Essay on Verbal and Nonverbal Communication in Our Time...

1.) What are the differences between verbal communication and nonverbal communication? Can we communicate every aspect of whatever we want to express by only verbal messages. Why do we use euphemisms, connotation and denotation to express ideas that are uncomfortable or hard to communicate to others? Cite examples from the motion picture shown in the class and other relevant examples. There are many different ways to communicate with one another, however the primary aspects of communication underlie between two groups, which are verbal and nonverbal communication. Firstly, verbal communication is a way of communicating face-to-face through the use of voice. Our voices have the ability to create a language which constitutes as a symbolic†¦show more content†¦In the film â€Å"Our Time is up† by Rob Pearlstein it shows the drastic and liberating changes a psychologist goes through after learning that he only has six weeks to live. The film shows many levels of verbal and nonverbal communications, and their causes and effects. An example of using euphemisms and denotations is in the scene where the psychologist, Dr. Stern, uses few words or response repetition to his gardener and clients in order to avoid prolonging the conversation, showing that he likes to avoid conflict and has little or no interest in human interaction. However after learning he o nly has six weeks to live he decided to follow the saying â€Å"carpe diem† and express himself freely with no constraint through the use of connotations and nonverbal communication. An example of connotations is in the scene when he is helping one of his clients figure out his sexuality, and he mentions icons such as ‘Liz Taylor’, expecting a quick response. An example of nonverbal communication is in the scene where he is helping a man with a fondling fetish and he smacks them on the head with a ruler signaling to him to stop. 2.) When people do not get along or when relationships fail, it is often blamed on a failure to communicate. Why is communicating effectively so difficult? Cite examples from the motion picture shownShow MoreRelatedVerbal Communication And Nonverbal Communication1235 Words   |  5 PagesCommunication is a natural thing that we as human beings do every day whether we speak or not. There is two different types’ verbal communication and nonverbal communication. Verbal communication is when we communicate using words exchange in the form of speech in writing or oral. Nonverbal communication does not use words for exchange a message. We use body language, facial expressions, sign language, and eye contact among a few things (Adler, Elmhorst, Lucas, 2013). Read MoreThe Importance Of Verbal And Non Verbal Communication1689 Words   |  7 Pagesit can even determine the success of trade cooperation. Verbal communication is an essential and considerable part of the business negotiation; it is believe as the most crucial and direct means of communication. However, non-verbal communication, such as paralanguage, proxemics, kinesics, chronemics, oculesics, colorics and olfactics, can transfer information and emotion far more efficiency and actually. The study of nonverbal communication is very important, especially in cross-cultural backgroundRead MoreNonverbal Communication : The Method Of Encoding And Decoding1108 Words   |  5 PagesNonverbal communication consists of the method of encoding and decoding. Encoding is the act of producing the communication using gestures, facial expressions, and posture. Decoding is the process of receiving the information and how the individual processes that information based o n their previous experiences. Culture plays a significant role that helps the way learning activities are organized. Nonverbal communication consists of visual cues such as kinesics, proxemics, paralanguage, and hapticsRead MoreAdvantages and Disadvantages of Nonverbal Communication in School1661 Words   |  7 PagesDisadvantages of Nonverbal communication in School is an important topic to be learned by human beings. This paper explores various techniques that can be utilized to manage conflict in the workplace. Advantages and Disadvantages of Nonverbal Communication in School Introduction â€Å"People cannot live without each other, we are social beings† (Marwijk). Students from different levels and cultures love to hang out with each other thus using different nonverbal communication which may build or break up relationshipsRead MoreNonverbal Communication1553 Words   |  7 PagesCommunication is a common necessity among people. Communication is needed in order to interact with other people in almost everything within day to day life. Communication can be viewed in two subdivisions, verbal communication and nonverbal communication. Verbal communication is based on using words and sounds to communicate with another person. Oppositely we have nonverbal communication, which is communication through sending and receiving wordless clues. Examples of nonverbal communication canRead MoreCommunication Between Verbal And Nonverbal Communication1054 Words   |  5 Pagesmeant -Unknown.† Communication is very important in today s society. From texting, emails, talking on the phone, or even talking in person. If you are communicating in a nonverbal way it is important to get your point across exactly how you mean it because someone can read it differently. Talking in person can be easier because you can hear their tone of voice and see their facial expressions, so that can help you determine how they are trying to get the message across. In our speech 191 class weRead MoreNonverbal Verbal And Verbal Communication957 Words   |  4 PagesI have learned a lot about communication. I learned how significant nonverbal and verbal communication is, along with listening. I never fully understood how big communication is in our daily lives. I now realize that it is a huge aspect of how we continue in our lives. This course has showed me different levels of communication. Nonverbal communication is behaviors and characteristics that convey meaning with out the use of words. Sometimes accompanying verbal messages, to clarify or reinforceRead MoreCommunication through Gestures and Facial Expressions Essay1337 Words   |  6 PagesCommunication through Gestures and Facial Expressions Nonverbal communication can be defined as the transfer of messages without the use of words. It uses physical movement; such as hand gestures and body language, and also facial expressions; for example, eye contact, frowning, and smiling. Marta Dynel defines nonverbal (NVC) communication as: While in broad definitions NVC includes any kind of non-verbal messages (or non-verbal signs) proper to informative processes, more narrow definitionsRead MoreThe Origin Of Nonverbal Communication947 Words   |  4 Pagesprofessor Albert Mehrabian and Susan R. Ferris, that concluded that 93% of communication is considered nonverbal. Nonverbal communication can be anything from tone of voice, body language, and anything that doesn t come out of your mouth basically. Nonverbal communication varies across cultures and sexes and is an essential part of our world. Knowing the facts about how we communicate and the way we react to communication is important to increase trust, clarity, and add interest to your presentationRead MoreUse Of Verbal And Non Verbal Communication1449 Words   |  6 Pages Communication plays a vital role in our lives every day, whether it is verbal or non-verbal. It helps us to communicate our needs, thoughts, and feelings. In this paper one will analyze the three short film clips of Alice Walker: â€Å"Everyday Use†; 1) Dee’s Arrival, 2) Dee’s Conflict, and 3) Quaint Southern Meal. Based on one’s understanding of each film, one will discuss the concept of verbal, and non-verbal communication, as well as the importance of listening skills. Based on the text, communication

Measure for Measure Essay Lord Angelos Hypocrisy

Lord Angelos Hypocrisy in Measure for Measure Within ‘Measure for Measure’ Shakespeare presents the notion that mankinds corruption is not necessarily born by power, but rather already innate in humanity. Shakespeare argues that power is not a producer of corruption by presenting the Duke, who holds the most power, as a moral hero, and conversely revealing the corruption of the powerless class (through characters like, Pompey, Mistress Overdone, and Barnadine). Shakespeare uses Lord Angelo in Measure for Measure to show that corruption is innate within mankind whilst Angelo is a symbolism for pharisaical fanaticism in the play. Its interesting to note that Lord Angelos name evokes an image of purity and†¦show more content†¦Lucios only explanation on why Angelo is a harsh ruler is because he thinks that Angelo doesnt understand human vulnerabilities: that being a propensity to lust and covet. And though Lucio is deceived, he makes a strong case for innate depravity by his reference to that natural edge that all individuals have the misfortune to struggle with. Furthermore, Angelo seems to be have a particularly pure edge, by trying to remain humble when offered the Dukes seat: Let there be some more test be made of my mettle/ Before so noble and so great a figure/ Be stampd upon it†. However simultaneously through Angelo, Shakespeare comes to show that even the most seemingly pure character is filled with the same passions and lusts that are born within each person. Angelos image of holiness causes the Duke to worry. The Duke places Angelo in authority because of his precise nature, and wants him to enforce the laws, which have been stagnant for fourteen years. But the Duke cant really leave Vienna, because he is unsure of how Angelo will act. The Duke reveals his worries to Friar Thomas and argues that Angelo scarce confesses That his blood flows; or that his appetite Is more to bread than stone†. The Duke understands and knows that Angelo is bound to the same humanShow MoreRelated Measure for Measure Essay: Immorality and Corruption1576 Words   |  7 PagesCorruption in Measure for Measure      Ã‚  Ã‚  Ã‚  Ã‚   In ‘Measure for Measure’, Shakespeare demonstrates that there is an innate immorality and corruption in the heart of man. Shakespeare illustrates that power does not cause corruption.   This is achieved by presenting the Duke, who has the most power in Vienna, as a moral hero, and conversely revealing the corruption of the powerless class through characters including Pompey, Mistress Overdone, and Barnadine.   Through all this, Shakespeare uses Lord Angelo in

Match Between System And The Real World †Myassignmenthelp.Com

Question: Discuss About The Match Between System And The Real World? Answer: Introducation The evaluation of the design process requires one particular framework or heuristics method along with considering heuristics and framework parts. Therefore, Nielson and Molich Heuristics is considered to perform user interface design evaluation in this assessment. The heuristics contains ten individual heuristics aspects that should be properly emphasized in the evaluation process. The evaluation process considers identification of the issue, location of issue, whether is making any problem with usability or not, and whether it is significant or minor. This evaluation process identifies the issue in details so that later, the issue can be resolved with appropriate remedial actions. The remedial actions are included in further section so that usability evaluation can be formulated in form of strategy. The usability strategy considers operations activities with proper priorities so that intermediate designs can resolve the existing issues in the design. In short, to adhere proper reme dial actions for design this evaluation is conducted; remedies are listed with strategy. Nielsen and Molich Heuristics for Evaluation Visibility of system status This heuristics aspect considers that user should have continuous notification about the system activities and within reasonable time, the system will provide appropriate feedback. The user interface design clearly shows that each tab views solar panel details, battery details, power production information, consumption information, battery panel information, grid panel information, equivalence and chat-box feature. However, the issue stays that the user should have instant notification about system status such as whether charging needed for battery or not, how much power is consumed, how much longer any battery can stay without charge and other information. Match between system and the real world This particular aspect considers user-spoken language, words, phrases, and concepts without showing system-related information. Real world conventions show information that appeared to be in natural and logical order. This user interface follows matched criteria between system and real world aspect of the system. The user can view system details by inputting key information such as usage, amount of power, consumed power, weather details, and others. Therefore, in this aspect, there is no such issue regarding real world and user interaction. User control and freedom User should be provided undo and redo option, clear form, emergency exit, and cancel option in each function in the user interface. There is a tendency of user to select options without knowing how to operate them and therefore, the user will be locked into the function when it is not properly operated. In this Helios Solar Home Management System, user control aspect should be addressed. In each tab, there should be confirm form submission and cancel option for either going with function or cancelling the function immediately. This aspect cause major problem as user feels system cannot operate as per request when malfunctioning occurs. Consistency and standards Platform conventions are to be followed as user should not worry about different words, situations, and actions. The consistency in design should address platform independency of the application with systematic means of design and operation. This particular user interface should consider platform independency with following conventions. Error prevention Proper error message acts as better way to make user understand about identified problem and how to prevent the problem in the first attempt. The best practice of making error prevention is to handle error-prone situations by eliminating them or checking for them and provide a confirmation option before the user commit to the action. Prevention of user error can be performed either internally or externally. Internally the exception can be devised so that handling exception can prevent the error to happen. Externally, a detailed message can be provided in the user interface so that user can learn about the error and he or she can easily avoid the error easily later. Recognition rather than recall The user interface should not expect user to recall the system operation by themselves, rather the user interface should make user remember about the part of the dialogue from one another. Instructions for using system should be visible and Business instructions should be provided whenever required. This particular user interface requires full description and help page where every function should be included with details for new user to learn about it. Any nonprofessional or user, who is not using the system for long, can easily learn about all the functions from the help page. Flexibility and efficiency of use The system should incorporate accelerators for speeding up inexperienced and experienced user interactions. The user should be tailored with frequent actions in the system. In this particular system, the user interface is easier for usage already; therefore, this aspect is maintained and no issue is found regarding the same. Aesthetic and minimalist design Dialogue box, message box, error message, and other pop-ups from the system should contain compact and relevant information only. This aspect is known as minimalist yet effective way to serve information for better visibility to each user. This particular user interface should consider the same for minimal yet aesthetic design for operating each function in the system. Therefore, the information is to be served with relevance and details in the system generated tabs. Help users recognize, diagnose, and recover from errors User interface should provide error message, cause of error, and suggestions for avoiding such errors. Again, in this particular system, the error message should contain all the details informatively to help each user properly. Help and documentation Help and documentation is not necessary; though the system should include feedback section so that user can freely interact with the administration authority. The chat-box feature in the system considers messaging the individuals without serving feedback to the operating administration. Therefore, feedback section should be implemented in the current system. Remedial Actions for Identified Issues Remedial actions in the system can help user to operate the system with better aspects of the functionalities and viewing the information to be served. The remedial actions in this section, are provided to counter the identified issues as per Nielsen and Molich heuristics aspects. The actions are listed as following: Notification feature: The user interface should generate instant notification feature regarding whether charging needed for battery or not, how much power is consumed, how much longer any battery can stay without charge and other information. Cancel option: Each function should consider cancel option; the page where user need to input, there should be clear or reset button for clearing out all inputted information. The page where user need to confirm something, there should be cancel or exit button to heading back to home or previous page. Detailed error messages: The error message should contain three essential parts. The parts are error message (which error happened), cause of error, and suggestions for avoiding such errors. Help page design: The help page should be incorporated as last part of the use interface. It should contain detailed instructions as how to operate the system. Relevant information: Relevant information should include minimal detail about error, dialogues, and message that user need to know. Feedback page design: The user interface should consider feedback page so that user can suggest new function suggestions or other errors that should be adhered with remedies. Usability Strategy for Meeting Usability Goals Usability strategy should be formulated with above-mentioned remedies so that these usability flaws can be fixed easily. The remedies are discussed in details so that developers can address to them with the existing design of user interface. The strategy should consider changing parts of the user interface so that these remedies can be included. References Hearst, M. A., Laskowski, P., Silva, L. (2016, May). Evaluating information visualization via the interplay of heuristic evaluation and question-based accounting. InProceedings of the 2016 CHI Conference on Human Factors in Computing Systems(pp. 5028-5033). ACM. Jimenez, C., Lozada, P., Rosas, P. (2016, September). Usability heuristics: A systematic review. InComputing Conference (CCC), 2016 IEEE 11th Colombian(pp. 1-8). IEEE. Klling, M., McKay, F. (2016). Heuristic evaluation for novice programming systems.ACM Transactions on Computing Education (TOCE),16(3), 12. McNamara, L. A., Berg, L., Butler, K., Klein, L. (2017, May). Does this interface make my sensor look bad? Basic principles for designing usable, useful interfaces for sensor technology operators. InSPIE Defense+ Security(pp. 101900O-101900O). International Society for Optics and Photonics. Nejatimoharrami, F., Faina, A., Jovanovic, A., St-Cyr, O., Chignell, M., Stoy, K. (2017, April). UI Design for an Engineering Process: Programming Experiments on a Liquid Handling Robot. InRobotic Computing (IRC), IEEE International Conference on(pp. 196-203). IEEE. Reolon, M., Lacerda, T. C., Krone, C., von Wangenheim, C. G., Xafranski, J., Nunes, J. V., von Wangenheim, A. (2016). Usability Heuristics for Evaluating Health-care Applications for Smartphones: A Systematic Literature Review. Santos, B. S., Silva, S., Ferreira, B. Q., Dias, P. (2017, July). An Exploratory Study on the Predictive Capacity of Heuristic Evaluation in Visualization Applications. InInternational Conference on Human-Computer Interaction(pp. 369-383). Springer, management. Schnall, R., Rojas, M., Bakken, S., Brown, W., Carballo-Dieguez, A., Carry, M., ... Travers, J. (2016). A user-centered model for designing consumer mobile health (mHealth) applications (apps).Journal of biomedical informatics,60, 243-251. Swaid, S., Maat, M., Krishnan, H., Ghoshal, D., Ramakrishnan, L. (2017, July). Usability Heuristic Evaluation of Scientific Data Analysis and Visualization Tools. InInternational Conference on Applied Human Factors and Ergonomics(pp. 471-482). Springer, Cham. Yun, H., Israel, J. H., Fortenbacher, A., Rott, H., Metzler, D. (2017). User-Centric Approach to the Design of a Mobile Learning Companion.Mensch und Computer 2017-Workshopband.

Romero Essays (599 words) - English-language Films, Films, Romero

Romero When the movie starts off, you are introduced to only a portion of the injustice that the El Salvadorians faced. The new president was supposed to be one that was elected into office. It was unimaginable to me that citizens who were on their way to vote were stopped. They were only allowed to proceed by foot. There is no way that any such think could occur here, in the United States. It's hard for me to accept that things like that actually happened, and still happen. It was time to appoint a new archbishop. The other priests elected Romero thinking that he wouldn't make any waves. This shocked me. People would actually use as criteria for archbishop whether or not they would make waves. I would think that they would want the person in that position to be strong in their beliefs. It later turned out that Romero would unpleasantly surprise them. This movie also showed a very vivid line between the rich and the poor. It was hard to believe that they all lived in the same country. The wealthy barely even treat the poor like people. They are merely pests that they avoid at all costs. I know that in America the gap between the very rich and the very poor is wide, but there is at least some form of middle class, and the poor have the same rights as everyone else. When the guerillas started to attack the people, in the square when the people were receiving communion for instance, Romero finally stood up. It is not really the place of the Church to take a political stand, but no one else in such a powerful position was standing up for the rights of the people being oppressed. Romero went to lengths beyond what anyone expected or hoped he would go to. Unfortunately, his heroism was not greeted very well, except by the people he was defending. It just amazed me how strong he was in what he believed. It takes such courage and wit to follow through with the things that he did. I can't even fathom how hard it was to walk into that prison and walk out with a prisoner. If he had been anyone but the Archbishop, he would have been killed. I think the part that made me realize his faith the most was when he walked into the church that had been taken by the army. He just walked right in past the big man holding the gun. He started to pick up the communion even while shots were being fired. And after he left, he came back and gave communion to the crowd. It was just so touching. The people believed in him as much as he believed in what he was doing. I've never been faced with anything near as big as the struggle that the El Salvadorians were facing. To have to live in those conditions, and to have no one be able to protect you or fight for what you believe in. It is so unimaginable to me that they had virtually no rights. It made me so sad that at the end, Romero was assassinated. It was really no surprise. Anyone that stood up for what they believed in that was opposite of what the people in power were preaching was killed. Romero was the only person in power to stand up. He was protected for a while because of his status, but it could not protect him forever. I know that struggles like this occur in America, but on a much smaller level that no one notices. I guess that makes it hard for me to conceive of something like this actually ever happening. It makes me so sad to realize that it really did.

Quran Essays - Allah, God, Islamic Ethics, Sin, Al-Qalam

Qu'ran Andrew Potievsky The Qur'an is like a bible really. The Islamic people believe it to e the ultimate moral authority. Its basic moral message would be to follow Allah and believe in him no matter what the problem and always have faith in Allah. An example would be the ? we make no difference between one and another of them. And we bow to Allah (in Islam). It is similar to Judaism because it was all monotheists, which meant that they all believed in one god only. An example would be that ?say ye: ?we believe in Allah and the revelation given to us ? It is Similar to Christianity because they believe in being baptized and so d the Islamic people. An example would be this ? (our religion is) the baptism of Allah and who can baptize better than Allah and it is He whom we worship. It would be different from Christianity because Christianity believes in one God only but The Islamic people believe in Allah. An example would be ?For Allah is the lord of Grace abounding?. I thought the Qur'an was in a way surprising because of how the believe in Allah so greatly that it is just amazing of how the have complete faith in Allah. I also found some parts puzzling because I did not understand some things that were expressed in the suras. Overall it showed how Allah is like the center for the Islamic people. Bibliography * History Reports

Free sample - Complex Congenital Heart Disease. translation missing

Complex Congenital Heart Disease. Complex Congenital Heart DiseaseComplex Congenital Heart Disease Congenital heart disease is a defect   or malformation in the structure of the heart or vessels that supply it with blood. This defect occurs as the fetus develops in the uterus and is therefore present at birth (Pampel, 2004). This defect   interferes with the normal flow of blood through the heart. Complex congenital heart disease requires immediate medical attention since it can be very fatal. Complex congenital heart disease can be attributed to both genetic and environmental factors. A pregnant woman who suffers rheumatic heart disease produces antibodies which act against the Ro and La auto antigens in the fetus (Pampel, 2004).   The part of the Ro antigen targeted by the antibodies from the mother is called p200 protein. The more the number of antibodies produced against this protein, the more the damage to the heart of the fetus. This antibody - antigen reaction causes the inflammation and subsequent calcification of the cardiac system of the fetus hence damaging the he art structure (Calnan, 1991). Researchers also have it that anti-seizure medication taken by a pregnant woman makes the fetus more vulnerable to congenital heart disease. Pregnant women who take lithium to treat depression, as well as those who have phenylketonuria (PKU) and do not strictly take the special diet prescribed to them predispose the fetus to the attack (Calnan, 1991). Women who contract   the Rubella virus and those who get vaccinated against the same stand higher chances of giving birth to children with CHD. Other studies indicate that this condition has autosomal-dominant inheritance meaning that mothers who have the condition stand about fifty percent chances of passing it to the child (Kaplan, 2002). A number of Chromosome abnormalities can also result to CHD. These include: Down syndrome, trisomy 18 and 13, turner’s syndrome, cri du chat syndrome, wolf – Hirsh horn syndrome   and Digeorge syndrome ( deletion 22q11). Genetic syndromes have also been shown to make one more vulnerable to the condition. These are: Marfan syndrome, Smith-lemli-optiz syndrome, Ellis-van Creveld, Holt- Oram syndrome, Noonan syndrome, and Mucopolysaccharidoses (Kaplan, 2002). Errors at any stage in the embryological development of the heart can result in   congenital heart disease.   This development occurs between the third and the ninth week of the gestation period (American Heart [AH], 2010). The heart is formed when a group of cells join to form sheets of tissue, which then join to form a tube whose growth results in the formation of the atria and ventricles (AH, 2010). The resulting tissue undergoes twists and turns while the atria, ventricles and truncus undergo septation.   The antrioventricular canal and conus align the portions of the heart in a manner that allows smooth blood flow. If any error occurs during this process, then heart complications such as the congenital heart disease result (AH, 2010). Incidences of congenital heart disease are on the rise according to recent studies. Data from researchers in the western industrialized world for instance indicate that the incidence of the condition has increased from about three to five per every one thousand live births to about twelve per every one thousand live births. Some researchers though argue that this increase can be attributed to technological advances which have seen the invention of more sensitive detection methods (AH, 2010).    Left to right shunts is the commonest physiology associated with congenital heart disease. This occurs when oxygenated blood   goes back to the lungs to get re-oxygenated. This return causes a redundancy in the circulation. This leads to an increased venous return from the lungs through the pulmonary veins to the left atrium as well as the left ventricle. This causes the left ventricle to experience volume overload (Larsen, 1993). In a nutshell, left to right shunt causes a volume overload on the left ventricle, as well as pulmonary circulation and reduced systematic output. Left to right shunt lesions   cause physiological alterations at the ventricular or great artery level. Congestive heart failure can occur between week two and six as a result of a decrease in pulmonary vascular resistances which is accompanied by an increase in systemic vascular resistances as well as physiological nadir in the hemoglobin (Larsen, 1993). Increased left to right blood shunting ultimately results to   pulmonary vasculature which causes hyperplasia of the vessel walls and subsequent hypertension (Kenneth, 1997). Ventricular septal defect is a defect which also occurs in patients with congenital heart disease. In this case, there is a left to right shunt across the ventricular level. During this shunting, blood from the left ventrical is ejected during systole to the pulmonary circulation. This blood causes a volume   overload   to the left atrium as well as the left ventricle (Kenneth, 1997). Patent ductus arteriosus   is characterized by a left to right shunt during systole and diastole from the aorta to the pulmonary artery. Owing to the presence   of   higher pressure in the aorta as compared to that in the pulmonary artery, the left to right shunt gets continuous.   This causes a volume overload on the left atrium as well as the left ventricle. A large degree of PDA results in pulmonary vascular disease (Larsen, 1993). Truncus arteriosus occurs whereby, the pulmonary arteries are joined to the aorta. Patients who suffer this condition experience higher occurrences of pulmonary hypertension and vascular disease (Larsen, 1993).    Right to left shunt occurs when the deoxygenated blood that goes to the lungs for oxygenation returns back to the body without reoxygenation. One condition associated with this is tetralogy of fallot. This is a condition occurring as a result of the presence of RV outflow obstruction. It results to a right to left shunt across the VSD (Hoffman, 2005). A person suffering from this condition is cyanotic as a result of paucity of pulmonary blood flow. This blood inadequacy results in a smaller left ventricle than the right one owing to a reduction in the pulmonary venous return (Hoffman, 2005). Congenital heart disease is discovered in some cases when the mother undergoes a ultrasound scan during pregnancy. Other cases are not discovered during this scan and therefore they   are discovered through symptoms when the baby is born (Hoffman,2005). In other cases still, the new born doesn’t   show symptoms of the condition until later years. Some people grow to adulthood without showing symptoms of the condition. Signs and symptoms of this disease include: recurrent lung infections, shortness of breath which is also rapid, fatigue especially during exercises, lack of appetite, low rate of weight gain, sweating while eating, weak pulse in babies and cyanosis color on the skin around the mouth, lips as well as the tongue (Niessen, 2008).    The diagnosis of congenital heart disease can be done before or after birth. Antenatal diagnosis is done through a fetal echocardiography which is a type of ultrasound scanner designed to create a picture of the sides of the heart chambers. This test is done   in the course of regular antenatal examinations which come during the 18th and 20th week of pregnancy (Niessen, 2008).   Post natal diagnosis is compulsory if the baby presents with some of the signs of the disease such as blue color around the lips, feeding problems, slow rate of growth, etc. methods used   during this diagnosis include: Electrocardiogram, a test that measures the heart’s electrical activity (Niessen, 2008). This method involves placing electrodes on the skin above the heart which are then connected to a computer. Electrical signals coming from the heart are then analyzed by the computer (Shanley, 2007). Chest x-ray can also be used to detect the disease. This x-ray basically examines if there is excess amount of blood in the lungs or if the heart size is normal. Excess blood in the lungs and a larger heart are signs of the disease (Shanley, 2007). Pulse oximetry is also a detection method that measures the amount of blood present in the child’s blood. A special sensor is placed in the child’s fingertip, ear or toe which sends out light waves. Absorption of the light waves is checked via a computer since the absorption behavior can indicate the oxygen levels in the blood (Shanley, 2007). Cardiac catheterization as a detection method seeks to find out blood pumping behavior. A catheter is inserted in one of the major blood vessels in the groin. Its then pushed to the heart though the assistance of x-rays or MRI scanners. Blood   pressure readings at different parts of the heart are then recorded by a small pressure monitor attached to the end of catheter (Larsen, 1993) . Treatment of this condition involves administering medicines which can make the heart beat regular incase its not.   The medicines basically mitigate the symptoms before an operation to fix the problem is administered. These medicines include a prostaglandin inhibitor administered to   a premature baby to assist in closing a patent ductus arteriosus (Niessen, 2008).   Heart catheterization   discussed under diagnosis can also be used to fix the problem. Surgery if necessary is advisable when the baby is strong enough to withstand it. Open heart surgery is carried out if the problem cannot be fixed using a catheter. This surgery aims at closing holes with the help of stitches or patches, repairing or replacing damaged heart valves, and   repairing complex defects (Niessen, 2008). If the problem is too severe to repair, a transplant is recommended. The heart to be used is normally obtained through a donation by   the family of a diseased child (AH, 2010). Nursing care for young ones with congenital heart disease involves basics such as feeding, giving medicines, watching and recording trouble signs, and encouraging them to get involved in their health care program (AH, 2010). Involving the child in the health care program would help them understand why they have a scar, why they need to take medicine, as well as the positive impact play can have to the general wellness of their heart. The child is also helped to understand the need to take certain nutrients such as boiled fish, Mediterranean diet and others which strengthen the heart (AH, 2010). There are several support groups throughout the world for children with heart diseases. Mended little hearts for instance is a support group that helps families with such children (AH, 2010). The Mary bridge child life department offers pre-operative tours for children as well as families scheduled for treatments such as heart catheterization, and cardiothoracic surgery. We also have care pages which are free, private, as well as personalized WebPages pages which patients can visit to obtain any form of advice and care required (AH, 2010). These pages are available at multicare facilities so patients can always keep in touch for any care needed. A patient can post a question as far as care is concerned which is replied with messages of support (AH, 2010). The following is a list of such websites which one can visit for information regarding children’s heart care,   diagnosis, treatment as well as support resources: American Heart Association, Children’s Heart Institut e, Children’s   Hospital Health System of Wisconsin, Children’s mercy Hospitals and Clinics, Congenital Heart Defect Online Hand   book, Congenital Heart Defects (Texas Heart Institute), Congenital Heart Defects ( Texas Heart Institute)- in Spanish, Congenital Heart Information Network, Heart Centre Online, and Heart Institute for Children (AH, 2010). Children with congenital Heart disease have a poorer quality life   than those who are healthy. Children with more severe complications have a   very bad physical and physiological quality of life. For instance, such children are advised against getting involved in certain type of exercises hence they are not free to interact with their peers in every thing. Such   children also end up with very poor psychological life as a result of limited social interactions with their peers (AH, 2010). In conclusion, this paper has discussed the etiology of congenital heart disease. Genetic factors causing the disease have included: rheumatic heart disease in the mother, Chromosome abnormalities, such as Down syndrome, trisomy 18 and 13, turner’s syndrome, cri du chat syndrome, wolf – Hirsh horn syndrome   and Digeorge syndrome ( deletion 22q11). Genetic syndromes have also been shown to make one more vulnerable to the condition. These have included : Marfan syndrome, Smith-lemli-optiz syndrome, Ellis-van Creveld, Holt- Oram syndrome, Noonan syndrome, and Mucopolysaccharidoses. Environmental factors leading to the disease have included: in take of substances such as lithium by the mother as well as Rubella virus. Embryology of the disease has also been discussed with errors in heart formation being linked to the disease. Incidences of the disease have been seen to rise with recent research indicating   about twelve incidences per every one thousand live births. The pathophysiology of the disease has been discussed with effects of both left to right and right to left shunts being analyzed. The effects have included but not limited to : pulmonary vascular disease, pulmonary vasculature which causes hyperplasia of the vessel walls, hypertension and   Congestive heart failure. Diagnosis methods have included both prenatal and post natal. Postnatal methods have included Electrocardiogram, Pulse oximetry, Chest x-ray, and Cardiac catheterization. Both medicinal and surgical procedures for treating the disease have been discussed. Support groups for patients with the disease have included: American Heart Association, Children’s Heart Institute, Children’s   Hospital Health System of Wisconsin, Children’s mercy Hospitals and Clinics, Congenital Heart Defect Online Hand   book, Congenital Heart Defects (Texas Heart Institute), Congenital Heart Defects ( Texas Heart Institute)- in Spanish, Congenital Heart Information Netw ork, Heart Centre Online, and Heart Institute for Children.   References Pampel, F. (2004). Progress against Heart Disease. London: Praeger . Calnan, M. (1991). Preventing Coronary Heart Disease: Prospects, Policies and Politics. New York: Routledge   Kaplan, H. (2002). The incidence of congenital heart disease. London: Oxford University Press Larsen, W. (1993). â€Å"Development of the Heart†. Human Embryology. London: Churchill Livingstone. Kenneth, J.(1997). Smith’s recognizable patterns of human malformation. 5th ed.   London: Routledge.   Hoffman, J. (2005). Essential Cardiology : Principles and Practice. Totowa: Humana Press Niessen, K. (2008). â€Å" Notch Signaling in Cardiac Development† Circulation Research. London: Oxford University Press Complex Congenital Heart Disease 12 Shanley, T. (2007). Pediatric critical care medicine: basic science and clinical evidence. London: Praeger .

Strategic Plan Part I Organizational Structure Essay

Strategic Plan Part I Organizational Structure - Essay Example orate strategy for as long as 20 years into the horizon like what Panasonic did when its founder Konosuke Matsushita was still alive; other firms normally plan a decade ahead. This paper deals with Kaiser Permanente which is the largest health care organization in the United States today. It has 8.6 million health plan members and employs a total of 14,600 doctors and 167,000 employees. This impressive business organization was the response to the Great Depression by industrialist Henry Kaiser and Dr. Sidney R. Garfield. It was founded in 1938 because the United States is the only industrialized nation in the Western world not to have a national health plan or the so-called socialized medicine. The Kaiser Permanente operates on four core principles which are group medical practice, prepaid medical services, the focus of medical services is on prevention and the rendition of the whole set of medical services under one roof. These principles are the forerunners of what we today know as health-maintenance organizations (HMOs) by which a group of health-care providers are contracted to deliver specified pre-paid medical services to a defined group of enrollees or what is known today as health plan members (Boyer, 2001, p. 1). Today, there are close to 700 health maintenance organizations nationwide. Most of them are for-profit organizations although many of them originally started as charitable or tax free organizations designed to provide medical care access on a broad democratic basis to all people who needed them. Because of lack in the US of any socialized or subsidized national health plan, the HMO gained widespread acceptance as logical alternative to fee-for-services arrangements that existed before but which some poor people can no longer afford due to high or escalating costs. The idea of HMO gained further traction because of its emphasis on health maintenance (preventive care) and managed care that seeks to minimize health costs. The two end results of

A New Zealand Automotive Workshop Assignment Example | Topics and Well Written Essays - 4000 words

A New Zealand Automotive Workshop - Assignment Example This paper will discuss the eight core areas and will give examples of the areas in terms of how they operate in reality. Introduction There is a wide variety of approaches to having an automotive shop in New Zealand. There are independently owned shops, franchise owned shops, and franchise shops that are independently owned and shops tied into automotive dealerships. There are also those who perform automotive repair on the side out of a person’s home. There are many options for those looking to enter into the automotive repair industry and looking for an automotive shop in which to get their repairs completed. Some examples of franchise automotive repair shops in New Zealand are Midas and Sears Automotive. While independently owned shops include Bell Automotive and Automotive Solutions. Franchise shops are those that can be found in multiple locations and often in multiple countries. They tend to have the same policies from location to location and operate in the same manner . Independently owned businesses tend to only have one or maybe two locations and are usually unique to the town or city in which they are located. The policies vary greatly from shop to shop and the services and procedures followed by each shop will differ. It is important for the consumer to find out the policies of each shop they are considering prior to selecting a shop to perform their repairs. Examples of policies that automotive workshops will develop that could vary from shop to shop are the time limit that a consumer has to bring their vehicle back if they are not satisfied with the repair work, the procedures for dropping off or picking up a vehicle and the refund policy. Automotive business owners will want to have these policies clear in both writing and practice and consumers should ensure that they are aware of the policies prior to determining who will perform their repairs. There are also specific options available in terms of the type of automotive repair business. A person can choose to open a shop specializing in a specific type of car, such as only working on Volkswagens, or foreign cars. Someone can also choose to only perform specific work such as brakes, repairing body damage or transmissions. There are also those that specialize in aftermarket products such as accessories for four wheel drives, tires or paint. Again, consumers must determine where they would prefer to get their repairs done based on their personal needs and beliefs about auto repair. Whatever a person may choose in terms of operating their automotive business, there are eight core areas that must be considered and well planned prior to taking on the start of an automotive repair shop and continuing on throughout the life of the business. These areas are banking/finance, accounting, insurance, advertisement, out sourcing, supplying, buildings and council regulations. Core Areas Bank and Finance Anyone operating a business of any kind must have a plan for their financing. An automotive workshop requires tools and specialized equipment so having the business finances in order is especially important. Equipment for the automotive repair business can be quite costly, so banking and financing is an important area to have in order. There are many options for financing including credit unions,

Hyatt Hotel Financial Analysis Essay Example | Topics and Well Written Essays - 1250 words

Hyatt Hotel Financial Analysis - Essay Example Hyatt has six diverse brands, which are specifically designed in order to deliver the best experience reflecting high standards of life, luxury, comfort, values, attitudes and aspirations of the clients who are the main stakeholders. The Hyatt hotel is run by a group of talented and highly skilled professionals whose visions and aspirations is to make Hyatt Hotels the leading brand in hotel and hospitality section. The executive chairman is Thomas J. Pritzker; Mark Hoplamazian is the president and also the CEO and Director. Harmit Singh is the chief finance officer. We also have among others Charles Floyd, who is the chief operating officer of North America and Robert Webb who is the chief Human resources Officer. Hyatt hotel has been able to use the latest technology together with high class food and beverage preferences in order to effectively and efficiently meet the growing customer demand. There has been advancement in the establishment of free Wi-Fi, room entertainment, ultra-m odern Jacuzzis and other devices which enhance self service. The major challenge facing the Hyatt Hotel is the general economic downturn which has affected almost all hospitality sectors in the world. The administration is busy launching rigorous initiatives which will rely heavily on information technology in order to improve their marketing objectives and more so the profitability goals. Another challenge s the financial and staffing constraints, the executive management of the hotel have employed strategies which will make use of technology in order to ensure stronger business growth. The major competitors of Hyatt hotel are basically based in North America, Europe and Asia. The luxury hotel industry has actually suffered major competition especially in the major global economic downturn. This has lead to the hotel reducing the prices of its products and services hence reduction in the company’s profit margin. Consequently it has become increasingly difficult to carry out expansion activities of the hotel Analysis of Financials The key items in the balance sheet of Hyatt which is worth the analysis are the inventory, long term investments, long term debt, stockholder equity, cash and intangible assets Inventory- the inventory of the company is seen to be decreasing from the year 2009 to 2011. Decrease in the inventory could be due to increase in the demand of the company’s stock or the management decisions to get as limit of stock. The value of stock for Hyatt hit a record low of $8.77 in 2011 against $18 and $1.337 for 2010 and 2009 respectively (Fridson, 2009). Long term investments for the company increased substantially from $6.085 in 2009 to $6.47 in 2011. The increase in the amount of long term investments is due to the company’s ambitious programs to expand its operations worldwide. The building of spas, luxury hotels and casinos has made the company to improve its long-term investments. The long-term debt has significantly been increased in order to meet the growing demands for financing the long-term investments. The long-term debt as at 2011 was $1.2219 against $714000000 and $8.48 for the years 2010 and 2011 respectively. Long-term investments are very expensive ventures to be undertaken, meaning that the

The Transformational Process Model

The Transformational Process Model The Transformational Process Model A contrast of the transformational process model as it applies to the manufacturing (car manufacturing) and service (advertising) industries. Slack et al provide a model which assists in understanding the transformational process. Their model looks at the transformation of inputs into outputs of goods and services and the range of activities and operations that an organisation undertakes as part of this process. Slack et al’s transformational process model is robust enough to apply to both manufacturing and service industries and it is perhaps in contrasting these two areas that one is best able to understand the usefulness of their model. In simple terms, Slack et al’s the transformational process model deals with the process involved in transforming an input resource into an output good or service (Slack et al, 2001, p.9). A generic transformational process model can be set out as follows (Slack et al, 2001, p.10): The above generic input-transformation-output model applies to the operations of most organisations. However, as with any generic model, it fails to sufficiently differentiate between subtleties. As such, when considering differences between different types of operations (ie manufacturing and services) and then considering further differences within those different types (ie different types of manufacturing operations), it is necessary to expand on the generic input-transformation-output model set out above. In terms of the generic transformational process model set out above, it is important to note that inputs to the process will either be â€Å"transformed† or â€Å"transforming† resources. Slack et al define â€Å"transformed† resources as being â€Å"the resources that are treated, transformed or converted† (for example, materials, information and customers) and â€Å"transforming† resources as being â€Å"the resources that act upon the transformed resources† (for example facilities and staff) (Slack et al, 2001, pp.10-11). Slack et al note that in most cases, one of the transformed resources takes precedence over the other two. So for instance they note that while a bank devotes some of its time to processing materials and customers, its main focus is on processing information (Slack et al, 2001, p.11). However, it should be noted that in a modern, inter-dependant economy, it is unlikely that any organisation is able to operate without touching on each of the transformed resources and as such, the issue becomes one of the extent to which the other transformed resources are touched upon rather than whether or not an organisation’s operations touch on them at all. With respect to transforming resources, Slack et al refer to two types which form the â€Å"building blocks of all operations†. These are â€Å"facilities†, â€Å"the buildings, equipment, plant and process technology of the operation† and â€Å"staff†, â€Å"those who operate, maintain, plan and manage the operation† (Slack et al, 2001, p.11). Slack et al note that the transformation process is closely connected to the nature of the input resources which are being transformed. The three predominant types of operation processors are material processors, information processors and customer processors. Material processors predominantly transform the physical properties of the input resources, but may also change their location, their possession or store the materials. Information processors transform the informational properties of the input resources, the possession of the information, store the information or change the location of the information. Customer processing operations may change the physical properties of the input resource, store the resource, change the location, change their physiological state or their psychological state (Slack et al, 2001, pp.12-13). However, it is important to note that each macro organisational process also consists of numerous micro organisational processes (eg marketing and sales, set and props manufacture, engineering, production units and finance and costing) each of which contribute to what Slack et al (2001, p.19) refer to as the â€Å"end to end business process†. The flow of information, materials and/or customers throughout this end to end business process is often extremely complex. In terms of operations management, understanding that the transformational process model applies both at the macro level and at a micro level allows an organisation’s management to ensure that managers at all levels within the organisation understand that to a certain extent they are all involved in ensuring that their operation involves a transformational process and that it is only where the transformational processes of all these micro operations operate smoothly that the macro transformational process can be successful. It should also be noted that in many cases, organisations seek assistance from external organisations with respect to those micro processes. Thus for instance, an advertising agency provides a service which a large car manufacturing company may process internally. Or for instance Nike, which is thought of as a shoe manufacturer, is in fact a marketing processor specialising in shoes (the manufacturing of the shoes is, while done to Nike’s specifications, performed by external contractors with Nike concentrating on developing and maintaining their brand image). Slack et al (2001, pp. 18-19) refer to three core functions as transformation process operations. These are â€Å"product/services development function†, â€Å"operations function† and â€Å"marketing function†. The product/services development function involves â€Å"designers design software -> producing effective new products and services -> appropriate designs as promised and to budget†. The operations function involves â€Å"transformed/transforming resources -> producing service value for customers -> products and services†. The marketing function involves â€Å"sales people marketers market information -> producing sales and market plans -> orders marketing plans as promised and to budget†. As noted above, different types of operations (ie manufacturing and services) will involve different types of inputs, a different transformational process and result in different types of outputs. In order to compare how these differences are covered by Slack et als transformational process model, it is perhaps best to compare and contrast two specific examples. In this case, it is intended to compare and contrast differences between the transformational process of a car manufacturing operation (manufacturing) and an advertising agency (service). In terms of the basic input-transformation-output process, a car manufacturing and advertising agency’s operations can be described as follows: Operation Input resources Transformation process Outputs Car manufacturing Steel/plastic/other materials Car manufacturing equipment Machine operating staff Car manufacturing plant Design and procurement Fabrication Assembly Testing Distribution Cars Advertising agency Creative staff Admin staff Computer systems Information Customers Offices Client solicitation and pitching Creative production Delivery Account management Advertisements Increased sales One of the fundamental differences between the transformational process of a car manufacturing operation and an advertising agency is balance between facilities and staff resources. The car manufacturing operation will have much of its investment in physical facilities with the focus of operations managers in such an organisation being on ensuring that those facilities are operating smoothly. The transformational process for a car manufacturing plant is a technical/mechanical process which should run exactly the same every time. While there is creativity involved in the initial design stage of the vehicles and parts, the fabrication stage should involve no creativity and will essentially follow a set process which is repeated hundreds, if not thousands, of times each week with the purpose being to lower costs by automating the same repeated tasks. While staff in a car manufacturing operation remain important, their importance is secondary to the operation of the facilities themselves (ie should there be a problem with the operation of the facilities, the staff are not in a position to continue assembling the cars on their own – ie their effectiveness is directly linked to the effectiveness of the facilities themselves). Conversely, the importance of facilities to an advertising agency is entirely secondary to the importance of the staff that it employs. Preparing an advertising campaign is a largely creative process which varies from client to client and which does not therefore lend itself to automation. Due to the creative nature of an advertising agency’s work, should the facilities of an advertising agency for some reason become temporarily unavailable, it should be able to continue its operations using the same staff. Naturally, the importance of the less important transforming resource should not be underestimated and it is not the case that either of these two operations can continue without both transforming resources. Rather, it is that one of these transforming resources is more fundamentally important than the other. For instance, while an advertising agency’s staff should be able to continue with their transformational work even where the facilities they have been using are temporarily unavailable, it is highly likely that their transformational work will be less effective especially where the unavailability of facilities involves not only office space, but more importantly, informational resources such as computer systems, market research information, etc. Likewise, while a car manufacturing operation can replace staff that for instance, go on strike, the efficiency and effectiveness of newly employed staff will be lower than those who have experience working with the machinery and the organisation’s operational process. The point is that the balance for a car manufacturing and an advertising agency are different between facilities and staff and so too are therefore each organisation’s operations management concerns (Slack et al, 2001, p.12). With respect to the transformational process, a car manufacturing operation is predominantly a materials processor while an advertising agency is predominantly an information processor. A car manufacturing operation transforms the physical properties of the input resources involving the input of steel, plastic, and other materials the nature or which are then physically transformed into cars. An advertising agency on the other hand deals with information as its input resource (for instance, market research, demographic data, previous advertising campaign effectiveness, customer aims, etc) and transforms these into advertising campaigns the goal of which is to increase its customers’ sales. The operational outputs also differ substantially as between a car manufacturing operation and an advertising agency. Perhaps the most profound difference is that the outputs of a car manufacturing operation are an actual tangible product while for the advertising agency it is an intangible service. The difference between these two types of outputs affects such considerations such as storability, transportability, simultaneity, customer contact and quality (Slack et al, 2001, pp.13-14). Clearly a car has a degree of tangibility that an advertising campaign does not. This means that a car is able to be stored and transported. Likewise, the car manufacturing process involves production well before the customer ever sees it while with an advertising campaign, the psychological aspects occur simultaneously with its execution. As most customers will purchase a new car from a manufacturer’s own branded car yard, there is some contact between customer and manufacturer (more so than with other types of manufacturers such as for example household appliances where the manufactured good is sold via a third party retailer with no relationship with the manufacturer). The integrated supply chain for car manufacturers also affects the quality in that whereas with other manufactured products, the relationship between manufacturer and customer is more distant, the integrated supply chain for car manufacturers means that the customer is more likely to judge the quality of the operation from the quality of the product (although still not to the same extent that they would for a pure service such as a hair cut). Slack et al (2001, p.15-16) note that all operations fall somewhere within the spectrum between pure goods producers and pure service producers, with most operations producing a mixture of both products and services. They propose that each producer has a predominant type of output and that any peripheral output for that producer is referred to as a â€Å"facilitating† output. That is, for a goods producer, any services produced shall be â€Å"facilitating services† (eg technical advice) while for a services producer which produces peripheral goods (eg report and documents) these represent â€Å"facilitating goods†. This is perhaps a dated view of such operations which Slack et al acknowledge when noting that the distinction between services and products is becoming increasingly difficult to define. Perhaps a more accurate distinction is between the types of processors (ie materials, information and customer) rather than simply between goods and services. In reality, many service operations (especially information processors) do produce a tangible output which can be stored (for instance a travel agency will produce a booking which is reflected in a physical itinerary, a law firm will produce legal documents, a bank will produce bank statements, etc). It is generally customer processors (such as theme parks, theatres, public transport, airlines and hotels) which do not produce a tangible output which can be stored. In many ways, with the advent of the information revolution, the outputs of information operations have come to more closely resemble to outputs of traditional manufacturing operations more than traditional service operations. In general, a distinction needs to be made between services which produce a tangible output and those services which are consumed at the same time as they are produced. While both these operations fall within the overall heading of â€Å"services†, their natures are entirely different. The main difference between an information processor service and both material processors and customer processors are that an information processor’s output is not unique. That is, an information processor’s output is generally able to be copied at no additional cost. This can be contrasted to a material processor’s output such as a car or a customer processor’s output such as a haircut. Neither a car nor a haircut can be reproduced without additional inputs being used and the transformational process starting again at substantial cost. An informational output on the other hand, such as a legal document or a song can be reproduced an unlimited number of times at minim al cost and without the need for the original transformational process to be repeated (although large scale copying may require an additional transformational process eg producing CDs and DVDs). With respect to a car manufacturing operation and an advertising agency, both produce an output which is (arguably in the case of the advertising agency) tangible (ie cars and an advertising campaign respectively) although one is clearly much more tangible than the other. However, both the manufactured car and the advertising campaign loose relevance as time progresses and as such, the intention for both operations is to transfer the finalised output from the organisation responsible for processing the input onto the customer. The longer this transfer from processing operation to ultimate customer takes, the less relevant within the marketplace their outputs become (this statement will clearly not apply in certain cases for instance prestige cars which may increase in value the longer they are stored). The fundamental differences between a car manufacturing operation and an advertising agency have important implications on an organisation’s operations management. Both the advertising agency and car manufacturing consist of transforming resources facilities and staff. The difference is in the input of transformed resources as the car manufacturing is predominantly a material process and the advertising agency an information processor. The transformation process in operations is closely connected with the nature of its transformed input resources. Outputs from the transformation process are goods and services with the main difference being that an advertising agency provides a service while a car manufacturer produces a good. The difference in tangibility of the outputs also has an affect on storability, transportability, simultaneity, customer contact and quality. BIBLIOGRAPHY Slack, N., Chambers, S. Johnston, R. (2001), Operations Management, 3rd ed., Prentice Hall, Harlow, England

Definition :: essays research papers

Science/Religion Definition of religion and defense Definition of Religion: Religion is norms,values, or a way of life to an individual or community. A spiritual guide that governs the way a person lives from day to day by giving that person hope, belief, and reason to exist in this world. Religion can be whatever that person makes of it. Religion can be a persons assets, family, or other individuals or possessions, it can be many things besides worship to a "God" or "Deity". It can be whatever a person deems holy or sacred. Defense: "Religion is norms, values, or a way of life to an individual or community". This can be defended by taking a look at they way most religious people live. Many people live accordingly to there religions rules and regulations. This includes Buddhists, Muslims, Mennonites, and Amish just to point out a few. Not only in dress and in possessions but people who respect their religions live by their religion's rules. "A spiritual guide that governs the way a person lives from day to day by giving that person hope, belief, and a reason to exist in this world." Religion can give an individual codes to live. It can give a person hope, belief, and a reason to exist by making the individual feel loved or cared about by their religion or their religious deities. It can also give them hope and belief by feeling included within a group of individuals that share their same views. By giving them a reason to exist religions give an individual something to look forward to after death and purpose for being on earth. "Religion can be whatever a person makes of it. Religion can be a persons assets, family, or other individuals and possessions, it can be many things besides worship to a "God" or "Deity"." Religion can mean different things for different people. It can be a rich mans money, poor mans shelter, a mad mans weapons. Many people or cultures worships numerous "gods" for different occasions. Some people worship the earth or animals while many other individuals worship other "people" or

The Zodiac Killer

The Zodiac was very real villain, and no this villain does not have a giant evil lair or an army of henchmen. What he does have is a psychopathic and insane mind filled with twisted ideas as well as a bit of genius. This villain is the Zodiac Killer one of Americas most infamous serial killers. The Zodiac was active between the sass's and sass's, in this time he took 37 victims in total but the the police only counted seven as definite victims.The Zodiac is like a typical cliche horror movie villain but before the Lech, this mysterious criminal was clever and quick. For years he taunted the police and media, what set him apart from the average day to day serial master mind were his letters. He sent a total of eighteen letters throughout his career If you can call It that, to newspapers mostly though some to private citizens. HIS letters and cryptic messages would always begin with ‘Dear Editor this Is the Zodiac speaking. ‘ He would demand for the letters to be published threatening to go on murderous rampages If they weren't.Way back in 1966 before anyone had ever heard of the Zodiac an 18 year old student named Cheerier Joy Bates was found brutally murdered near the Riverside City College's library complex. After disabling her car the believed to be Zodiac approached her asking if she needed a ride home home. The police determined the Zodiac must have had a personal connection with her as she was comfortable having a conversation and accepted the ride. Zodiac recorded this event in a letter titled ‘the confession' and sent it to the Riverside Police and the colleges newspaper.This was the first of many letters and confessions to come. In 1969 the Zodiac story had exploded into news, however the police only began to consider Zodiac as the culprit in 1970 after a meeting between two investigators. After this event there came more murders the police never really being able to pin point a culprit though Zodiac was always a suspicion they never h ad enough evidence to prove it was him guilty. The death of three young couples had left the police dumbfounded. After the murder of another young couple the police received a phone call from a telephone box.A voice spoke with no accent and was clear and even as if reading Off script, the voice reported a double murder as well as telling the police the location he added a confession of murdering the year before. This continued from 1966 till the early ox's. With no absolute evidence and forensic technology not being advanced enough the police could never pinpoint the killer so his Identity remains a mystery. Although there were a number of suspects and many people believe they know the Identity of the zodiac. Cliche, this mysterious criminal was clever and quick.For years he taunted the police is letters. He sent a total of eighteen letters throughout his career if you can call it that, to newspapers mostly though some to private citizens. His letters and cryptic messages would alwa ys begin with ‘Dear Editor this is the Zodiac speaking. ‘ He would demand for the letters to be published threatening to go on murderous rampages if even as if reading off a script, the voice reported a double murder as well as telling his identity remains a mystery. Although there were a number of suspects and many people believe they know the identity of the zodiac.

Botswana †From Ancient Times to Current Democracy

Botswana – From Ancient Times to Current Democracy The Republic of Botswana in southern Africa was once a British protectorate but now is an independent country with a stable democracy. It is also an economic success story, rising from its status as one of the poorest countries of the world to the middle-income level, with sound financial institutions and plans to reinvest its natural resource income. Botswana  is a landlocked country dominated by the Kalahari Desert and flatlands, rich in diamonds and other minerals. Early History and People Botswana has been inhabited by humans since the dawn of modern humans about 100,000 years ago. The San and Khoi peoples were the original inhabitants of this area and South Africa. They lived as hunter-gatherers and spoke Khoisan languages, noted for their click consonants. Migrations of People into Botswana The Great Zimbabwe empire extended into eastern Botswana a thousand years ago, and more groups migrated into the Transvaal. The areas major ethnic group is the Batswana who were herders and farmers living in tribal groups. There were larger migrations into Botswana of these people from South Africa during the Zulu wars of the early 1800s. The group traded ivory and skins with the Europeans in exchange for guns and were Christianized by missionaries. British Establish the Bechuanaland Protectorate Dutch Boer settlers entered Botswana from the Transvaal, sparking hostilities with the Batswana. The leaders of the Batswana sought assistance from the British. As a result, the Bechuanaland Protectorate was established on March 31, 1885, including modern Botswana and parts of present-day South Africa. Pressure to Join the Union of South Africa The inhabitants of the protectorate did not want to be included in the proposed Union of South Africa when it was formed in 1910. They were successful in staving it off, but South Africa continued to pressure the UK to incorporate Bechuanaland, Basutoland, and Swaziland into South Africa. Separate advisory councils of Africans and Europeans were established in the protectorate and the tribal rule and powers were further developed and regularized. Meanwhile, South Africa elected a nationalist government and established apartheid. A European-African advisory council was formed in 1951, and a consultative legislative council was established by a  constitution in 1961. In that year, South Africa withdrew from the British Commonwealth. Botswana Independence and Democratic Stability Independence was secured peacefully by Botswana in June  1964. They established a constitution in 1965 and held general elections to finalize independence in 1966. The first president was Seretse Khama, who was the grandson of King Khama III of the Bamangwato people and a prominent figure in the movement for independence. He was trained in law in Britain and married to a white British woman. He served three terms and died in office in 1980. His vice president, Ketumile Masire, likewise was reelected several times, followed by Festus Mogae and then Khamas son, Ian Khama. Botswana continues to have a stable democracy. Challenges for the Future Botswana is home to the worlds largest diamond mine and its leaders are wary of over-dependence on a single industry. Their economic growth has raised them into the middle-income bracket, although there is still high unemployment and socioeconomic stratification. A significant challenge is the HIV/AIDS epidemic, with a prevalence estimated at over 20 percent in adults, the third highest in the world.​Source: US Department of State Background Notes

Do Tax Cuts Stimulate the Economy essays

Do Tax Cuts Stimulate the Economy essays Cutting taxes by federal, state, and local governments will always stimulate the economy in any economic environment. It seems that the debate on the pros and cons of cutting taxes is more prominent during a recession or downturn in the economy, as is the case now, but tax cuts should always be a top priority for everyone from politicians to voters. The most recent presidential proposal is the Bush Stimulus Package, based on his vision for economic recovery, low taxes, low spending on social services, high military spending. Under his view, reducing tax rates for businesses and rich individuals stimulates investment (Keen 2003, p. A5). Taxes are only one of many factors that affect the economy. National security, the possibility of war, and the insecurity of investors are a few other factors, but since the tragedy of 9-11, the economy has been in a downturn and continues to tumble. It needs something to turn it around and tax cuts are one of the solutions needed, but combining tax cuts with other solutions will help stimulate the economy much faster. The theory of tax cuts stimulating the economy is referred to by most people as supply-side economics as well as several other names such as trickle-down economics or Reaganomics. During the Ronald Reagan presidency, it became known as Reaganomics, but many people today use the terms interchangeably. The central concept of supply-side economics is that cuts in the tax rates spur economic growth by providing entrepreneurs an incentive to invest the extra tax dollars saved by tax cuts, causing many of them to earn more money and pay more taxes on their earnings, even at a lower tax rate, which creates new jobs. These new jobs result in a larger employment base and, therefore more taxpayers. There are more taxpayers because of the newly created jobs, therefore a larger tax base, which means higher tax revenues for the government (Limbaugh 1993, p.117). Debates over t...

Recognizing Contract Risk and Opportunities Case Study

Recognizing Contract Risk and Opportunities - Case Study Example 1. C-S has demanded immediate transfer of all unfinished code; asserted rescission of contract. 2. C-S claims SPAN'S deliverables low on quality and behind schedule. 3. Requirements have grown disproportionately since originally determined 4. Difficulty to accommodate the requirements within earlier budget and timelines. 5. C-S's approval and review times were affected due to change in project management structure Several guidance are listed below to be review and perform by both parties to ensure that the simulation had provided assurance. They bear the primary responsibility to identify the strategies involved, thus reducing the risks associated with the legal benefits from the opportunities found din the simulation. 1. Conduct risk assessment of the system done in the contract. 2. Map identified risks to the applicable system. 3. Select a technology based on technical guidance. 4. Validate that the implemented system has achieved the required level. 5. Periodically reassess the system to determine the refreshed requirements. Like any contract creation and management simulation required considerations, it is very important that the benefits listed below, are to be taken into account. It is also important to match the required level of assurance against the cost and burden of business policy and technical requirements of the chosen solutions 1. Increased speed of any transaction 2. Increased partner's participation and costumer's satisfaction 3. Improved record keeping system efficiency and data analysis opportunities. 4. Increased employee productivity and improved quality of final product. 5. Greater information benefits to the public. 6. Improved security 7....Every thing that is to be written in it must come, and agreed from both ends. Based on the data gathered, the following needs to be studied to be included in the contract: User and system requirements have grown since originally determined in the system study stage, making them difficult to accommodate within the originally agreed upon cost and timeliness. Ordinary requirements changes had been agreed to in the contract, the actual change request have been anything but ordinary. Also C-S's approval and review times have been affected lately due to change in its project management structure. Several guidance are listed below to be review and perform by both parties to ensure that the simulation had provided assurance. They bear the primary responsibility to identify the strategies involved, thus reducing the risks associated with the legal benefits from the opportunities found din the simulation. Like any contract creation and management simulation required considerations, it is very important that the benefits listed below, are to be taken into account. It is also important to match the required level of assurance against the cost and burden of business policy and technical requirements of the chosen solutions The project is a complex multi-faceted project that involves sales, contract administration, finance, and service organizations.

How does the economy of Iceland work Essay Example | Topics and Well Written Essays - 500 words

How does the economy of Iceland work - Essay Example As opposed to a purely capitalistic economy, the mixed economy in Iceland ensures regulated private ownership and safeguarded welfare of the citizens, a feature that limits exploitation of the public and concentration of resources in the hands of few individuals at the expense of other citizens. The country’s economy also operates through investments into creation of employment opportunities. Reported data on the country’s economy for instance indicates low unemployment rates, an indication that job creation is a prioritized economic policy (CIA, p. 1). One of the core bases of the Iceland’s economic sustainability is its fishing industry. According to CIA statistics, the industry is responsible for about 12 percent of the country’s economy and is a source of employment to at least seven percent of the country’s population. The fishing industry also sustains Iceland’s economy through the vast export of the fishery products. Contributing about 40 percent of the country’s export identifies fishing as a major source of foreign exchange to the country. The export aspect from fishing industry also indicates the country’s involvements and derived benefits of international trade. International trade is therefore another base for Iceland’s economic functionality and sustainability and includes other exports other resources such as metal ores. The economy is also characterized by significant foreign investments. With cheap energy sources such as geothermal power, the country has been able to attract investors from across the world. Investments in the economy have also undergone diversification towards exploration and exploitation of different available resources in the country. Further, the country has been able to attract foreign revenues through foreign investments by its domestic industries such as its financial institution. The

Rock and roll music Essay Example | Topics and Well Written Essays - 500 words

Rock and roll music - Essay Example The speaker in the song is a male lover who has lost his partner. He acknowledges that he is very lonely so that he now found a new place to stay, at the Heartbreak Hotel. He speaks in the first person and so the song effectively communicates the deep emotions of the speaker. Consequently, he is able to present a realistic situation and causes his listeners to empathize with him. Moreover, the narrator uses simple yet vivid imageries which many people understand and relate with. He speaks of a feeling and circumstance which every individual somehow experiences one way or another, a familiar episode which is easily understood by listeners of different ages. Presley, as the speaker and singer, effectively expresses the message of the song through a manner that is not boring or ordinary but through his unique way of singing he was known to be a king of. The text of course tells the pathetic story of a man left by his lover. He now lives alone lonely at heartbreak hotel with other heartbroken people. He says that the men who are there have been crying for so long while the women wore black dresses. Such imagery reflect depressed men and women who did not simply lost their lovers but have lost them forever so that there seems to be no tomorrow. As their love died when their lovers left, they feel that they have nothing or no one to return to but stay at Heartbreak hotel forever. Such despondent atmosphere is emphasized by the equally melancholic music. Although the instruments are quite upbeat, the singer sounds hopeless and seems to really be crying. His pauses and breathes make him sound like a man crying over the death of a loved one. The emotion expressed in the song is quite strong and moving. What makes the song more expressive perhaps is the use of double entendre. For instance, in the third verse, a picture of the hotel attendant

Theories of Addiction Explanations for Continuing Drug Use and Relapse Essay Example for Free

Theories of Addiction Explanations for Continuing Drug Use and Relapse Essay Theories of addiction, many have been proposed and a variety of preclinical models have been constructed. several theories were utilized in this study to better understand the basis of addiction. The first theory, negative reinforcement, suggests that the continued use of the psychoactive substance is to avoid withdrawal dysphoria. The next theory subject to research during this study was positive reinforcement. The positive reinforcement theory of addiction suggests the subject continues use of the psychoactive substance simply because they enjoy it. These theories, positive reinforcement the more familiar of the preclinical models of addiction, stem from the associative learning theory. Either of these preclinical models are a perfect example of operant conditioning. Both subjects have associated their use of the psychoactive substance with consequences, reinforcing the behavior. Operant conditioning is the easiest form of associative learning and the hardest to correct once behavior is learned in this manner. There have been several studies done to understand operant conditioning. The most prominent was the operant chamber, a Skinner box. It was built in the mid sixties by B. F. Skinner and brought modern behaviorism to the forefront of psychology. Though a very controversial study much was learned in behavior control and was called the law of effect, stating that rewarding behavior is likely to recur. Another crucial model in understanding addiction is stimulus response learning. This model suggests, unlike that of associative learning where the response follows the stimulus, the stimulus itself creates a habitual response. This this occurs through classical conditioning and is a conditioned response. This conditioned response is developed through conditioned reinforcement. When the subject comes in to contact with paraphernalia, like the light in the skinner box, they know they are going to receive their primary reinforcer. This can easier be illustrated with Pavlovs studies on classical conditioning. Pavlov began to notice that dogs salivating whenever he w ould present the with a bowl of food. This is an example of an unconditioned stimulus eliciting an unconditioned response. When you introduce a neutral stimulus with an unconditioned stimulus. In this case the paraphernalia, you receive the unconditioned response. Eventually, if this is repeated over time the once neutral stimulus elicits the same response as the unconditioned stimulus. The once unconditioned response is now a conditioned response and can be controlled with exposure to the conditioned stimulus. When the subject is exposed to the paraphernalia the body begins adjusting for the use of the psychoactive substance and causes the cravings associated with addiction. The next model researched in the study was incentive salience. This is a motivational attribute given by the brain to reward predicting stimuli, causing the craving for the psychoactive substance. For example, if the subjects addictive behavior is extinguished and is then exposed to an illustration once associated with the stimulus, the craving can return. Cravings can also return through spontaneous recovery. This is when the subjects addictive behavior is extinguish and, without stimuli exposure, the subjects craving for the substance returns briefly. This is believed to be cause of relapse in some subjects battling this disorder. The final model to be discussed is the inhibitory control dysfunction model. Inhibitory control consists of neural impulses that act to dampen or stop a specific activity. The area of the brain that this function occurs is in\the pre-frontal cortex. This area of the brain is in control of personality, decision making, and other functions. If damage or a dysfunction is present in this area of the brain it could alter the subjects personality and decision making abilities. Other symptoms of this is impulsiveness and altered judgment. As a result if the subject has a dysfunction in this area they are more likely to begin, continue, and possibly relapse use of a psychoactive substance. The study was comprised of seventy-three non-treatment seeking Methamphetamine u sers both men and women. They were given a survey with questions of self perceived reasons why a methamphetamine user would continue use or relapse. They found that fifty-six percent of the participants use psychoactive substances due to positive reinforcement, forty-four percent would relapse for the same. This theory was rated the highest next was inhibitory control dysfunction at twenty- seven percent, stimulus response learning at twenty-five percent, negative reinforcement at twenty- three percent, and incentive salience at nineteen percent. Most of the participants that rated positive reinforcement high also had correlations in there answers. They rated incentive salience, stimulus response learning and inhibitory control dysfunction. This suggests that other concepts of theories of addiction are needed for a better understanding of addiction. This study also shows that not all methamphetamine users are alike, treatment should be further focused in subtypes. If treatment were focused and developed in subtypes it may be more effective. By issuing the survey to non-treatment seeking methamphetamine users they were able to identify possible patient subtypes. Thus bringing the treatment to the subject instead of the disorder.

Essay --

Personal choices are very important in one’s life. The stories that will be compared are, â€Å"The Use of Force†, by William Carlos Williams and â€Å"Lather and Nothing Else†, by Hernando Tellez. It is how the protagonists deal with a situation and how they use their intellectual thinking to deal with the situation. However, personal choices can change the outcome of a conflict, which will either be insightful or pessimistic. People make their own personal choices in everyday life. If the personal choices are not well-made, the conflict can either have a positive conclusion or negative conclusion. People make their own person choices in everyday life. In William Carlos Williams â€Å"The Use of Force† and Hernando Tellez’s â€Å"Lather and Nothing Else†, the protagonists make their own decisions based on the conflict they are confronted with. Williams and Tellez place the protagonists in an occupation in which both protagonists are met with a new customer. In Williams’ story, the doctor approaches a patient and is concerned about the patient’s illness. He uses his professional manner to determine whether or not the child has a sore throat. Similarly, in Tellez’s story, the barber has a customer come in and is responsible for shaving Captain Torres’ beard. The beginning of both stories shows how both of the protagonists are responsible for performing their tasks to the best of their ability. Moving forward, both protagonists come across with a problem. When the doctor attempts an examination, the patient does not respond coopera tively. The attempt at an examination rapidly escalates into a physical battle because the physician is not able to perform his job. In the same way, when Torres takes a seat, the barber realizes, it is his nemesis. Torres ... ...Tellez’s story ended with an exceptional closure because excellent moves were made by the barber. Williams took the protagonist in a negative route and conversely Tellez took the protagonist in a positive route. Personal choices can change the conflict, either leading to an upright ending or depraved ending. To conclude, personal choices are very significant in one’s life. In â€Å"The Use of Force†, by William Carlos Williams and â€Å"Lather and Nothing Else, by Hernando Tellez, both authors showed how people make their own judgments every day in life. However, the stories were different in certain cases because the decisions made by the individual caused the conflict to either end in an optimistic way or undesirable way. Personal choices are important because they help people solve conflicts, but the person must be careful if there personal choice they create is strong.

Financial Analysis of Bank of America

Financial Statement Analysis of Bank of America Group 1 Chen, Yelin Dong, Xiaoxu Gransbach, Jennifer Shuai, Wang Weiss, Charles 1Financial Statements of Bank of America1 1. 1Balance sheet1 1. 2Income statement2 1. 3Regulatory capital ratios2 1. 4Investment portfolio2 1. 5Impact of the FSP FAS 115-2 and FAS 124-2 on OTTI3 1. 5. 1Bank of America3 1. 5. 2JP Morgan Chase3 1. 5. 3Citi Group3 1. 6Netting Financial Instruments3 1. 6. 1Bank of America4 1. 6. 2Comparable banks4 1. 6. 3Analysis of the impact4 2Fair Value Accounting for Financial Instruments4 2. Fair value accounting4 Table 6 Summary of the Fair Value Income5 2. 2Opinions about fair value accounting5 3Interest Rate Risk and Net Interest Earnings6 3. 1Net interest margin6 3. 2Interest rate risk7 4Credit Risk and Losses7 4. 1Main loss reserve adequacy ratios8 4. 2Policy to designate past due loans as non-performing8 4. 3Adequacy of the bank’s allowance for loan losses8 4. 4Disclosure policies relating to loans8 5Appendix9 * Part 1 Financial Statements of Bank of America . 1. 1 Balance sheetBank of America’s balance sheet has total assets of $2,129,046 million in 2011, which is less than last year’s $2,264,909 million, a fairly significant decline. There are a few primary assets on the balance sheet. The largest asset is loans and leases which makes up 41. 92% of the total assets. The next largest asset was Available-For-Sale securities making up 12. 97% of total assets. Total liabilities on the balance sheet were $1,898,945 million, with the primary liability being deposits in U. S. offices both interest bearing and noninterest bearing, at 50. 4% of total liabilities. The next largest liability was long-term debt at 19. % of total liabilities. In millions| 2011| % of total assets| 2010| % of total assets| % chg from 2010-2011| Total asset| 2,029,046 | 100. 00%| 2,264,909 | 100. 00%| -10. 41%| Loans and leases| 892,417 | 43. 98%| 898,555 | 39. 67%| -0. 68%| Available-for-sale| 276,151 | 13. 61%| 337,627 | 14. 91%| -18. 21%| Total liabilities| 1,898,945 | 93. 59%| 2,036,661 | 89. 92%| -6. 76%| Total deposits| 1,033,041 | 50. 91%| 1,010,430 | 44. 61%| 2. 24%| Deposits in U. S. offices| 957,042 | 47. 17%| 930,913 | 41. 10%| 2. 81%| Long-term debt| 372,265 | 18. 35%| 448,431 | 19. 80%| -16. 98%| Leverage ratio| 14. 0 | ? | 8. 92 | ? | 63. 58%| Table 1 Selected Financial Data from Balance Sheet of Bank of America Chase and Citi are fairly similar in size and distribution of their balance sheets. Chase and Citi have total assets of 2,265,792 and 1,873,878( ) respectively, both with slightly lower loans as a percentage of total assets at slightly over 30%, while AFS securities are around 16% of total assets for each. Liabilities are also very similar, with Chase having total liabilities of $2,082,219 million and Citi $1,694,305 million. The primary line items are also very similar once again with Chase’s total deposits 54. 6% and long-term debt 22. 77% of total lia bilities, while Citi has deposits 51. 11% and long-term debt of 19. 09%. According to the deposits in U. S. offices, BOA focus more in U. S market and Citi focus more on market outside U. S. In millions| Bank of America| % of total assets| JP Morgan Chase| % of total assets| Citi Group| % of total assets| Total asset| 2,129,046 | 100. 00%| 2,265,792 | 100. 00%| 1,873,878 | 100. 00%| Loans and leases| 892,417 | 41. 92%| 696,111 | 30. 72%| 617,127 | 32. 93%| Available-for-sale| 276,151 | 12. 97%| 364,793 | 16. 10%| 293,413 | 15. 66%| ? | ? | ? | ? | ? | ? | ? |In millions| Bank of America| % of total liabilities| JP Morgan Chase| % of total liabilities| Citi Group| % of total liabilities| Total liabilities| 1,898,945 | 100. 00%| 2,082,219 | 100. 00%| 1,694,305 | 100. 00%| Total deposits| 1,033,041 | 54. 40%| 1,127,806 | 54. 16%| 865,936 | 51. 11%| Long-term debt| 372,265 | 19. 60%| 256,775 | 22. 77%| 3,235,050 | 190. 94%| Leverage ratio| 8. 25 | ? | 11. 34 | ? | 9. 44 | ? | | | | | | | | In millions| Bank of America| % of total deposits| JP Morgan Chase| % of total deposits| Citi Group| % of total deposits| Deposits in U. S. offices| 957,042 | 92. 64%| 851,534 | 75. 0%| 343,288 | 39. 64%| Table 2 Selected Financial Data from Balance Sheets of Three Banks in 2011 In the event of a bank run, Bank of America will be in trouble due to its high leverage, similar to many banks. Bank of America has deposits of $1,033,041 million, among which liquid assets only have $314,425 million, including cash and cash equivalents of $120,102 million, time deposits and other short-term investments of $26,004 million and trading assets of $169,319 million. Even with the ability to liquidate those non-cash assets, it will still only be able to honor slightly more than 30% of its depositors.Income statement The primary line item on Bank of America’s income statement is net income of $1,446 million, which increased compared to a net loss of 2,238 in 2010. Interest income was $66 ,236 million, down from $75,497 million in 2010. Total interest expense was $21,620 million, which makes the net interest income become $44,616 million, down 13. 4% from the previous year. Lastly, total noninterest income was $48,838 million, decreased by 16. 8% from 2010. This is partly due to the big loss of mortgage banking income, decreasing from $2,734 million in 2010 to $(8,830) million in 2011.Chase and Citi had similar trends, both slightly increasing their bottom line while having net interest income decrease slightly. Regulatory capital ratios 2011| Bank of America| JP Morgan Chase| Citi Group| To be well capitalized| Leverage ratio| 7. 53%| 6. 80%| 7. 19%| 5%| Tier 1 risk-based capital ratio| 12. 40%| 12. 30%| 13. 55%| 6%| Total risk-based| 16. 75%| 15. 40%| 16. 99%| 10%| Table 3 Regulatory Capital Ratios of Three Banks in 2011 In 2011, Bank of America was considered well capitalized for all three regulatory ratios–Tier 1 capital, risk-based capital and leverage.Ba nk of America slightly increased all of its ratios from 2010 to 2011. Its tier 1 capital ratio was 12. 4% while 6% is considered well capitalized, its risk based capital ratio was 16. 75% while 10% is considered well capitalized, and its leverage ratio was 7. 53% while 5% is considered well capitalized. ( Table 4, Table 3) Chase and Citi had very similar ratios to Bank of America. Chase was slightly below Bank of America and Citi for all three ratios but still well above the floor to be well capitalized.Citi had a slightly lower leverage ratio and slightly higher tier 1 capital and risk based capital ratios. Regulatory ratios are fairly important; however there are some issues with them. The ratios are backwards looking, so there could be a large amount of change since in the numbers. There are also lots of adjustments made by the company to the different numbers that make up the ratio that might not even make sense such as ignoring AFS losses. The current risk weighting is also ve ry simplistic currently and might not reflect the actual risk of the assets.One important thing to note is that the newly released Basel III norms by Basel Committee on Banking Supervision (BCBS) would require a higher regulatory capital ratio on banks. It is recommended that Basel III be implemented by January 1, 2015. According to the new rules, the mandatory Tier 1 common capital ratio would be 7%. Banks should maintain conservation buffer of 2. 5% and reserves amounting to 8. 5% of assets. Therefore, in order for Bank of America to meet the future requirements and be well capitalized in face of potential financial meltdowns, it should hold more and better quality capital, carry more liquid ssets, and limit leverage. ( , ) Investment portfolio The net unrealized gains on HTM securities of $177 million = $181 million + ($4) million that have not been recognized in OCI as of the end of 2011 are attributable to HTM securities that have not been deemed other than temporarily (OTT) i mpaired, so that amortized cost is the carrying value. Amortized cost is a highly limited valuation basis for risky securities. There was very little mention of reclassification in Bank of America’s 10-K. There was a mention of a reclassification of $26. billion primarily due to noninterest earning equity securities being moved from trading account assets to other assets, but no mention of anything else. Impact of the FSP FAS 115-2 and FAS 124-2 on OTTI Bank of America According to FSP FAS 115-2 and FAS 124-2, banks are allowed to report non-credit related OTTI in Other Comprehensive Income (OCI). Only credit-related OTTI is recognized in net income. The Total OTTI losses (unrealized and realized) for 2011 is $360 million, and portion of other-than-temporary impairment losses recognized in other comprehensive income is about $61 millions.The net amount is $299 million which is recognized in earnings on AFS debt securities in 2011, compared to $970 million on AFS debt and mark etable equity securities in 2010. When we compute the regulatory Tier One Capital, the unrealized losses on AFS investments are (added back) excluded. Thus, the $61 million is added back to calculate the Tier One Capital. With adding back, Tier 1 risk-based capital ratio is 12. 40% as shown on 2011 Y9C. In absence of adding back, the ratio is (159,231,999-61,000)/ 1,284,466,933=12. 39%. JP Morgan Chase For JP Morgan Chase, the10K shows Total other-than-temporary impairment losses for are 27, 94, nd 946 million for year 2011, 2010 and 2009 respectively. ( ) However, it doesn’t divide these amounts into credit-related portion and non-credit related portion. Based on the other two banks examples, we can infer that the Tier One Capital for JP Morgan Chase will go up after adoption. Citi Group Citigroup also adopted the same rules above in first quarter of 2009. As a result of the FSP, Company’s Consolidated Statement of Income reflects the full impairment on debt securiti es that the Company intends to sell or would more-likely-than-not be required to sell before the expected recovery of the amortized cost basis.As a result of the adoption of the FSP, Citigroup’s income in the first quarter of 2009 was higher by $631 million on a pretax basis ($391 million on an after-tax basis) and AOCI was decreased by a corresponding amount. However, 2011 10K does not gives details about regarding the credit loss component of OTTI in 2011. When we compute the regulatory Tier One Capital for Citigroup, the unrealized losses from non-credit loss component on debt securities are (added back) excluded, which leads to an increase in Tier One Capital.Netting Financial Instruments | Â  | Bank of America| JP Morgan Chase| Citi Group| IFRS(Before netting)| Total assets| 2,130,796| 3,976,317| 2,749,470| | Total debt| 1,900,695| 3,792,742| 2,564,671| | Total equity| 230,101| 183,575| 184,799| | Leverage ratio| 8. 26| 20. 66| 13. 88| GAAP(After netting)| Total assets| 2,129,046| 2,265,792| 1,873,878| | Total debt| 1,898,945| 2,082,219| 1,694,305| | Total equity| 230,101| 183,573| 179,573| | Leverage ratio| 8. 25| 11. 34| 9. 44| Table 4 Netting Adjustments for Three Banks in 2011 Bank of AmericaAccording to Note 4—Derivatives, Bank of America had legally enforceable master netting agreement that would reduce both derivative assets and derivative liabilities by the same amount of 1,749. 9 million, respectively. Moreover, cash collateral was applied to net off derivative assets by 58. 9 million and derivative liabilities by 51. 9 million, respectively. However, the reduction caused by cash collateral wouldn’t affect total assets and total liabilities. If Band of America were to adopt IFRS, it would report higher gross derivative assets and liabilities by an increase of 1,749. million. However, the adjustment (1,749. 9 million) was insignificant compared to Bank of America’s total asset base (2,129,046 million, about 0. 08%). Th erefore, the leverage ratio would only increase slightly due to this change, from 8. 25 under GAAP to 8. 26 under IFRS. Comparable banks J. P. Morgan Chase’s gross derivative assets were offset by 1,710,525 million netting adjustments and gross derivative liabilities by 1,710,523. Such adjustments almost made up of 75% of Chase’s total asset base which is 2,265,792 million.Therefore, if to adopt IFRS, Chase would record a much higher assets and liabilities up to 3,976,317 million and 3,792,742 million, respectively. Leverage ratio, accordingly, would rise from 11. 34 to 20. 66, with an almost doubled increase. Citi Group’s netting adjustments of 875,592 million against derivative assets made up 46. 7% of total assets, and 870,366 million against derivative liabilities made up 33. 9% of total liabilities. When adopting IFRS, Citi would report a higher assets and liabilities, with its leveraging ratio growing from 9. 44 to 13. 88 due to the significant amount of t he netting adjustments. Analysis of the impactFrom the above table, we can see that Bank of America was merely affected by the presentation of netting financial instruments, while the other two banks were greatly affected in terms of leverage ratio. The main reason to such a distinguished difference is that Bank of America had the smallest investment in derivative instruments, compared to Chase and Citi. The gross approach would definitely give a more comprehensive picture of banks’ derivative instruments; however, it would overstate risk to some extent. Market risk of the derivative positions can be better evaluated using the gross presentation which is more detailed.Firstly, net figures are by far more relevant metrics than the gross amounts. Naturally, this comes about from looking to the way that derivatives are traded under an enforceable master netting agreement. The master netting agreement allows for the aggregation of all trades and the replacement by a single net am ount. Secondly, another metric to measure derivative portfolios is volatility which is driven by the risk of open market positions and the potential changes in net asset values and not the size of gross derivatives amounts.Therefore, gross balance sheet amounts are not particularly useful indicators of how much net derivative asset values would have to change before solvency is affected. Finally, as the third most important metric when evaluating the risks, collateral together with cash settlement procedures results in a liquidity profile that is more aligned with net presentation. Collateral amounts further reduce the risks and have to be taken into consideration for reporting derivatives Fair Value Accounting for Financial InstrumentsFair value accounting From table 5 and the three computation tables in Appendix, we can see that under Full Fair Value method, Bank of America’s net income would grow from 1,446 million to 2,750 million, an increase of 90. 2%. Similarly, Citi w ould experience an increase of 128. 2% in net income from 11,067 million to 25,257 million. However, full fair value method had insignificant impact on Chase, with a total adjustment of 1,773 million compared to its pre-adjustment net income of 18,976 million.In millions| Bank of America| JP Morgan Chase| Citi Group| Adjustments for assets and liabilities at HC on balance sheet| 6,127 | 1,140 | 12,000 | Adjustments for assets and liabilities at FV on balance sheet with gains and losses in OCI| -4,819 | 633 | 2,190 | Total adjustment| 1,308 | 1,773 | 14,190 | Net income as per financial statements| 1,446 | 18,976 | 11,215 | Full fair value income with information available| 2,754 | 20,749 | 25,405 | * Table 5 Summary of the Fair Value IncomeAnother thing to note is that BOA stands out as it had a significant unrealized loss of 4,819 million on AFS, while its comparable banks, Chase and Citi, had a positive gain of 633 million and 2,190 million, respectively. Based on our analysis, su ch difference was driven by the following factors. (1). According to its disclosure, Bank of America recognized $299 million of other-than-temporary impairment (OTTI) losses in earnings on AFS debt securities in 2011 compared to $970 million on AFS debt and marketable equity securities in 2010, which contributes greatly in such a large amount of unrealized loss on AFS.The recognition of OTTI losses on AFS debt and marketable equity securities is based on a variety of factors, including the length of time and extent to which the market value has been less than amortized cost, the financial condition of the issuer of the security including credit ratings and any specific events affecting the operations of the issuer, underlying assets that collateralize the debt security, other industry and macroeconomic conditions, and management’s intent and ability to hold the security to recovery. (2).According to its disclosure, Bank of America presents debt securities purchased for longer term investment purposes which are as part of asset and liability management (ALM) and other strategic activities, as available-for-sale (AFS) securities, and report these securities at fair value with net unrealized gains and losses included in accumulated OCI. In 2011, the fair value of net ALM contracts decreased $7. 9 billion to a gain of $4. 7 billion, compared to $12. 6 billion in 2010. The decrease was primarily attributable to changes in the value of U. S. dollar-denominated pay-fixed interest rate swaps of $9. billion, foreign exchange contracts of $1. 8 billion and foreign exchange basis swaps of $1. 4 billion. The decrease was partially offset by a gain from the changes in the value of U. S. dollar-denominated receive-fixed interest rate swaps of $6. 6 billion. Opinions about fair value accounting Fair Value Accounting has many advantages and disadvantages as listed below. FVA advantages include the following: FVA depicts a clearer picture of the company’s financi al situation, as it provides an accurate asset and liability valuation as the prices are reflected in the market price.Fair value accounting limits managers’ ability to manipulate the reported net income, as the gains and losses are reported in the period they occur, not when they are realized as the result of a transaction. For Level 1 & 2, the price for financial instruments, are available in a liquid market. While under amortized accounting method, firms can manage their income through the selective realization of cumulative unrealized gains and losses on positions, an activity referred to as gains trading.FVA provides investors with more accurate, timely, and comparable financial information versus other alternative accounting approaches, even during extreme market conditions. Gains & losses resulting from changes in fair value estimates indicate economic events that companies and investors may find worthy of additional disclosures. Under amortized accounting, income typi cally is persistent for as long as firms hold positions, but becomes transitory when positions mature or are disposed of and firms replace them with new positions at current market terms.Disadvantages of FVA include: The price for certain assets and liabilities may fluctuate often, resulting in higher volatility than other accounting methods. When the market is volatile, the price for financial instruments may change a lot, so companies may recognize gains/losses. This volatility of earnings would make it more difficult for users to predict future performance and make regulatory capital ratio vary dramatically across periods. A solution for this disadvantage is regulatory capital should be delinked from fair value and reported by using historic cost information.After the market stabilizes, the price may change back to the normal level. Not every asset or liability can be easily fair valued. For financial instruments in level 3, there is no fair value in the liquidity market. Manager s need model to estimate the value of financial instruments in level 3. Using fair value accounting may have adverse effect on a down market. Companies may sell some financial instruments whose value decreased because of the drop in the current market price. They may not realize the drop without the fair value accounting.The market may stabilize over time, and the price for the financial instruments will return to their normal level. Another issue with fair value accounting is that when the market for instruments freezes up and there’s no liquidity in the market, financial instruments would have to be valued by using mark-to-model which in many situations are not reliable and transparent to investors. A solution to this is that regulators provide more specific guidance on how to determine fair value for financial statements.Disclosure requirements would include disclosure of fair value of all financial instruments along with method adopted to determine fair values, any signif icant assumptions used in their estimation, some indications of the sensitivity of the estimated fair value to these assumptions, and discussion of risk exposure and issues associated with the estimation of fair value. In addition, fair value accounting has very significant feedback effects, especially during financial crisis.Fair value accounting would further contribute to the deterioration in the value of a company’s financial instruments or assets and make it more difficult for companies to recover from the crisis. Recommendation here is that in special situations, regulators would allow companies that face severe crisis to adopt other accounting methods temporarily and minimize the loss of these companies. In summary, fair value has both advantages and disadvantages under today’s economy. FVA provides better insight of the financial statements, in ddition to limiting the potential for manipulation. However, in my opinion, under today’s economy situation, it is hard to fully implement the fair value accounting. Every disadvantage has proposed solutions to resolve the issues identified. Overall, FVA is recommended for use. Interest Rate Risk and Net Interest Earnings Net interest margin The net interest yield on a FTE basis was 2. 48 percent for 2011 compared to 2. 78 percent for 2010. Net interest income on a FTE basis decreased $7. 1 billion in 2011 to $45. 6 billion. The decline was primarily due to: (1).There’s a noticeable decrease in the yield on consumer loans from 6. 04% in 2010 to 5. 37% in 2011, which reduces net interest income by about 4,244 million (633,507 million * 0. 57%). * Debt securities and residential mortgage mainly contributed to the decline. The yield rate for debt securities decreased from 3. 66% to 2. 85%, and the residential mortgage from 4. 78% to 4. 18%. (2). Noninterest income declined from the previous year due to lower mortgage banking income, reflecting$11. 6 billion in representations and warrant ies costs and decline of $3. billion income from trading account profits. Noninterest income being the major source of Bank of America's income drastically impacts the profitability of the company. (3). In 2011 Bank of America had a decreased investment security yields, including the acceleration of purchase premium amortization from an increase in modeled prepayment expectations, and increased hedge ineffectiveness. (4). Bank of America’s declining net interest margin was partially offset by ongoing reductions in its debt footprint and lower rates paid on deposits.The total U. S interest-bearing deposits had an average yield of 0. 36%, compared to 0. 55% in 2008. Such downward trend in net interest margin can be observed in other banks as well. The following table presents total interest-earning assets rate and total interest-bearing liabilities for all three banks over 2009 to 2011. As shown, all banks experienced a decline in interest-earning assets rate over three years: 1) BOA from 4. 31% in 2009 to 3. 65% in 2011, with an average decrease of 8% every year; 2) Chase from 4. 04% to 3. 1%, with an average decrease of 6. 8%; 3) Citi from 4. 78% to 4. 27%, with an average decrease of 5. 5%. The main reasons for the other two banks’ declining net interest margin were higher deposit balances with lower loan yields. | Bank of America| JP Morgan Chase| Citi Group| | 2011| 2010| 2009| 2011| 2010| 2009| 2011| 2010| 2009| Total interest-earning assets rate| 3. 65%| 4. 02%| 4. 31%| 3. 51%| 3. 83%| 4. 04%| 4. 27%| 4. 55%| 4. 78%| Total interest-bearing liabilities| 1. 39%| 1. 39%| 1. 77%| 0. 86%| 0. 84%| 1. 02%| 1. 63%| 1. 61%| 1. 3%| Table 6 Net Interest Margin of Three Banks Interest rate risk BOA’s net interest income decreased by $2,122 million in 2011 and $998 million in 2010 from a 1% downward parallel shift in interest rate. 1% downward change in interest rate results in a bigger decrease in net interest income in 2011 than in 2010. However , according Chase’s 10K, downward 100bps parallel shocks result in a Federal Funds target rate of zero and negative three- and six-month treasury rates. The earnings-at-risk results of such a low-probability scenario are not meaningful.For Citi, a 100 bps decrease in interest rates would imply negative rates for the yield curve, so not meaningful either. 1% downward shift| 2011| 2010| BOA| ($2,122)| ($998)| JP Morgan Chase| NM| NM| Citi Group| NM| NM| Table 7 The Impact of 1% downward shift on Net Interest Income BOA’s net interest income would increase by $1,505 million in 2011 and $601 million in 2010 from a 1% upward parallel shift in interest rate. The same as downward change, 1% upward change in interest rate also would result in a bigger increase in the net interest income in 2011 than in 2010.Compared with BOA, 1% upward shift in interest rate has a bigger impact for Chase and smaller impact for Citi. 1% upward shift| 2011| 2010| Bank of America| $1,505 | $601 | JP Morgan Chase| $2,326 | $1,483 | Citi Group| $97 | ($105)| Table 8 The Impact of 1% Upward Shift on Net Interest Income Credit Risk and Losses Main loss reserve adequacy ratios Policy to designate past due loans as non-performing Adequacy of the bank’s allowance for loan losses Disclosure policies relating to loans Appendix BOAIn $ millions| 2011| 2011| 2010| 2010| 2011| 2010| 2011| ? | Carrying Value| Fair Value| Carrying Value| Fair Value| CURG| CURG| URG| Adjustments for assets and liabilities at HC on balance sheet| Assets:| ? | ? | ? | ? | ? | ? | ? | Held-to maturity debt securities| 35,265 | 35,442 | 427 | 427 | 177 | – | 177 | Loans| 870,520 | 843,392 | 876,739 | 861,695 | (27,128)| (15,044)| (12,084)| Total assets| 905,785 | 878,834 | 877,166 | 862,122 | (26,951)| (15,044)| (11,907)| Liabilities:| ? ? | ? | ? | ? | ? | ? | Deposits| 1,033,041 | 1,033,248 | 1,010,430 | 1,010,460 | 207 | 30 | 177 | Long-term debt| 372,265 | 343,211 | 448,431 | 441,672 | (29,0 54)| (6,759)| (22,295)| Total liabilities| 1,405,306 | 1,376,459 | 1,458,861 | 1,452,132 | (28,847)| (6,729)| (22,118)| Pretax adjustments before AFS securities and CFH derivatives| ? | ? | ? | ? | 1,896 | (8,315)| 10,211 | Aftertax adjustments before AFS securities and CFH derivatives| ? | ? | ? | ? | ? ? | 6,127 | Adjustments for assets and liabilities at FV on balance sheet with gains and losses in OCI? | Aftertax adjustment for AFS securities| ? | ? | ? | ? | ? | ? | (4,270)| Aftertax adjustment for CFH derivatives| ? | ? | ? | ? | ? | ? | (549)| Total adjustment to net income| ? | ? | ? | ? | ? | ? | 1,308 | Net income as per financial statements| ? | ? | ? | ? | ? | ? | 1,446 | Full fair value income with information available| ? | ? | ? | ? | ? | ? | 2,754 | JP Morgan ChaseIn $ millions| 2011| 2011| 2010| 2010| 2011| 2010| 2011| ? | Carrying Value| Fair Value| Carrying Value| Fair Value| CURG| CURG| URG| Adjustments for assets and liabilities at HC on balance sheet| Assets:| ? | ? | ? | ? | ? | ? | ? | Loans| 696,100 | 695,800 | 660,700 | 663,500 | (300)| 2,800 | (3,100)| Other| 66,300 | 66,800 | 64,900 | 65,000 | 500 | 100 | 400 | Total assets| 762,400 | 762,600 | 725,600 | 728,500 | 200 | 2,900 | (2,700)| Liabilities:| ? | ? | ? | ? | ? | ? | ? |Deposits| 1,127,800 | 1,128,300 | 930,400 | 931,500 | 500 | 1,100 | (600)| Accounts payable and other liabilities| 167,000 | 166,900 | 138,200 | 138,200 | (100)| – | (100)| Beneficial interests issued by consolidated VIEs| 66,000 | 66,200 | 77,600 | 77,900 | 200 | 300 | (100)| Long-term debt and junior subordinated deferrable interest debentures| 256,800 | 254,200 | 270,700 | 271,900 | (2,600)| 1,200 | (3,800)| Total liabilities| 1,617,600 | 1,615,600 | 1,416,900 | 1,419,500 | (2,000)| 2,600 | (4,600)| Pretax adjustments before AFS securities and CFH derivatives| ? | ? ? | ? | 2,200 | 300 | 1,900 | Aftertax adjustments before AFS securities and CFH derivatives| ? | ? | ? | ? | ? | ? | 1,140 | Adjustment s for assets and liabilities at FV on balance sheet with gains and losses in OCI| Aftertax adjustment for AFS securities| ? | ? | ? | ? | ? | ? | 1,067 | Aftertax adjustment for CFH derivatives| ? | ? | ? | ? | ? | ? | (279)| Cash flow hedge| ? | ? | ? | ? | ? | ? | (155)| Total adjustment to net income| ? | ? | ? | ? | ? | ? | 1,773 | Net income as per financial statements| ? | ? | ? | ? | ? | ? | 18,976 | Full fair value income with information available| ? ? | ? | ? | ? | ? | 20,749 | Citi Group In $ millions| 2011| 2011| 2010| 2010| 2011| 2010| 2011| ? | Carrying Value| Fair Value| Carrying Value| Fair Value| CURG| CURG| URG| Adjustments for assets and liabilities at HC on balance sheet? | Assets:| ? | ? | ? | ? | ? | ? | ? | Investment| 293,400 | 292,400 | 318,200 | 319,000 | (1,000)| 800 | (1,800)| Loans| 614,600 | 603,900 | 605,500 | 584,300 | (10,700)| (21,200)| 10,500 | Total assets| 908,000 | 896,300 | 923,700 | 903,300 | (11,700)| (20,400)| 8,700 | Liabilities:| ? ? | ? | ? | ? | ? | ? | Deposits| 865,900 | 865,800 | 845,000 | 843,200 | (100)| (1,800)| 1,700 | Long-term debt| 323,500 | 313,800 | 381,200 | 384,500 | (9,700)| 3,300 | (13,000)| Total liabilities| 1,189,400 | 1,179,600 | 1,226,200 | 1,227,700 | (9,800)| 1,500 | (11,300)| Pretax adjustments before AFS securities and CFH derivatives| ? | ? | ? | ? | (1,900)| (21,900)| 20,000 | Aftertax adjustments before AFS securities and CFH derivatives| ? ? | ? | ? | ? | ? | 12,000 | Adjustments for assets and liabilities at FV on balance sheet with gains and losses in OCI| Aftertax adjustment for AFS securities| ? | ? | ? | ? | ? | ? | 2,360 | Cash flow hedge| ? | ? | ? | ? | ? | ? | (170)| Total adjustment to net income| ? | ? | ? | ? | ? | ? | 14,190 | Net income as per financial statements| ? | ? | ? | ? | ? | ? | 11,215 | Full fair value income with information available| ? | ? | ? | ? | ? | ? | 25,405 | Financial Analysis of Bank of America Financial Statement Analysis of Bank of America Group 1 Chen, Yelin Dong, Xiaoxu Gransbach, Jennifer Shuai, Wang Weiss, Charles 1Financial Statements of Bank of America1 1. 1Balance sheet1 1. 2Income statement2 1. 3Regulatory capital ratios2 1. 4Investment portfolio2 1. 5Impact of the FSP FAS 115-2 and FAS 124-2 on OTTI3 1. 5. 1Bank of America3 1. 5. 2JP Morgan Chase3 1. 5. 3Citi Group3 1. 6Netting Financial Instruments3 1. 6. 1Bank of America4 1. 6. 2Comparable banks4 1. 6. 3Analysis of the impact4 2Fair Value Accounting for Financial Instruments4 2. Fair value accounting4 Table 6 Summary of the Fair Value Income5 2. 2Opinions about fair value accounting5 3Interest Rate Risk and Net Interest Earnings6 3. 1Net interest margin6 3. 2Interest rate risk7 4Credit Risk and Losses7 4. 1Main loss reserve adequacy ratios8 4. 2Policy to designate past due loans as non-performing8 4. 3Adequacy of the bank’s allowance for loan losses8 4. 4Disclosure policies relating to loans8 5Appendix9 * Part 1 Financial Statements of Bank of America . 1. 1 Balance sheetBank of America’s balance sheet has total assets of $2,129,046 million in 2011, which is less than last year’s $2,264,909 million, a fairly significant decline. There are a few primary assets on the balance sheet. The largest asset is loans and leases which makes up 41. 92% of the total assets. The next largest asset was Available-For-Sale securities making up 12. 97% of total assets. Total liabilities on the balance sheet were $1,898,945 million, with the primary liability being deposits in U. S. offices both interest bearing and noninterest bearing, at 50. 4% of total liabilities. The next largest liability was long-term debt at 19. % of total liabilities. In millions| 2011| % of total assets| 2010| % of total assets| % chg from 2010-2011| Total asset| 2,029,046 | 100. 00%| 2,264,909 | 100. 00%| -10. 41%| Loans and leases| 892,417 | 43. 98%| 898,555 | 39. 67%| -0. 68%| Available-for-sale| 276,151 | 13. 61%| 337,627 | 14. 91%| -18. 21%| Total liabilities| 1,898,945 | 93. 59%| 2,036,661 | 89. 92%| -6. 76%| Total deposits| 1,033,041 | 50. 91%| 1,010,430 | 44. 61%| 2. 24%| Deposits in U. S. offices| 957,042 | 47. 17%| 930,913 | 41. 10%| 2. 81%| Long-term debt| 372,265 | 18. 35%| 448,431 | 19. 80%| -16. 98%| Leverage ratio| 14. 0 | ? | 8. 92 | ? | 63. 58%| Table 1 Selected Financial Data from Balance Sheet of Bank of America Chase and Citi are fairly similar in size and distribution of their balance sheets. Chase and Citi have total assets of 2,265,792 and 1,873,878( ) respectively, both with slightly lower loans as a percentage of total assets at slightly over 30%, while AFS securities are around 16% of total assets for each. Liabilities are also very similar, with Chase having total liabilities of $2,082,219 million and Citi $1,694,305 million. The primary line items are also very similar once again with Chase’s total deposits 54. 6% and long-term debt 22. 77% of total lia bilities, while Citi has deposits 51. 11% and long-term debt of 19. 09%. According to the deposits in U. S. offices, BOA focus more in U. S market and Citi focus more on market outside U. S. In millions| Bank of America| % of total assets| JP Morgan Chase| % of total assets| Citi Group| % of total assets| Total asset| 2,129,046 | 100. 00%| 2,265,792 | 100. 00%| 1,873,878 | 100. 00%| Loans and leases| 892,417 | 41. 92%| 696,111 | 30. 72%| 617,127 | 32. 93%| Available-for-sale| 276,151 | 12. 97%| 364,793 | 16. 10%| 293,413 | 15. 66%| ? | ? | ? | ? | ? | ? | ? |In millions| Bank of America| % of total liabilities| JP Morgan Chase| % of total liabilities| Citi Group| % of total liabilities| Total liabilities| 1,898,945 | 100. 00%| 2,082,219 | 100. 00%| 1,694,305 | 100. 00%| Total deposits| 1,033,041 | 54. 40%| 1,127,806 | 54. 16%| 865,936 | 51. 11%| Long-term debt| 372,265 | 19. 60%| 256,775 | 22. 77%| 3,235,050 | 190. 94%| Leverage ratio| 8. 25 | ? | 11. 34 | ? | 9. 44 | ? | | | | | | | | In millions| Bank of America| % of total deposits| JP Morgan Chase| % of total deposits| Citi Group| % of total deposits| Deposits in U. S. offices| 957,042 | 92. 64%| 851,534 | 75. 0%| 343,288 | 39. 64%| Table 2 Selected Financial Data from Balance Sheets of Three Banks in 2011 In the event of a bank run, Bank of America will be in trouble due to its high leverage, similar to many banks. Bank of America has deposits of $1,033,041 million, among which liquid assets only have $314,425 million, including cash and cash equivalents of $120,102 million, time deposits and other short-term investments of $26,004 million and trading assets of $169,319 million. Even with the ability to liquidate those non-cash assets, it will still only be able to honor slightly more than 30% of its depositors.Income statement The primary line item on Bank of America’s income statement is net income of $1,446 million, which increased compared to a net loss of 2,238 in 2010. Interest income was $66 ,236 million, down from $75,497 million in 2010. Total interest expense was $21,620 million, which makes the net interest income become $44,616 million, down 13. 4% from the previous year. Lastly, total noninterest income was $48,838 million, decreased by 16. 8% from 2010. This is partly due to the big loss of mortgage banking income, decreasing from $2,734 million in 2010 to $(8,830) million in 2011.Chase and Citi had similar trends, both slightly increasing their bottom line while having net interest income decrease slightly. Regulatory capital ratios 2011| Bank of America| JP Morgan Chase| Citi Group| To be well capitalized| Leverage ratio| 7. 53%| 6. 80%| 7. 19%| 5%| Tier 1 risk-based capital ratio| 12. 40%| 12. 30%| 13. 55%| 6%| Total risk-based| 16. 75%| 15. 40%| 16. 99%| 10%| Table 3 Regulatory Capital Ratios of Three Banks in 2011 In 2011, Bank of America was considered well capitalized for all three regulatory ratios–Tier 1 capital, risk-based capital and leverage.Ba nk of America slightly increased all of its ratios from 2010 to 2011. Its tier 1 capital ratio was 12. 4% while 6% is considered well capitalized, its risk based capital ratio was 16. 75% while 10% is considered well capitalized, and its leverage ratio was 7. 53% while 5% is considered well capitalized. ( Table 4, Table 3) Chase and Citi had very similar ratios to Bank of America. Chase was slightly below Bank of America and Citi for all three ratios but still well above the floor to be well capitalized.Citi had a slightly lower leverage ratio and slightly higher tier 1 capital and risk based capital ratios. Regulatory ratios are fairly important; however there are some issues with them. The ratios are backwards looking, so there could be a large amount of change since in the numbers. There are also lots of adjustments made by the company to the different numbers that make up the ratio that might not even make sense such as ignoring AFS losses. The current risk weighting is also ve ry simplistic currently and might not reflect the actual risk of the assets.One important thing to note is that the newly released Basel III norms by Basel Committee on Banking Supervision (BCBS) would require a higher regulatory capital ratio on banks. It is recommended that Basel III be implemented by January 1, 2015. According to the new rules, the mandatory Tier 1 common capital ratio would be 7%. Banks should maintain conservation buffer of 2. 5% and reserves amounting to 8. 5% of assets. Therefore, in order for Bank of America to meet the future requirements and be well capitalized in face of potential financial meltdowns, it should hold more and better quality capital, carry more liquid ssets, and limit leverage. ( , ) Investment portfolio The net unrealized gains on HTM securities of $177 million = $181 million + ($4) million that have not been recognized in OCI as of the end of 2011 are attributable to HTM securities that have not been deemed other than temporarily (OTT) i mpaired, so that amortized cost is the carrying value. Amortized cost is a highly limited valuation basis for risky securities. There was very little mention of reclassification in Bank of America’s 10-K. There was a mention of a reclassification of $26. billion primarily due to noninterest earning equity securities being moved from trading account assets to other assets, but no mention of anything else. Impact of the FSP FAS 115-2 and FAS 124-2 on OTTI Bank of America According to FSP FAS 115-2 and FAS 124-2, banks are allowed to report non-credit related OTTI in Other Comprehensive Income (OCI). Only credit-related OTTI is recognized in net income. The Total OTTI losses (unrealized and realized) for 2011 is $360 million, and portion of other-than-temporary impairment losses recognized in other comprehensive income is about $61 millions.The net amount is $299 million which is recognized in earnings on AFS debt securities in 2011, compared to $970 million on AFS debt and mark etable equity securities in 2010. When we compute the regulatory Tier One Capital, the unrealized losses on AFS investments are (added back) excluded. Thus, the $61 million is added back to calculate the Tier One Capital. With adding back, Tier 1 risk-based capital ratio is 12. 40% as shown on 2011 Y9C. In absence of adding back, the ratio is (159,231,999-61,000)/ 1,284,466,933=12. 39%. JP Morgan Chase For JP Morgan Chase, the10K shows Total other-than-temporary impairment losses for are 27, 94, nd 946 million for year 2011, 2010 and 2009 respectively. ( ) However, it doesn’t divide these amounts into credit-related portion and non-credit related portion. Based on the other two banks examples, we can infer that the Tier One Capital for JP Morgan Chase will go up after adoption. Citi Group Citigroup also adopted the same rules above in first quarter of 2009. As a result of the FSP, Company’s Consolidated Statement of Income reflects the full impairment on debt securiti es that the Company intends to sell or would more-likely-than-not be required to sell before the expected recovery of the amortized cost basis.As a result of the adoption of the FSP, Citigroup’s income in the first quarter of 2009 was higher by $631 million on a pretax basis ($391 million on an after-tax basis) and AOCI was decreased by a corresponding amount. However, 2011 10K does not gives details about regarding the credit loss component of OTTI in 2011. When we compute the regulatory Tier One Capital for Citigroup, the unrealized losses from non-credit loss component on debt securities are (added back) excluded, which leads to an increase in Tier One Capital.Netting Financial Instruments | Â  | Bank of America| JP Morgan Chase| Citi Group| IFRS(Before netting)| Total assets| 2,130,796| 3,976,317| 2,749,470| | Total debt| 1,900,695| 3,792,742| 2,564,671| | Total equity| 230,101| 183,575| 184,799| | Leverage ratio| 8. 26| 20. 66| 13. 88| GAAP(After netting)| Total assets| 2,129,046| 2,265,792| 1,873,878| | Total debt| 1,898,945| 2,082,219| 1,694,305| | Total equity| 230,101| 183,573| 179,573| | Leverage ratio| 8. 25| 11. 34| 9. 44| Table 4 Netting Adjustments for Three Banks in 2011 Bank of AmericaAccording to Note 4—Derivatives, Bank of America had legally enforceable master netting agreement that would reduce both derivative assets and derivative liabilities by the same amount of 1,749. 9 million, respectively. Moreover, cash collateral was applied to net off derivative assets by 58. 9 million and derivative liabilities by 51. 9 million, respectively. However, the reduction caused by cash collateral wouldn’t affect total assets and total liabilities. If Band of America were to adopt IFRS, it would report higher gross derivative assets and liabilities by an increase of 1,749. million. However, the adjustment (1,749. 9 million) was insignificant compared to Bank of America’s total asset base (2,129,046 million, about 0. 08%). Th erefore, the leverage ratio would only increase slightly due to this change, from 8. 25 under GAAP to 8. 26 under IFRS. Comparable banks J. P. Morgan Chase’s gross derivative assets were offset by 1,710,525 million netting adjustments and gross derivative liabilities by 1,710,523. Such adjustments almost made up of 75% of Chase’s total asset base which is 2,265,792 million.Therefore, if to adopt IFRS, Chase would record a much higher assets and liabilities up to 3,976,317 million and 3,792,742 million, respectively. Leverage ratio, accordingly, would rise from 11. 34 to 20. 66, with an almost doubled increase. Citi Group’s netting adjustments of 875,592 million against derivative assets made up 46. 7% of total assets, and 870,366 million against derivative liabilities made up 33. 9% of total liabilities. When adopting IFRS, Citi would report a higher assets and liabilities, with its leveraging ratio growing from 9. 44 to 13. 88 due to the significant amount of t he netting adjustments. Analysis of the impactFrom the above table, we can see that Bank of America was merely affected by the presentation of netting financial instruments, while the other two banks were greatly affected in terms of leverage ratio. The main reason to such a distinguished difference is that Bank of America had the smallest investment in derivative instruments, compared to Chase and Citi. The gross approach would definitely give a more comprehensive picture of banks’ derivative instruments; however, it would overstate risk to some extent. Market risk of the derivative positions can be better evaluated using the gross presentation which is more detailed.Firstly, net figures are by far more relevant metrics than the gross amounts. Naturally, this comes about from looking to the way that derivatives are traded under an enforceable master netting agreement. The master netting agreement allows for the aggregation of all trades and the replacement by a single net am ount. Secondly, another metric to measure derivative portfolios is volatility which is driven by the risk of open market positions and the potential changes in net asset values and not the size of gross derivatives amounts.Therefore, gross balance sheet amounts are not particularly useful indicators of how much net derivative asset values would have to change before solvency is affected. Finally, as the third most important metric when evaluating the risks, collateral together with cash settlement procedures results in a liquidity profile that is more aligned with net presentation. Collateral amounts further reduce the risks and have to be taken into consideration for reporting derivatives Fair Value Accounting for Financial InstrumentsFair value accounting From table 5 and the three computation tables in Appendix, we can see that under Full Fair Value method, Bank of America’s net income would grow from 1,446 million to 2,750 million, an increase of 90. 2%. Similarly, Citi w ould experience an increase of 128. 2% in net income from 11,067 million to 25,257 million. However, full fair value method had insignificant impact on Chase, with a total adjustment of 1,773 million compared to its pre-adjustment net income of 18,976 million.In millions| Bank of America| JP Morgan Chase| Citi Group| Adjustments for assets and liabilities at HC on balance sheet| 6,127 | 1,140 | 12,000 | Adjustments for assets and liabilities at FV on balance sheet with gains and losses in OCI| -4,819 | 633 | 2,190 | Total adjustment| 1,308 | 1,773 | 14,190 | Net income as per financial statements| 1,446 | 18,976 | 11,215 | Full fair value income with information available| 2,754 | 20,749 | 25,405 | * Table 5 Summary of the Fair Value IncomeAnother thing to note is that BOA stands out as it had a significant unrealized loss of 4,819 million on AFS, while its comparable banks, Chase and Citi, had a positive gain of 633 million and 2,190 million, respectively. Based on our analysis, su ch difference was driven by the following factors. (1). According to its disclosure, Bank of America recognized $299 million of other-than-temporary impairment (OTTI) losses in earnings on AFS debt securities in 2011 compared to $970 million on AFS debt and marketable equity securities in 2010, which contributes greatly in such a large amount of unrealized loss on AFS.The recognition of OTTI losses on AFS debt and marketable equity securities is based on a variety of factors, including the length of time and extent to which the market value has been less than amortized cost, the financial condition of the issuer of the security including credit ratings and any specific events affecting the operations of the issuer, underlying assets that collateralize the debt security, other industry and macroeconomic conditions, and management’s intent and ability to hold the security to recovery. (2).According to its disclosure, Bank of America presents debt securities purchased for longer term investment purposes which are as part of asset and liability management (ALM) and other strategic activities, as available-for-sale (AFS) securities, and report these securities at fair value with net unrealized gains and losses included in accumulated OCI. In 2011, the fair value of net ALM contracts decreased $7. 9 billion to a gain of $4. 7 billion, compared to $12. 6 billion in 2010. The decrease was primarily attributable to changes in the value of U. S. dollar-denominated pay-fixed interest rate swaps of $9. billion, foreign exchange contracts of $1. 8 billion and foreign exchange basis swaps of $1. 4 billion. The decrease was partially offset by a gain from the changes in the value of U. S. dollar-denominated receive-fixed interest rate swaps of $6. 6 billion. Opinions about fair value accounting Fair Value Accounting has many advantages and disadvantages as listed below. FVA advantages include the following: FVA depicts a clearer picture of the company’s financi al situation, as it provides an accurate asset and liability valuation as the prices are reflected in the market price.Fair value accounting limits managers’ ability to manipulate the reported net income, as the gains and losses are reported in the period they occur, not when they are realized as the result of a transaction. For Level 1 & 2, the price for financial instruments, are available in a liquid market. While under amortized accounting method, firms can manage their income through the selective realization of cumulative unrealized gains and losses on positions, an activity referred to as gains trading.FVA provides investors with more accurate, timely, and comparable financial information versus other alternative accounting approaches, even during extreme market conditions. Gains & losses resulting from changes in fair value estimates indicate economic events that companies and investors may find worthy of additional disclosures. Under amortized accounting, income typi cally is persistent for as long as firms hold positions, but becomes transitory when positions mature or are disposed of and firms replace them with new positions at current market terms.Disadvantages of FVA include: The price for certain assets and liabilities may fluctuate often, resulting in higher volatility than other accounting methods. When the market is volatile, the price for financial instruments may change a lot, so companies may recognize gains/losses. This volatility of earnings would make it more difficult for users to predict future performance and make regulatory capital ratio vary dramatically across periods. A solution for this disadvantage is regulatory capital should be delinked from fair value and reported by using historic cost information.After the market stabilizes, the price may change back to the normal level. Not every asset or liability can be easily fair valued. For financial instruments in level 3, there is no fair value in the liquidity market. Manager s need model to estimate the value of financial instruments in level 3. Using fair value accounting may have adverse effect on a down market. Companies may sell some financial instruments whose value decreased because of the drop in the current market price. They may not realize the drop without the fair value accounting.The market may stabilize over time, and the price for the financial instruments will return to their normal level. Another issue with fair value accounting is that when the market for instruments freezes up and there’s no liquidity in the market, financial instruments would have to be valued by using mark-to-model which in many situations are not reliable and transparent to investors. A solution to this is that regulators provide more specific guidance on how to determine fair value for financial statements.Disclosure requirements would include disclosure of fair value of all financial instruments along with method adopted to determine fair values, any signif icant assumptions used in their estimation, some indications of the sensitivity of the estimated fair value to these assumptions, and discussion of risk exposure and issues associated with the estimation of fair value. In addition, fair value accounting has very significant feedback effects, especially during financial crisis.Fair value accounting would further contribute to the deterioration in the value of a company’s financial instruments or assets and make it more difficult for companies to recover from the crisis. Recommendation here is that in special situations, regulators would allow companies that face severe crisis to adopt other accounting methods temporarily and minimize the loss of these companies. In summary, fair value has both advantages and disadvantages under today’s economy. FVA provides better insight of the financial statements, in ddition to limiting the potential for manipulation. However, in my opinion, under today’s economy situation, it is hard to fully implement the fair value accounting. Every disadvantage has proposed solutions to resolve the issues identified. Overall, FVA is recommended for use. Interest Rate Risk and Net Interest Earnings Net interest margin The net interest yield on a FTE basis was 2. 48 percent for 2011 compared to 2. 78 percent for 2010. Net interest income on a FTE basis decreased $7. 1 billion in 2011 to $45. 6 billion. The decline was primarily due to: (1).There’s a noticeable decrease in the yield on consumer loans from 6. 04% in 2010 to 5. 37% in 2011, which reduces net interest income by about 4,244 million (633,507 million * 0. 57%). * Debt securities and residential mortgage mainly contributed to the decline. The yield rate for debt securities decreased from 3. 66% to 2. 85%, and the residential mortgage from 4. 78% to 4. 18%. (2). Noninterest income declined from the previous year due to lower mortgage banking income, reflecting$11. 6 billion in representations and warrant ies costs and decline of $3. billion income from trading account profits. Noninterest income being the major source of Bank of America's income drastically impacts the profitability of the company. (3). In 2011 Bank of America had a decreased investment security yields, including the acceleration of purchase premium amortization from an increase in modeled prepayment expectations, and increased hedge ineffectiveness. (4). Bank of America’s declining net interest margin was partially offset by ongoing reductions in its debt footprint and lower rates paid on deposits.The total U. S interest-bearing deposits had an average yield of 0. 36%, compared to 0. 55% in 2008. Such downward trend in net interest margin can be observed in other banks as well. The following table presents total interest-earning assets rate and total interest-bearing liabilities for all three banks over 2009 to 2011. As shown, all banks experienced a decline in interest-earning assets rate over three years: 1) BOA from 4. 31% in 2009 to 3. 65% in 2011, with an average decrease of 8% every year; 2) Chase from 4. 04% to 3. 1%, with an average decrease of 6. 8%; 3) Citi from 4. 78% to 4. 27%, with an average decrease of 5. 5%. The main reasons for the other two banks’ declining net interest margin were higher deposit balances with lower loan yields. | Bank of America| JP Morgan Chase| Citi Group| | 2011| 2010| 2009| 2011| 2010| 2009| 2011| 2010| 2009| Total interest-earning assets rate| 3. 65%| 4. 02%| 4. 31%| 3. 51%| 3. 83%| 4. 04%| 4. 27%| 4. 55%| 4. 78%| Total interest-bearing liabilities| 1. 39%| 1. 39%| 1. 77%| 0. 86%| 0. 84%| 1. 02%| 1. 63%| 1. 61%| 1. 3%| Table 6 Net Interest Margin of Three Banks Interest rate risk BOA’s net interest income decreased by $2,122 million in 2011 and $998 million in 2010 from a 1% downward parallel shift in interest rate. 1% downward change in interest rate results in a bigger decrease in net interest income in 2011 than in 2010. However , according Chase’s 10K, downward 100bps parallel shocks result in a Federal Funds target rate of zero and negative three- and six-month treasury rates. The earnings-at-risk results of such a low-probability scenario are not meaningful.For Citi, a 100 bps decrease in interest rates would imply negative rates for the yield curve, so not meaningful either. 1% downward shift| 2011| 2010| BOA| ($2,122)| ($998)| JP Morgan Chase| NM| NM| Citi Group| NM| NM| Table 7 The Impact of 1% downward shift on Net Interest Income BOA’s net interest income would increase by $1,505 million in 2011 and $601 million in 2010 from a 1% upward parallel shift in interest rate. The same as downward change, 1% upward change in interest rate also would result in a bigger increase in the net interest income in 2011 than in 2010.Compared with BOA, 1% upward shift in interest rate has a bigger impact for Chase and smaller impact for Citi. 1% upward shift| 2011| 2010| Bank of America| $1,505 | $601 | JP Morgan Chase| $2,326 | $1,483 | Citi Group| $97 | ($105)| Table 8 The Impact of 1% Upward Shift on Net Interest Income Credit Risk and Losses Main loss reserve adequacy ratios Policy to designate past due loans as non-performing Adequacy of the bank’s allowance for loan losses Disclosure policies relating to loans Appendix BOAIn $ millions| 2011| 2011| 2010| 2010| 2011| 2010| 2011| ? | Carrying Value| Fair Value| Carrying Value| Fair Value| CURG| CURG| URG| Adjustments for assets and liabilities at HC on balance sheet| Assets:| ? | ? | ? | ? | ? | ? | ? | Held-to maturity debt securities| 35,265 | 35,442 | 427 | 427 | 177 | – | 177 | Loans| 870,520 | 843,392 | 876,739 | 861,695 | (27,128)| (15,044)| (12,084)| Total assets| 905,785 | 878,834 | 877,166 | 862,122 | (26,951)| (15,044)| (11,907)| Liabilities:| ? ? | ? | ? | ? | ? | ? | Deposits| 1,033,041 | 1,033,248 | 1,010,430 | 1,010,460 | 207 | 30 | 177 | Long-term debt| 372,265 | 343,211 | 448,431 | 441,672 | (29,0 54)| (6,759)| (22,295)| Total liabilities| 1,405,306 | 1,376,459 | 1,458,861 | 1,452,132 | (28,847)| (6,729)| (22,118)| Pretax adjustments before AFS securities and CFH derivatives| ? | ? | ? | ? | 1,896 | (8,315)| 10,211 | Aftertax adjustments before AFS securities and CFH derivatives| ? | ? | ? | ? | ? ? | 6,127 | Adjustments for assets and liabilities at FV on balance sheet with gains and losses in OCI? | Aftertax adjustment for AFS securities| ? | ? | ? | ? | ? | ? | (4,270)| Aftertax adjustment for CFH derivatives| ? | ? | ? | ? | ? | ? | (549)| Total adjustment to net income| ? | ? | ? | ? | ? | ? | 1,308 | Net income as per financial statements| ? | ? | ? | ? | ? | ? | 1,446 | Full fair value income with information available| ? | ? | ? | ? | ? | ? | 2,754 | JP Morgan ChaseIn $ millions| 2011| 2011| 2010| 2010| 2011| 2010| 2011| ? | Carrying Value| Fair Value| Carrying Value| Fair Value| CURG| CURG| URG| Adjustments for assets and liabilities at HC on balance sheet| Assets:| ? | ? | ? | ? | ? | ? | ? | Loans| 696,100 | 695,800 | 660,700 | 663,500 | (300)| 2,800 | (3,100)| Other| 66,300 | 66,800 | 64,900 | 65,000 | 500 | 100 | 400 | Total assets| 762,400 | 762,600 | 725,600 | 728,500 | 200 | 2,900 | (2,700)| Liabilities:| ? | ? | ? | ? | ? | ? | ? |Deposits| 1,127,800 | 1,128,300 | 930,400 | 931,500 | 500 | 1,100 | (600)| Accounts payable and other liabilities| 167,000 | 166,900 | 138,200 | 138,200 | (100)| – | (100)| Beneficial interests issued by consolidated VIEs| 66,000 | 66,200 | 77,600 | 77,900 | 200 | 300 | (100)| Long-term debt and junior subordinated deferrable interest debentures| 256,800 | 254,200 | 270,700 | 271,900 | (2,600)| 1,200 | (3,800)| Total liabilities| 1,617,600 | 1,615,600 | 1,416,900 | 1,419,500 | (2,000)| 2,600 | (4,600)| Pretax adjustments before AFS securities and CFH derivatives| ? | ? ? | ? | 2,200 | 300 | 1,900 | Aftertax adjustments before AFS securities and CFH derivatives| ? | ? | ? | ? | ? | ? | 1,140 | Adjustment s for assets and liabilities at FV on balance sheet with gains and losses in OCI| Aftertax adjustment for AFS securities| ? | ? | ? | ? | ? | ? | 1,067 | Aftertax adjustment for CFH derivatives| ? | ? | ? | ? | ? | ? | (279)| Cash flow hedge| ? | ? | ? | ? | ? | ? | (155)| Total adjustment to net income| ? | ? | ? | ? | ? | ? | 1,773 | Net income as per financial statements| ? | ? | ? | ? | ? | ? | 18,976 | Full fair value income with information available| ? ? | ? | ? | ? | ? | 20,749 | Citi Group In $ millions| 2011| 2011| 2010| 2010| 2011| 2010| 2011| ? | Carrying Value| Fair Value| Carrying Value| Fair Value| CURG| CURG| URG| Adjustments for assets and liabilities at HC on balance sheet? | Assets:| ? | ? | ? | ? | ? | ? | ? | Investment| 293,400 | 292,400 | 318,200 | 319,000 | (1,000)| 800 | (1,800)| Loans| 614,600 | 603,900 | 605,500 | 584,300 | (10,700)| (21,200)| 10,500 | Total assets| 908,000 | 896,300 | 923,700 | 903,300 | (11,700)| (20,400)| 8,700 | Liabilities:| ? ? | ? | ? | ? | ? | ? | Deposits| 865,900 | 865,800 | 845,000 | 843,200 | (100)| (1,800)| 1,700 | Long-term debt| 323,500 | 313,800 | 381,200 | 384,500 | (9,700)| 3,300 | (13,000)| Total liabilities| 1,189,400 | 1,179,600 | 1,226,200 | 1,227,700 | (9,800)| 1,500 | (11,300)| Pretax adjustments before AFS securities and CFH derivatives| ? | ? | ? | ? | (1,900)| (21,900)| 20,000 | Aftertax adjustments before AFS securities and CFH derivatives| ? ? | ? | ? | ? | ? | 12,000 | Adjustments for assets and liabilities at FV on balance sheet with gains and losses in OCI| Aftertax adjustment for AFS securities| ? | ? | ? | ? | ? | ? | 2,360 | Cash flow hedge| ? | ? | ? | ? | ? | ? | (170)| Total adjustment to net income| ? | ? | ? | ? | ? | ? | 14,190 | Net income as per financial statements| ? | ? | ? | ? | ? | ? | 11,215 | Full fair value income with information available| ? | ? | ? | ? | ? | ? | 25,405 |