): Current value of stock = $ 50.00 Dividend paid = $ 2.93 Face Value (assumed) = $ 10.00 n = 10 years (assumed) Cost of preferred stock: = 23 % Answer 3(b): The other method for calculating the cost of preferred stock is as follows Kp = Amount of preference dividend/ Preference share capital In adjustment case cost of preferred capital will change and can be calculated by following way:- Kp = D/ NP D = Annual preference dividend, NP = Net proceed = Par value of Pref. share capital discount cost of floatation Or NP = Par value of pref. share capital + Premium Answer 4: WACC = (0.3 x 2.74 %) + (0.6 x 3.75%) + (0.10 x 23 %). = 5.372 % Answer 5: Yes, company should use WACC for all the projects because of the following reasons: (Besley Brigham, 2008) This method is easy to use as compare to other methods. Same rate can be used for all the projects. No separate calculation is required to calculate the other project cost of capital as it cover all the capital invested in the business. Answer 6: Year Cash Flows PVF(@5.37% PV 1 $1,100,000.00 0.949036728 $1,043,940.40 2 $1,450,000.00 0.900670711 $1,305,972.53 3 $1,300,000.00 0.854769584 $1,111,200.46 4 $950,000.00 0.811207729 $770,647.34 $4,231,760.73 Yes, company should accept the project as the in this case the NPV of the project is $ $1,231,760.73 which is mush higher than the actual earning (Besley Brigham, 2008). References Baker, H. K., English, P. (2011). Capital Budgeting Valuation: Financial Analysis for Today's Investment Projects. John Wiley Sons Besley, S. Brigham, E. F. (2008). Essentials of Managerial Finance. Cengage Learning. Bierman, H., Smidt, S. (2007). The Capital Budgeting Decision, Ninth Edition: Economic Analysis of Investment Projects. Routledge Morning Star. (2013). Raytheon Company RTN. Retrieved 15 June 2013 from Peterson, P. P., Fabozzi, F. J. (2004). Capital Budgeting: Theory and Practice. John Wiley Sons. Pratt, S. P. (2003). Cost of Capital: Estimation and Applications. John Wiley Sons. Yahoo Finance. (2013). All data retrieved 15 June 2013 from