Nick’s View That Gatsby Essay

How far do you agree with Nick’s view that Gatsby is â€Å"worth the whole damn bunch put together†? The title character of The Great Gatsby is a young man, around thirty years old, who rose from an impoverished childhood in rural North Dakota to become fabulously wealthy. Indeed, Gatsby has become famous around New York for the elaborate parties held every weekend at his mansion, ostentatious spectacles to which people long to be invited. And yet, Nick Carraway’s description of the protagonist asserts that Gatsby seems curiously out of place among the ‘whole damn bunch’ which inhabit this lavish, showy world. Indeed, despite the aura of criminality surrounding his occupation, his love and loyalty to Daisy Buchanan and ultimately his capacity to dream, set him apart from the inhabitants of East Egg and West Egg. A key criticism made in Nick’s first person, self-aware and retrospective narration is that the ‘whole damn bunch’ entertained by Gatsby lives in extravagance. In Chapter Three, comparative adjectives and adverbs allude to the idea that the parties they attend grow ever increasingly lavish; the narrator expresses how ‘laughter is easier’, an ‘opera of voices pitches a key higher’ and ‘groups change more quickly’. In fact, the sheer scale of the operation required to keep them excited is emphasised by details that Nick gives, including ‘a machine in the kitchen which could extract the juice of two hundred oranges in half an hour if a little button was pressed two hundred times by a butler’s thumb.’ But the ‘vacuous bursts of laughter’ and the dancing ‘in eternal graceless circles’ lend a degree of artificiality to the proceedings. Indeed, the tone of the narration reveals another major shortcoming, suggesting that this outward show of opulence by the inhabitants of West Egg and East Egg is used to cover up their inner corruption and moral decay. This decadence is first exemplified by the length of festivities. Nick states that after ‘the first supper’, ‘there would be another one after midnight.’ Society’s moral compass seems to invert completely, Nick ironically asserting that there were ‘two deplorably sober men’. Being drunk appears to be proper behaviour at such a party. Moreover, Fitzgerald’s comical use of voice suggests that being sober is more than just frowned upon, ‘their highly indignant wives’ exclaiming that they ‘have never heard anything so selfish in my life.’ But other guests contribute to this air of corruption; for example, the predatory nature of ‘Young Englishmen’ selling bonds is stressed by anaphora: ‘all well-dressed, all looking a little bit hungry, and all talking in low, earnest voices to solid and prosperous Americans.’ Such obsession with money is further emphasised by musical language and assonance; they were ‘agonizingly aware of the easy money and convinced that it was theirs for a few words in the right key.’ And as time passes, such vices become ever more apparent. Increasingly ‘women were now having fights with men said to be their husbands’, ‘said to be’ suggesting that some may have brought mistresses rather than partners. Nick observes one man philandering with ‘a young actress’, with his wife present. Her anger is humorously emphasised by simile, the narrator comparing her to ‘an angry diamond’. She ‘broke down entirely and resorted to flank attacks’, reduced to hissing into his ear, ‘You promised!’ By the end, the function had turned into ‘violent confusion’. Fitzgerald’s use of characterisation also emphasises the flaws of those immediately around Gatsby, Tom Buchanan in particular. Tom is Daisy’s husband, an extremely wealthy man, a brute, and an athlete. And his vices become apparent from the beginning of the book. His ignorance is brought out when he praises the ridiculous notions of ‘The Rise of the Coloured Empires’ that ‘the white race’, which is ‘the dominant race’ has to ‘watch out or other races will have control of things.’ The way he refers to it as ‘science and art, and all that’ and ‘scientific stuff’ only undermines his racist viewpoints even further. But more importantly, Tom is deeply immoral, Jordan Baker informing the narrator that ‘Tom’s got some woman in New York’. Nick is so incensed by Tom’s affair that his ‘own instinct was to telephone immediately for the police’. In fact, only a few months after their wedding, he appears to have had a fling with ‘one of the chambermaids in the Santa Barbara Hotel’. This series of affairs must have caused his wife some emotional damage. He does not even turn up to the birth of their daughter, Daisy casually informing Nick that ‘Tom was God knows where.’ In this way, Tom is neither attentive nor sensitive towards Daisy, especially in contrast with Gatsby. But Tom is not just unscrupulous but abusive. When Nick meets him in Chapter One, he asserts that he had ‘a cruel body’ which was ‘always leaning aggressively forward.’ And though Carraway never sees him being violent with his wife, there are hints of his unbridled physicality when Daisy reveals a bruise on her finger that, although accidental, was caused by that ‘brute of a man’. She says ‘accusingly’ that ‘you did it, Tom’. But the brutal streak really comes across when Tom is with his mistress. ‘With a short, deft movement’ he ‘broke her nose with his open hand.’ But the title character too has his flaws. Like ‘the whole damn bunch’, Gatsby lives extravagantly, replacing a guest’s damaged dress with one costing ‘two hundred and sixty-five dollars’. And like ‘the whole damn bunch’, he has made unethical choices, in his case in acquiring his fortune. Speculation among his guests first alludes to such decisions, Fitzgerald using the method of choric voices. Although various theories that ‘he killed a man once’ or that ‘he was a German spy during the war’ may appear unrealistic, later speculation, from Tom Buchanan in particular, does start to blemish Nick’s idealised conception of Gatsby. When they first meet, Tom presumes that Gatsby is ‘some big bootlegger’. This assumption may not be wrong, the antagonist discovering that Gatsby ‘and Wolfshiem bought up a lot of side-street drug-stores here and in Chicago and sold grain alcohol over the counter’. In this way, though Nick never quite finds out what Gatsby did for a living, his greatest vice appears to be the source of his income. But while Tom’s report would never be objective, Fitzgerald’s characterisation of Wolfsheim also hints at the aura of criminality surrounding Gatsby. The author’s use of voice emphasises the gambler’s sleaze, pronouncing ‘connection’ as ‘gonnegtion’ and ‘Oxford’ as ‘Oggsford’. But he also appears sinister, wearing ‘cuff’ buttons made of ‘human molars’. Wolfsheim’s criminality is confirmed when Gatsby informs Nick that ‘he’s the man who fixed the World’s Series back in 1919.’ But the gambler may be involved in more dangerous activities than simply fixing baseball matches. Wolfsheim’s own dialogue suggests that he has experience in activities where men end up dead, explaining to Nick that ‘when a man gets killed I never like to get mixed up in it in any way. I keep out.’ The mysterious phone calls which Gatsby receives in no way vindicate him either. His reunion with Daisy is interrupted by one such call, the use of ellipses adding a sense of secrecy to his subsequent conversation: ‘Yes †¦ Well, I can’t talk now †¦ I can’t talk now, old sport †¦ I said a small town †¦Ã¢â‚¬â„¢ The confidential nature of the suggested business dealing may imply that Gatsby’s work is not legitimate. In fact, only after Gatsby’s death does he find out what would be said on the other end of the line. When Nick is mistaken for the title character, ‘Slagle’ rapidly explains that ‘Young Parke’s in trouble’ and that ‘they picked him up when he handed the bonds over the counter.’ Words such as ‘trouble’ and ‘picked him up’ suggest that one of Gatsby’s subordinates may have landed himself on the wrong side of the law. Furthermore, the ‘frightened’ nature of Gatsby’s so-called ‘friend’ Klipspringer again alludes to the criminality of Gatsby’s business acquaintances. Over the telephone, Klipspringer even ‘demanded to know who I was before he would give his name.’ For such reasons, when Wolfsheim recalls how close he and Gatsby were, ‘thick like that in everything’, the narrator ‘wondered if this partnership had included the World’s Series transaction in 1919.’ Such implications about the way Gatsby has accrued his fortune also expose his deceit. In fact, early in the plot the title character lies to Carraway by saying that his wealth was inherited, that he is ‘the son of some wealthy people in the Middle West – all dead now.’ He also states that he was ‘brought up in America but educated at Oxford, because all my ancestors have been educated there for many years.’ In reality Gatsby rose from an impoverished childhood in rural North Dakota. His dishonesty is closely linked to his lack of authenticity. Indeed, Nick notices the manufactured aspects of his personality, put on to promote the image of the ‘Oxford’ man which he claims to be. The writer’s use of voice underlines his slightly forced characteristics. These include his affected accent – ‘an elaborate formality of speech’ which ‘just missed being absurd’ and his habit of calling people ‘old sport’. Moreover, Fitzgerald’s use of scene and place, his library specifically, alludes to the idea that he is not genuine. Owl-Eyes, one of his invited guests, is surprised that the millionaire’s books are ‘absolutely real – have pages and everything’, rather than being made out of ‘nice durable cardboard.’ This reaction implies a belief that so much about him is fake. Even when he realises its authenticity, Owl-Eyes compares him to ‘a regular Belasco’, a Broadway producer known for the realism of his sets. Thus, though he is putting on act, this theatrical persona which he has mastered is still a very convincing act. Indeed, The novel’s title itself – ‘The Great Gatsby’ – is suggestive of the sort of vaudeville billing for a performer or magician like ‘The Great Houdini’, again subtly emphasising the showy and perhaps illusory quality of Gatsby’s life. But despite both the nature of his work and this theatrical quality, Nick still suggests that Gatsby does not share the same level of moral decadence as the ‘whole damn bunch’ in his circle. Chapter Three serves to separate his personality from that of his guests. Anaphora underlines how he remains an outsider at his own function, Nick asserting that ‘no one swooned backward on Gatsby, and no French bob touched Gatsby’s shoulder, and no singing quartets were formed with Gatsby’s head for one link.’ Antithesis also contrasts Gatsby from the company he entertains; while ‘no one swooned backward on Gatsby’, girls were ‘swooning backward playfully into men’s arms’ Indeed, unlike the decadents he entertains, ‘he grew more correct as fraternal hilarity increased’. Gatsby’s acquaintances also reveal his merits. Meyer Wolfsheim stresses the basic nobility which defines his character, telling Carraway that he is ‘a man of fine breeding’, ‘the kind of man you’d like to take home and introduce to your mother and sister.’ Moreover, before the funeral, Gatsby’s father also underlines his son’s good nature by stating that ‘ever since he made a success he was very generous with me’. But he also reveals Gatsby’s great ambition and desire for self-improvement. Mr Gatz tells Nick that ‘Jimmy was bound to get ahead. He always had some resolves like this or something’ and that he placed great emphasis on ‘improving his mind’. Indeed, the ‘schedule’ – including activities such as ‘dumbell exercise and wall-scaling’, ‘study electricity’, ‘practise elocution, poise and how to attain it‘ and ‘study n eeded inventions’ – which he made ‘when he was a boy’ reveals that even before he knew what he wanted to be, Gatsby always desired to make something of himself. Furthermore, Chapter Five serves to explain that his method of acquiring millions of dollars, his lavish weekly parties and lifestyle and his manufactured persona are all merely means to a more worthy end. This end is winning back Daisy Buchanan. Indeed, in contrast with Tom’s cruel and unthoughtful treatment of his wife, Nick characterises Gatsby most of all with the admirable qualities of love for and loyalty to her. The title character’s speech alludes to his attempts to ensure that the reunion is perfect, the man asking Nick whether he has ‘got everything you need’. He specifically checks the day’s forecast in the hope that sunshine will emerge during the reunion, informing Nick that ‘they thought the rain would stop about four.’ The writer also uses scenes and places to enhance Gatsby’s need for perfection. For example, the reunion takes place at Nick’s house, perhaps reflecting how Gatsby wanted to meet the love of his life in a more secluded and romantic environment than his gaudy mansion. But Gatsby may also have organised the reunion at Nick’s house to impress Daisy, to give her a view of his ‘huge place’. He himself proclaims that his ‘house looks well’. However, the use of a first-person, self-conscious and retrospective narrator emphasises his efforts most of all. Gatsby almost redecorates Nick’s place, not only sending a man ‘over to cut my grass’ – to make sure the lawn outside was smart – but also adorning the interior with flowers, ‘with innumerable receptacles’. Hyperbole emphasises the extent of this renovation, as if a whole ‘greenhouse arrived.’ Further in the chapter, the author underlines the intensity of his love by presenting Nick’s speculation about Gatsby’s intentions as Gatsby’s actual thoughts. When Daisy goes from Nick’s place to her lover’s, Nick states: ‘I think he revalued everything in his house according to the measure of response it drew from her well-loved eyes’, as if everything he has ever bought or owned has been simply to please her. Moreover, Gatsby’s decision to take the blame for Daisy over the death of Myrtle Wilson – telling Nick that ‘I’ll say I was’ driving – demonstrates the deep love he still feels for her and illustrates the basic nobility that defines his character. The image of a pitiable Gatsby keeping watch outside her house while she and Tom sit comfortably within is an indelible image that allows the reader to look past Gatsby’s criminality. Indeed, the fact that he wants ‘to wait here till Daisy goes to bed’, to protect her even after it appears that Daisy is not going to leave Tom, is a final testament to his undying love for her. Nick leaves Gatsby to watch over Daisy, as if his ‘presence marred the sacredness of the vigil’, the last statement suggesting that his devotion has moved to the extremes of religious worship. And yet, Nick’s final criticism of Gatsby questions the realism of such deep and uncompromising devotion. The parallels between his love for Daisy and religious worship – the title character ‘consumed with wonder at her presence’ – suggest that Gatsby, a man who stakes everything on his ‘dreams’, now appears to have dreamed too big. Even at the beginning of their reunion, Nick recognises the unrealistic nature of his ‘dream’. The way Fitzgerald presents Nick’s speculation about Gatsby’s intentions as Gatsby’s actual thoughts helps demonstrate that ‘there must have been moments even that afternoon when Daisy tumbled short of his dreams’. Although Daisy possesses a number of virtues, although it is ‘not her own fault’, even she cannot match Gatsby’s ‘dream’. The narrator suggests that his ‘dream’ was so alive, that ‘his illusion’ had such a ‘colossal vitality’, that ‘it had gone beyond her, beyond everything.’ The repetition of ‘beyond’ emphasises that she cannot live up to Gatsby’s idealised expectations. The author’s use of poetic prose further emphasises how much the man has romanticized her. Indeed, metaphor likens Gatsby to an artist who decks his image ‘with every bright feather that drifted his way’, with every possible virtue. The alliteration of ‘f’ in the narration emphasises how permanent this idealised image has become, Nick asserting that ‘no amount of fire or freshness can challenge it’. Indeed, he expects too much, wanting ‘nothing less of Daisy than that she should go to Tom and say: ‘I never loved you.’ Tragically such expectations lead Daisy to change her mind, breaking down under his own pressure in Chapter Seven, exclaiming to Gatsby that ‘you want too much!’ But in Chapter Eight, Nick goes a step further, suggesting that Daisy, the object of his ‘dream’ is unworthy of his power of dreaming. Fitzgerald’s use of time and sequence, the narrative switching to Gatsby’s ‘story of his youth’, emphasises the influence of Daisy’s wealth and privilege on Gatsby. The narrator states that ‘her porch was bright with the bought luxury of star-shine’, and that she ‘vanished into her rich house, into her rich, full life’, the repetition of ‘rich’ reflecting the aura of affluence which Gatsby is drawn to. Indeed, it becomes clear that Gatsby idolises both wealth and Daisy, the title character almost quantifying her, the fact that many men already loved Daisy increasing ‘her value in his eyes’. Indeed, his attraction to Daisy may be caused in part because of what she represents, the exclusive upper class which he aspires to be a part of. Daisy thus appears almost shallow and fickle, and because she is the focus of Gatsby’s life, his dream is simply reduced to a motivation for material gain. After Gatsby’s death, Nick writes that Gatsby must have realized â€Å"what a grotesque thing a rose is.† The rose has been a conventional symbol of beauty. Nick suggests that roses aren’t inherently beautiful, and that people only view them that way because they choose to do so. Daisy is â€Å"grotesque† in the same way: Gatsby has invested her with beauty and meaning by making her the object of his dream. Had Gatsby not imbued her with such value, Daisy would be simply an idle, bored, rich young woman with no particular moral strength or loyalty. But this capacity to ‘dream’, this ceaseless effort to recreate the past, reflects the vitality and optimism which Nick most respects about Gatsby. The active narrator first notices this quality when they meet in Chapter Three. Fitzgerald’s use of first person, self-aware and narration reveals Gatsby’s rare ability to make anyone he smiles at feel as though he has chosen that person out of ‘the whole external world’; it reflects that person’s most optimistic conception of him or herself. His smile ‘believed in you as you would like to believe in yourself’ and ‘assured you that it had precisely the impression of you that, at your best, you hoped to convey.’ And because of such ability to hope, when Gatsby waves goodbye to his guests, Nick emphasises the contrast between the immorality of his work and the virtue of his motivation. While ‘they guessed at his corruption’, ‘he had stood on those st eps, concealing his incorruptible dream’. Nick alludes to such undying hope in the last lines of the novel, the narrator strolling along Gatbsy’s lawn one final time, just as the title character had done when Nick first sees him in Chapter One. And as he sprawls out on the beach behind Gatsby’s house, he muses that Gatsby had failed to realize that even before his reunion with Daisy, his dream had already ended, ‘that it was already behind him’, and that his goals had become hollow and empty. But though this dream had ‘eluded us then’, Nick envisions that people everywhere are motivated by similar dreams and that ‘tomorrow we will run faster, stretch out our arms further’. In this way, though there is an ambiguity over whether men such as Gatsby will ever reach their ‘dream’ – Fitzgerald leaving the phrase, ‘and one fine morning -’, open-ended – Nick Carraway recognises that the importance lies not in reaching the ‘dreamâ€℠¢ but in refusing to lose heart. In the same way, Gatsby’s own audacity and nobility of spirit to dream of creating a radically different future for himself, to dream of a life with Daisy, never let up. This is why one can agree with Nick’s viewpoint to a great extent. Even though his dream ends in failure – because his methods are criminal, because he can never gain acceptance into the American aristocracy, and because his new identity is largely a theatrical act – his deep-rooted ambition, his loyalty to Daisy and, uniting the two together, the strength of his capacity to dream, are what set him above the members of West Egg and East Egg. Gatsby is a visionary. This is why he is â€Å"worth the whole damn bunch put together†.

Myth of Model Family

Myth of the Model Family The image of the model family is breathtaking, a housewife-mother, a breadwinner father, a couple of kids and a pet or two. This is the dream of most Americans but at the same time is a cliche. â€Å"The â€Å"traditional† family†¦ has existed for little more than two hundred years† (18). This idea has been so widely accepted due to the attention that it has received in the media. Like Gary Soto in â€Å"Looking for Work† the perfect family misleads people into thinking what is truth and what is fiction.Of course the truth is that there is no such thing as the â€Å"perfect† family. One family cannot represent all the variation of families all around the world. The universal nuclear family is the same with the stay-at-home mother, the breadwinner father, a couple of children and maybe a pet or two. Preferably, people would like to see what a family should be or act like, but not everyone is the same. Each and every culture is different, with each of them having there own definition or idea of what the model family is like.In Soto’s â€Å"Looking for Work† the story is about a child's expectance of a family life filled with love and comforts, which is contrast with his real working class family life. In the story Soto, back at the age of nine, dreams to live is a life where his family is straightforward in there routine. Soto lived in a working class family that had only a breadwinner mother and three children. There was no mention of a father. Over the years there has been the question of who has the authority in an American family. It used to be the male of the family who had the most authority.Over the years, that has slowly changed. As in Soto’s story he lives with his mom and no mention of a dad. Today there are families that have two fathers or two mothers or only one of each and not the other. The idea of the â€Å"perfect† model family is so widely accepted, due to the attention that it receives in the media. So the idea of two fathers, or two mothers, is a rare thing to see on a television show. But who in the media decides what a family is? The media has a lot of influence over what we think a family is.For example, Soto’s idea of his family being perfect came from him watching Father Knows Best. It gave him the idea that there is a certain way a family should act that he â€Å"so much wanted to imitate it† (26). Every one has his or hers own definition of what a family is. Soto’s idea of a family, was given by the media, not his own idea. In Soto’s family there was a difference between the American family and other families. Soto’s family ate â€Å"beans and tortillas in the stifling heat of [the] kitchen† (27). A perfect family would have turkey for dinner and apple pie for desert. Related essay: â€Å"Realism and Expressionism in Death of a Salesman†Like Soto we often see other people’s families differently than we see our own. In other words people can be â€Å"blinded† to the truth of a family. People have said that a person deprived of sight â€Å"see† what the naked eye can’t. Yet they may not have the physical sight but have another kind of vision. The vision of seeing what they want to see. Many Americans only see what they want to see and not what is really there. This in turn goes back to the media who gives us this picture of what is and what should be rather than what really is.In conclusion the perfect family is nothing other than a dream that Americans have. The dream if not having to worry about the image that they give off or the way they act. Ultimately there are many myths about the perfect family, but it is up to the person to choose whether to follow some ones vision of a family, or to follow their own views of a family. One way or another a family is a family, no matter the family members because each family is special or â€Å"perfect† in their own way.

Mobile Technology Evolution and Its Influence on the Society

Mobile phones have long ago ceased being mere means of communication. Nowadays they quite successfully perform a much greater number of functions and as they evolutionize their impact on the society grows. Over the past few years mobile technology has shown steady and significant improvement. Mobile evolution has introduced new revolutionary features, some of which were unimaginable not too long ago. Driven by the slogan â€Å"If you can dream it, you can do it†, the 3G mobile phone manufacturers strive to make their products as sophisticated as possible, constantly updating the software, features and multimedia services (Take, Sopan). At this point it seems that there’s always way to perfection. The fact that mobile phones at this point are already saturated with impressive features makes further improvement challenging, and therefore even more desirable. The fact that one can get seemless and fast Internet connection on his phone is very appealing and much appreciated by the mobile phone users. GPS service is also among the latest and the most popular features available in 3G mobile phones (Willison, Simon). Another feature which seems to be a must for any phone is built-in camera. The quality of the pictures and video taken with the help of a tiny camera integrated in the mobile phone seems truly extraordinary and at times can even beat the quality provided by bigger cameras. As mobile evolution continues, the phones become more and more compact at the same time providing an increasing number of fascinating features. Constant struggle for improvement manifests the desire of mobile phone manufacturers to keep up with the relentless progress, which brings under the spotlight the most revolutionary and innovative products. There’s no denying the fact that such impressive improvements in mobile technology infallibly evoke acute interest not only in those, who closely monitor every technological invention, but also in the general public. Efficient marketing programs and overall popularity of certain mobile phone manufacturers, such as Nokia, lead to strong enthusiam among the people when a new model is about to be released. An illustrative example of the ultimate excitement over a new mobile phone model is the release of the Apple iPhone (Barylick, Chris, Honan, Matthew). The fact that hundreds of people spent days and nights in the street led by the desire to be among the first to get the dream-phone is very telling of the great place mobile phones have secured for themselves in our hearts and minds. Nowadays, a mobile phone is far more that a way to stay in touch. It is a symbol of status, taste and fashion consciousness of its owner. A new impressive mobile phone evokes respect while an obsolete one may call status into question. In conclusion, as mobile phones become more and more complex, their influence increases. People depend on their mobile phones for much more than just calls and text messages. One can hardly deny the importance of mobile phones, which have become an inseparable part of our everyday lives. They have even gone as far as to define their owner as a person. Works Cited 1. Barylick, Chris, Honan, Matthew. iPhone release brings out the crowds. June 26 2007. 2. Emily. Samsung, Armani to Launch ‘Armani Phone'. July 24, 2007 3. Richardson, Michael. Mobile Phone Becomes Status Symbol. 6 May 1994. Herald Tribune/News. 4. Take, Sopan. Evolution of the Mobile Technology. July 19 2004. Science and Technology. (http://www.buzzle.com/editorials/7-18-2004-56792.asp> 5. Wellman, Steven. Take 5: The Evolution Of The Mobile Phone User Experience. April 24 2007. The Information Week/Consumer/Personal Tech: Mobile. 6. Willison, Simon. New A-GPS service for Nokia phones. 6 August 2007.

Management Accounting Essay Example | Topics and Well Written Essays - 1000 words - 8

Management Accounting - Essay Example This affects the costs and consequently affects the profits. Therefore, the company should use ABC costing method in order to obtain the correct overhead costs for products XYI, YZT and ABW. This is because ABC takes into account more than one cost driver into account. It is more accurate since it assigns costs to products and traces all activities and assigns them to products by using multiple cost drivers. ABC (activity based costing) is the costing method that is currently trending in the world. It has received credit for correcting deficiencies that existed in the traditional system. It is seen as the best costing method available for managers that operate various departments since they are able to assign costs to their products more accurately. However, ABC has received a lot of criticism due to its failures experienced in large operations. Managers of these large firms have termed it difficult to implement and maintain. Activity based costing does not offer the managers with accurate and timely information for decision-making. Activity based cost systems that are used in large-operational firms have proved to provide managers with out-of-date and inaccurate information. This is due to the huge amount of data to be collected. In addition, there is delay in the data to be collected. For instance, in a larger firm, it will require about 110 departments to submit their reports periodically. This makes the process time-consuming since it will take time for the system to calculate the costs for its numerous activities. The time-consuming process has resulted to the companies doing away with the ABC or ceasing to update their systems. This leads to out-of-date and inaccurate information provided to the managers by the ABC systems (Kaplan and Anderson, 2014). Universally, ABC has received resistance. This is evidenced by the annual survey carried out that ranked ABC position 2 after median. This has led to some companies abandoning ABC or failing to adopt

Data Structure Using C++ Essay Example | Topics and Well Written Essays - 2000 words

Data Structure Using C++ - Essay Example In the context of the above brief discussion, Big O notation can be defined as a description of the growth rate of the order of a function T(N) as N becomes very large (Ellard 1997). In C++, the only difference between classes and structures is that all the members and base classes in structure are public by default, whereas, classes have private members and base classes by default. Dynamic Objects are those objects whose lifetimes are independent of the existence of the scope in which they were created and therefore, they give programmers a greater flexibility in managing the objects (Kafura 1996). In C++, a dynamic object can be created using a â€Å"new† operator which returns a pointer to a newly constructed object. On the other hand, to destruct a dynamic object in C++, a â€Å"delete† operator is used which takes an argument of a pointer variable that holds the pointer to the object that is returned by the â€Å"new† operator at the time of creating a dynamic object (Kafura 1996). The free store is a dynamic memory area which is available to allocate (by using the â€Å"new† operator) and deallocate (by using the â€Å"delete† operator) storage for objects during the execution of the program. A â€Å"null pointer† is a special kind of pointer which is distinguishable from all other pointer values and is not the address of any object or function. It is used to refer to the pointer which is â€Å"not allocated† or â€Å"not pointing anywhere yet†. However, it is important to note that a null pointer is not the same as an uninitialized value (Summit 1994). (a) A destructors is the special kind of function with the same name as its class prefixed by a ~ (tilde) which is called for a class object to deallocate memory and do other cleanup for a class object and its class members when the object passes out of scope or is explicitly deleted. For example: An AVL tree, also called height balanced, is

FabIndias Entry in Australian Market Table of Contents Essay

FabIndias Entry in Australian Market Table of Contents - Essay Example This report stresses that FabIndia is India-based apparel manufacturing and retailing organisation. Apart from the manufacturing and retailing apparels, the company also offers health care and home care products. However, the unique selling proposition of the company is that it offers the apparels made of the Indian traditional techniques and fabrics. Its products are mainly manufactured in the rural areas of India where India's traditional handicrafts skilled people are available. In this process, the FabIndia has offered a significant amount of employment in rural India. On the other hand, it also gets skilled labours and other raw material as must lower cost, and hence, it is also able to offer its products at a much lower cost by targeting the middle income group of people. This paper declares that the primary product offered by FabIndia is its hand woven and printed clothes and hence, the focus on this section will be on the apparels retailing in Australia. Australian clothing and textile industry is highly developed due to availability of high quality raw materials and necessary support from the government. However, after free trade agreement with the counties like China, U.S. etc competition in the textile manufacturing has intensified significantly. Most of foreign textile traders offer their products in products by importing from their respective countries. The competition in the Australian textile industry is mainly dominated by the foreign traders and the most prominent competitors are the traders from New Zealand followed by China and Italy.

Women Colleges Coursework Example | Topics and Well Written Essays - 250 words

Women Colleges - Coursework Example Originally steeped towards providing education in the liberal arts (Kiss, 2006), these colleges offer educational opportunities that equal that offered to boys in the men’s colleges. Women’s colleges, especially southern women colleges, were attended mostly by white women; however, black women’s colleges sprang up in the post-Civil War years that significantly contributed to the advancement of the educational opportunities of the black women (Guy-Sheftall, 1982). For instance, Bennett College, an originally co-ed institution, was converted into a liberal art college for black women. Unlike it precursors, the seminaries, which were restricted to women from the upper class, the mid- and late- 19 century women’s colleges were opened to women from the middle classes (Harwarth, Maline, & DeBra, 1999). Indeed, women from the middle class were able to afford a decorous education probably due to increase in philanthropic gestures from donors. The liberation of wom en from their traditional role in the post World War II years led to a corresponding increased in the role of women in the academia and in government (Harwarth, Maline, & DeBra, 1999).

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

Speech - Essay Example rnaments such as a silver ax, silver knife, silver pepper, silver flowers, and silver rings and silver knife is of paramount importance to the people of Korea. There are a variety of ornamental knives, such as ornamental silver knife, which illustrate the distinct culture of the nation. It was the practice for men to wear an enclosed ornamental knife hanging from their belt and it was of special meaning to the women belonging to this cultural background. There are also ceremonies in which foreign heads of party and state who visit Korea are presented with a sheathed ornamental silver knife as a sign of welcome, respect, friendship, and unity to the people of other cultures. The ornamental silver knife, which was an accessory for women, was also a symbol of their virginity and purity. In his book Seeds of the Willow Chong K. Lewe mentions this cultural ornament, when he talks about his mother. â€Å"My mother also always had on her an Embroidered Silk Pouch with strings, which was he r Purse, and a Pocket Knife about six inches long with about a quarter inch diameter cylindrical (oval) handle. The Case and the Handle were made of Silver with Silk strings tied around the Case. It also had Ornamental Carvings on the Handle and the Case. The Knife had a Blade about three inches long. I still have the Knife in my Desk Drawer. It was an old Korean Custom that elderly ladies always wear these Accessories with their Traditional Korean Dresses.† (Lewe, 261) Therefore, the ornamental silver knife illustrates one of the most striking aspects of Korean Culture which has been celebrated for the continuation of similar practices and customs. The encased ornamental knife in the culture of Korea is known as the Unjangdo which refers to a variety of ornamental knives made in Korea since the Choson dynasty and the prefix â€Å"un† refers to silver, which is used in the manufacture of this knife. â€Å"The name â€Å"Jangdo† appeared during the early Choson (1392 -1905) period.   During

Comparison Paper between Don Quixote from Cervantes and Bouvard and Essay

Comparison Paper between Don Quixote from Cervantes and Bouvard and Pecucher by Flaubert - Essay Example The importance of failure in both books is used to show this human attribute and the beliefs which many have surrounding their own lives and with the failure that is achieved. With this approach by both authors, one is able to create a different understanding of what it means to succeed or fail at different tasks. Structure of the Book The first technique which is used in Don Quixote and Bouvard and Pecucher is the use of failure that is acquired through the structure of the book. Both of the books have a main focus of providing comedy in the book while creating a specific relationship to the book through the continuous quest in which the characters are on. In Don Quixote, the individual quests never amount to anything. Either the character leaves the area, loses the battle or decides not to complete the mission. This is combined with the structure leading to the understanding that the plot line does not exist. These different components show the idea of failure specifically from the viewpoint of the character and with the structure of the book, which continuously diverts from any type of success on the journey. A similar path is taken with Bouvard and Pecucher. The structure focuses on both of the characters not being able to achieve anything throughout the book. ... This creates the understanding of failure based on the actions which they take as well as the perceptions which they hold. The character of Don Quixote shows this with the viewpoints that he holds and the intellectual relationship which he holds to the adventures which he goes on. The failure of the character occurs first through the difficulties with the quests that are never achieved and which don’t reach the end goal. For instance, the knight’s ailments and mishaps continue to remain a theme after dealing with others, such as youth and peasants, during his travels. â€Å"Nor was Don Quixote less so, for what with blows and bruises he could not sit upright on the ass, and from time to time he sent up sighs to heaven, so that once more he drove the peasant to ask what ailed him. And it could have been only the devil himself that put his head tales to match his own adventures† (Cervantes, 53). This passage shows the reality of Don Quixote, specifically which shou ld have the character of a knight who is able to overcome the difficulties and problems with the missions which he has been given. However, he is instead approached with ailments and the inability to win different battles while recognizing that the adventures which he has taken are not realistic to what he has heard. The continuation of failure is one that is also noted in the characters of Bouvard and Pecucher, specifically through their decision to take an intellectual quest to determine their righteousness in different situations. The different situations which they become a part of do not lead to any answers. More important, they always fail at winning the arguments or conversations that are a part of the

Employer's Liability Essay Example | Topics and Well Written Essays - 3000 words

Employer's Liability - Essay Example Before analyzing the prosecution procedures against the companies it is desirable to know more about the criminal law under which these companies can be brought for justice regarding the injury and death. The criminal law is not only concerned with compensation between offender and victim but also with compensation orders and other reparative ideas conniving themselves as a regular adjunct of sentencing options. The criminal law is an ideological function, that it makes statements about the boundaries of tolerated behaviour. Arguments about deterrence may have fallen from favor as regards the punishment of individual offenders, but corporate bodies may be more susceptible to it. There is not a simple, linear relationship between the enforcement of criminal laws and perceptions of wrongful behaviour. Criminalization ,in its broadest sense is a complex and often fragmented process and any role which criminal laws have in relation to safety will reflect and reproduce, as well as create, attitudes to risk. (Wells,C)(3) A company is a legal person which can only act or form an intention through its directors or employees. Companies must have at least one director and a secretary and the company's Articles will authorize the directors or others to act on behalf of the company or to delegate those powers. A company is legally separate both from those individuals who are entrusted with acting on its behalf and also of course from all its employees who may carry out tasks in the course of their employment which can be regarded for some purposes as the tasks of the company. A company can commit offences ranging from the relatively trivial to the serious. It should be sufficient that there is evidence against the director or officer. Directors and officers can also be criminally liable as aid and abettors of the company's crimes or of the crimes of their fellow directors. The existing offense A company's liability may be established by a) Vicarious liability for the acts of a company's employees/agents. b) Non-vicarious liability by reason of the identification principle including offences requiring mens rea a) Vicarious Liability In Mousell Bros Ltd v London and North Western Ry Co [1917]2K.B. 836 (4)it was held that a corporate/company employer is vicariously liable for the acts of its employees and agents where a natural person would be similarly liable .Here it is to be remembered that it may require mens rea, yet impose vicarious responsibility. On the contrary, it may create strict liability without imposing vicarious liability

Globalization in Egypt and India Essay Example | Topics and Well Written Essays - 750 words

Globalization in Egypt and India - Essay Example With the invasion of foreigners in the 19th century, everything changed hands. Not only were local leaderships surrendered into the hands of Europeans, the Egyptian land was also taken (Khalid, 2009). During the colonial period, Egypt was transformed in that the education systems, farm-level irrigation projects, and economic growth were all improved. These were later left in the hands of Egyptians once they strove for independence that they attained (Mahmoud, 2009). India. Before globalization took place in India, the country was undeveloped. Technology was not much developed and business or commerce was relatively underdeveloped. In addition, people with skilled expertise were few. Internet and email facilities were altogether a dream but this was during that period when Indians used to be just one country and one culture. With time, Indians started experiencing foreign influence. Presently, India is culturally diversified. This has led into some of the impacts that come from differ ent cultures. Almost sixteen per cent of universal population lives in India with over 826 languages. The country is growing and it has 225 cities. Those who took part in the globalization of India include Aryans, Turks, Greeks, Afghans, Muslims, Europeans, Portuguese, Dutch, French, and the English. Aryans, Turks, Greeks, Afghans, and Muslims came with invading armies to colonize the country. Europeans, Portuguese, Dutch, French and the English came with less violent but powerful approaches. Regardless of the way these foreigners came to India, their coming was intentional because those who used arms in their coming had intentions of transforming the country either positively or negatively. The influence impacted in this country was both direct and indirect. It was direct because foreigners came to dwell there. Television is the most dominant way through which India has undergone globalization. This is because television was launched in the country in 1950s and became widespread in 1980s. This has impacted people there through programs that they watch. Because this process was taking place in the Indian cities, youths migrated from rural areas to urban areas in search of jobs created by these foreign cultures leaving the elderly to depend on their own. This is a negative impact of globalization in the country. Other negative impacts were moral decay as people intermingled with foreigners to learn their cultures; divorce rates became very high especially in cities, pregnancy cases with teenagers are very dominant with teenage abortions rising by 20 percent in every year. This is according to a report by the ministry of health in Indian government. Indian traditional dresses have been displaced by western dresses more especially in urban areas. This has been due to the influence of social media and other forms of print or electronic media. Child labor is increasing in the country with more than 115 million children working despite the Indian constitution prohib iting child labor. A significant number of children work in informal sectors. Suicides which are dowry related, sexual abuse, and prostitution have been on an increase due to the negative impacts of globalization brought about by influence from other culture coupled with changing societal trends. The positive impacts of globalization in India include the fact that women have been empowered through being incorporated into the

HRM policies in support of organizational objectives Essay Example for Free

HRM policies in support of organizational objectives Essay Employee role for achieving organizational objectives is based on several factors. Each factor is either interrelated to other or may have direct impact on employee performance considering strategic HRM policies. Rewards play a very important role in influencing employee behavior towards meeting organizational goals and increasing their motivational level that positively supports organizational commitment. Different jobs have diversifying demands for the offering of benefits to employees depending on the constituencies of each benefit system. However, employees focus on goals achievement behavior and thus adopt a comprehensive policy for providing benefits to employees. These benefits include on-service perks and bonuses off-service compensation packages in the form of different pension plans. Benefits and rewards system affect a set of individual factors that in combine enable the organization to implement their strategic HRM policies as for supporting organizational objectives. It must be ensured that these benefits and compensation system complies the equity principle thus increasing the harmony and address the recognition, employee rights, motivation, behavioral control, and employee performance management issues. These benefits are directly dependant on the type of the job and employee demands. Younger employees are seem to be more oriented towards higher pay earnings whereas old employees show long term return concern in terms of pension and retirement packages. Implementation of strategic HRM policies in organization becomes great challenge due to resistance by employees as such policies also concern change management in uncertain market conditions. Companies offer numerous benefits such as annual bonuses, perks, overtime allowances, plussage, premia, and other incentives either based on individual performance or group performance. Such bonuses are essential if companies aim at getting benefit from the skills and services of employees for longer term, due to unique skills and potential capability to grow in organization in future. Overtime allowances and premia are essential to motivate the employees for working in odd working timings or more than the usual working hours. In order to support short run operations of firm such allowances enable policy makers to achieve objectives through effective utilization of HRM policies. In order to classify the performance of employee in manufacturing concern firms performance based bay deem appropriate facilitating rewarding the employees based on the results and goals achieved. Concerning the goal based approach, performance based pay is productive to regulate and motivate employees towards achieving higher productive outcomes measured in terms of quantifiable objectives. In contrast to that, skill based pay supports the strategic HRM policy implementation when organizations are unable to classify the objectives in real terms; objectives are set based on the viability of employees to achieve through utilizing their skills qualitative in nature. It must be ensured that skills based rewards require assessing the monetary rewards considering the impact of business growth expansion. Positively valuing the competency of employee increases the motivation level and subsequently results in greater organization commitment. However, this pay system is not suitable to achieve organization objectives in rapidly changing working environment as specific skills become obsolete due to inadequacy to conform latest business requirement. Strategic HRM policies aimed at assessing the potential opportunities for firm in long term by involvement of employees in decision making thus setting the common goal set as corporate objective. Pension plans offer more convenience to firms when they need to retain employees for longer duration; thus in order to profound the policies on regulating employees, pension plans convey the focus towards increasing employee performance aligning to organizational objectives. Occupational pension schemes in addition to state pension scheme offers employee recognition based on their service duration; proper conveying the return outcome to employees especially who are more oriented towards organization goals achievement and shows higher level organizational commitment. Group personal schemes in addition to state pension scheme increases the capability of organization for delivery of HRM policies to sustain in market for longer duration; employees involvement in such programs shows the willingness of employees to understand the organization objectives and potential capability associating to aligning behavior and driving the employees in a particular directional objectives of organization. In addition to pension benefits to permanent employees of organization, adjoining compensation packages and rewards giving the allowances such as sick pay, overtime allowances, and fringe benefits in the form of premia, special compensation for higher research studies, and providing utility facilities such as company maintained cars, employee health insurance, medical allowance, providing company maintained house for specific number of employees. These rewards affect the intrinsic motivational factors of employees due to trust of company being shown in employees by offering various forms of rewards and benefits; classifies the ability to deliver strategic HRM policies based on the situation need and ability of employees of conform. Flexible benefits given to employees are more suitable due to its convenience in practical implication in driving employees’ behavior pertaining to the objectives setting and long term goals achievement. HRM policies must deliver the clear information to employees for the related expectation and demands that address the organization goal setting and strategies adopted to achieve such goals.

Socio Cultural Environment Line With Its Sustainability Drive Marketing Essay

Socio Cultural Environment Line With Its Sustainability Drive Marketing Essay Abstract This is a case study on Unilever business strategy. It would seek to analyze the strategic position of the group with the help of SWOT, PEST and BCG Matrix models. The paper would critically assess the competitive situation of the company in relation to other major product based companies in the market and companys financial performance and key issues. In the end it would submit few recommendations. The case study is my first effort towards analyzing the business strategy of Unilever and its success in the market. Since Unilever is so famous and its products so widely used all over the world, it is of great interest for me to carry out a case study on its business strategy. The paper would greatly help me and the readers to understand some key issues concerning Unilever in todays business world. Introduction 2.1. About Unilever Unilever is a multi-national corporation, formed of Anglo-Dutch parentage that owns many of the worlds consumer product brands in foods, beverages, cleaning agents and personal care products. Unilever employs nearly 180,000 people and had worldwide revenue of almost à ¢Ã¢â‚¬Å¡Ã‚ ¬40 billion in 2005. Unilever is a dual-listed company consisting of Unilever NV in Rotterdam, Netherlands and Unilever PLC in London, England. This arrangement is similar to that of Reed Elsevier and that of Royal Dutch Shell prior to their unified structure. Both Unilever companies have the same directors and effectively operate as a single business. The current non-executive Chairman of Unilever N.V. and PLC is Michael Treschow while P Mr Paul Polman is the Group Chief Executive. The company is widely listed on the worlds stock exchanges (About Unilever: 2008). 2.2. History Unilever was founded in 1930 through merger by the British, Lever Brother; and the Dutch, Margarine Unie; now Unilever PLC in London, U.K and Unilever N.V in Rotterdam, Netherlands respectively. In 1872 before the merger, Jurgens and Van den Bergh, the Dutch, built factory in Netherlands for the production of Margarine made from milk and fact. In 1927, they formed Margarine Unie (margarine Union) together with two European Businesses, Centre and Schicht. Lever Co on the other hand was founded in 1884 by British William Hesketh Lever and his brother, James, and was producing soap Sunlight soap for people in England especially for women. William Lever wrote: to make cleanliness commonplace; to lessen work for women; to foster health and contribute to personal attractiveness, that life may be more enjoyable and rewarding for the people who use our products. In 1890, Lever Co become limited company known as Lever Brothers (Uhomhoabhi, Fredrick Albert: 2008) Unilever, Unilever N.V and Unilever PLC comprise Unilever group. Both companies have the same directors. Its annual turnover in 2005 was à ¢Ã¢â‚¬Å¡Ã‚ ¬39.672 billion and employs206, 000 employees around the world.1 Unilever brands consist of Food, Beverage, and Home and Personal Care. Some of these products are Knorr, Breyers and Magnum, Lipton, Omo (detergent) etc. Knorr has the biggest sales of à ¢Ã¢â‚¬Å¡Ã‚ ¬2.3 billon in 2005.In May 2007 it became the first tea company to commit to sourcing all its tea in a sustainable manner, asking the Rainforest Alliance, an international environmental NGO, to start certifying its tea estates in East Africa. It declared its aim to have all Lipton Yellow Label and PG Tips tea bags sold in Western Europe certified by 2010, followed by all Lipton tea bags globally by 2015. Covalence, an ethical reputation ranking agency, placed Unilever at the top of its ranking based on positive versus negative news coverage for 2007. In 2008 Unilever was honor ed at the 59th Annual Technology Engineering Emmy Awards for Outstanding Achievement in Advanced Media Technology for Creation and Distribution of Interactive Commercial Advertising Delivered through Digital Set Top Boxes for its program Axe. Strategic position of the company The strategic position of the company shall be analyzed through following techniques: 3.1. S.W.O.T Analysis The overall evaluation of a companys strengths, weaknesses, opportunities, and threats is called SWOT analysis. In general, a business unit has to monitor key macro environment forces (demographic-economic, technological, political-legal, and social-cultural) and significant microenvironment actors (customers, competitors, distributors, suppliers) that affect its ability to earn profits. The business unit should set up a marketing intelligence system to track tends and important developments. For each trend or development, management needs to identify the associated opportunities and threats. Strengths Recognized as a global company. Strong brand portfolio. Strong relationship with retailers Economies of scale. Corporate social behavior Variety of products Weaknesses Dual leadership Limited costumer connection Inefficient management of brands Inability to maximize acquisitions Lack of control in the market Reduced spending on RD Opportunities Changing consumer preferences Increasing need for healthy products Low income consumers Rapid increase in population Threats Decrease in revenue Strong competition(PG) Tougher business climate Exchange rates Economic crisis Increase in production and labor cost 3.2. BCG Matrix Stars(High market growth share) Lux Sunsilk Walls ice cream Fair lovely Rafhan Energile AXE Vasline PG tips Dogs(Low market growth share) Wheel detergent Supreme tea Lifebuoy shampoo Cash cows(Low growth High share) Surf excel Ponds Lipton Close up Blue band Dove soap Rexona Knorr Question marks(High growth low share) Clear shampoo Rin Comfort Ben Jerrys Persil 3.3. PESTEL Analysis 3.3.1. Political/Legal environment Unilever, as a matter of policy, set a standard as to the way of tackling political issues. Unilever has its tactical way of handling political issues. First, in the 1960s, many countries began to nationalize foreign firms which also affected Unilever. This was a call for local equity participation in foreign firms. Thus, so many companies were subject to local control on prices, imports, employment of expatriates and so on. As a result of the adverse effect of nationalization policy, in the 1970, many US companies e.g. IBM and coca cola left India. There was fear by foreign companies uncertain issues such as knowledge leakage, loss of trademark etc. this was also hazardous for Unilever as its control over operation in the market was reduced. For example UAC, a subsidiary of Unilever, whose operation was in many African countries (Cameroon, Ghana, Ivory Coast, Nigeria, etc.), was focused on as its profit margin and rate of easy remittance of profit to its Anglo-Dutch parent was enorm ous. Nationalizing UA Chambered Unilevers control over the market where UAC operates. However, Unilever uses its experience and goodwill to make contacts in many countries to bargain with government so as to modify their regulations. In central and south America, Unilever only engaged in lobbying rather than active politicking. In other words, Unilever never get involved in sponsoring political parties. Today, Unilever has gained political ground using its tactical strategy and experience. Unilever is a member of many organizations all over the world. The aim is to create favorable business environment, and also facilitate corporate reputation management. 3.3.2. Economic environment Unilever market environment is becoming highly competitive especially in the Western Europe. Procter Gamble (PG) is one of the major competitors in the European market. More so, there are so many discounters in the European market resulting from EU free trade policy. This has had adverse effect on Unilevers profit potentials. Retailers are pressurizing FMCG producers to reduce prices of their products. Consumers on the other hand would not want to buy expensive product or brands due to current economic tide. Competition in EU has grown so strong that Unilever is facing difficulties in places like France, Netherlands. In the developing countries and the emerging economies (Asia and Africa), where there are political instability, Unilever has adopted its company strategy to ensure that its profitability drive is sustained. Some Products are packaged in small size for low or regular income earner, for affordability. In some developing countries, Nigeria to be precise, there was uncertainty about duties to be paid by companies due to inflation and fluctuation of currency. The effect on Unilever was a decrease in profit in 2005 compared to 2004, though there was increase in turnover. 3.3.3. Socio-cultural environment Unilever has continued to maintain momentum in its socio-cultural environment in line with its sustainability drive. The company is working relentlessly to bring improve hygiene and better nutrition to people in Asia, Africa and Latin America, especially the poor and obesity. Over 30% of Africa population lives on less than $1 per day. By this, Unilever strengthens it goodwill. However, the low literacy of consumers affects marketing vehicles such as advertisement in print media. This therefore requires employment of more resources, for instance to enhance face-to-face communication. Besides, Unilever employs about 100 nationalities. It ensures that diversity works for everybody both employees and consumer alike. In order to achieve and ensure that diversity works amongst employees, Unilever employed the strategy of so as to manage and leverage diversity. Unilever is focused on building an exclusive culture and embracing difference, which resulted in high demand of its products in th e developing and emerging markets. 3.3.4. Technological environment Right in the 1930s, Unilever continue to diversify. Business continue to boom in the1950s with new technology being invented to boast production and enhance quality products for consumer, competitors improving their products using new inventions. Unilever did not give up its effort in RD. Since 2000, Unilever has been spending on IT to improve its business especially in the area of e-business so as to improve brands communication and market through internet, making transaction simple along chain. Today, Unilever is trying to minimize cost through IT efficiencies at global level. In addition, Unilever Technology Venture works in collaboration with Unilever RD group to help Unilever meet consumers needs. Area of concern is genomics, advanced bioscience, advanced materials science and nanotechnology. In 2003, Unilever installed and commissioned pallet live storage system from Bitto Storage System Ltd. This was meant to store its frozen products. The facilities include: pallet live storage systems, carton live storage systems, pallet racking, boltless shelving, plastic bins and containers, wide span and heavy load shelving, cantilever racking, and multi-tier shelving systems. 3.3.5. Environment In recognition of local legislation and to keep its corporate responsibilities, Unilever designed management system. Unilever has respect for consumer health and safety. This policy is to ensure all Unilever operators establish a formal environmental management system. Training programs are being arranged in various regions/business groups to ensure compliance with the company Standard for Occupational Health and Safety Environmental Care (SHE). This framework is based on the ISO 14001 management standard. Unilever had also worked in conjunction with government of countries of its operation as regards waste management. For instance in Ghana, 2004, over 21 tones of wastes were supplied to small and medium size recycling businesses in Accra, Ghana, by Unilever to reduce the amount of plastic waste sent to landfill. Financial performance Underlying sales growth of 7.4% was partly offset by movements in exchange rates (4.8%) and the net impact of disposals and acquisitions (1.4%). Including these effects, turnover was à ¢Ã¢â‚¬Å¡Ã‚ ¬40,523 million for the full year, increasing by 0.8%. Operating profit increased by à ¢Ã¢â‚¬Å¡Ã‚ ¬1,922 million to à ¢Ã¢â‚¬Å¡Ã‚ ¬7,167 million, including a higher level of profits on business disposals. These generated a pre-tax profit of à ¢Ã¢â‚¬Å¡Ã‚ ¬2,190 million in 2008, compared with à ¢Ã¢â‚¬Å¡Ã‚ ¬297 million in 2007. Net profit was 28% higher than last year, boosted by the profits on disposals. Earnings per share were à ¢Ã¢â‚¬Å¡Ã‚ ¬1.79, including a net gain of à ¢Ã¢â‚¬Å¡Ã‚ ¬0.36 from RDIs. This compared with à ¢Ã¢â‚¬Å¡Ã‚ ¬1.35 last year, which included a net loss of à ¢Ã¢â‚¬Å¡Ã‚ ¬0.07 from RDIs.Net cash flow from operations at à ¢Ã¢â‚¬Å¡Ã‚ ¬3.9 billion was in line with last year. Total cash returns to shareholders in the year wereà ¢Ã¢â‚¬Å¡Ã‚ ¬3.6 billion, made up of à ¢Ã¢â‚¬Å¡Ã‚ ¬2.1 billion of dividends and à ¢Ã¢â‚¬Å¡Ã‚ ¬1.5 billion of share buy-backs. 4.1. Consolidated income statement (Highlights for the year ended 31 December) à ¢Ã¢â‚¬Å¡Ã‚ ¬ Million 2008 2007 Turnover 40 523 40 187 Operating profit 7 167 5 245 Profit before taxation 7 129 5 184 Taxation (1 844) (1 128) Net profit from continuing operations 5 285 4 056 Net profit 5 285 4 136 Combined earnings per share from total operations à ¢Ã¢â‚¬Å¡Ã‚ ¬1.79 à ¢Ã¢â‚¬Å¡Ã‚ ¬1.35 4.2. Consolidated balance sheet (As at 31 December) à ¢Ã¢â‚¬Å¡Ã‚ ¬ Million 2008 2007 Non-current assets 24 967 27 374 Current assets 11 175 9 928 Current liabilities (13 800) (13 559) Total assets less current liabilities 22 342 23 743 Non-current liabilities 11 970 10 924 Shareholders equity 9 948 12 387 Minority interests 424 432 Total capital employed 22 342 23 743 4.3. Consolidated cash flow statement (For the year ended 31 December) à ¢Ã¢â‚¬Å¡Ã‚ ¬ Million 2008 2007 Net cash flow from operating activities 3 871 3 876 Net cash flow from/ (used in) investing activities 1 415 (623) Net cash flow from/ (used in) financing activities (3 130) (3 009) Net increase/ (decrease) in cash and cash equivalents 2 156 244 Cash and cash equivalents at 1 January 901 710 Effect of foreign exchange rate changes (697) (53) Cash and cash equivalents at 31 December 2 360 901 4.4. Financial Objectives Unilevers ambition is to top Third Total Shareholder Return, over a 3 year rolling period out of peer group of 20 other companies. Its outlook for year 2010 is: à ¢Ã¢â€š ¬Ã‚ ¢ Un-geared free cash flow in the period 2005-2010 to be à ¢Ã¢â‚¬Å¡Ã‚ ¬25-30bn. à ¢Ã¢â€š ¬Ã‚ ¢ Improvement in Return on Invested Capital. à ¢Ã¢â€š ¬Ã‚ ¢ Underlying sales growth of 3-5% p.a. à ¢Ã¢â€š ¬Ã‚ ¢ Operating margin of over 15% by 2010 after normal restructuring. à ¢Ã¢â€š ¬Ã‚ ¢ Improved capital and tax efficiency. Market share and competition 5.1. Top Unilever Competitors Company Location Proctor Gamble Cincinnati,OH Kraft Foods Northfield, IL Nestle Vevey, Switzerland 5.2. Competitor Comparison Unilever P G Kraft Nestle Top Segment C/G Foods Consumer Care Food Food Top Brand Dove Tide Mac Cheese KitKat CEO A.Burgmans A.G.Lefley R.Deromedi P.Letmathe Stock per share $66.03 $53.76 $30.70 $66.90 Growth 15.55% 9.25% 8.2% 11.23% Revenues $42.942m $28.2BL $31,010m $69.BL Revenue Growth -11.93% 19% 4.3% -1.93% International 100+ 42 150+ 86 Business Segments 3 5 5 6 Employees 234000 110000 10600 253000 (Source: Hoovers business Intelligence guide) 5.3. Category position in the market Strategic Issues Following are some of the key strategic issues which Unilever faces today: 6.1. Leadership Unilever maintains two business entities i.e. Unilever PLC and Unilever N.V. Due to dual chairperson approach; it faces following problems in their business strategy: List stock separately Shared board of directors Typical management; wear two, three hats Conflict in Board and Business responsibilities Company remains fragmented Reduced effectiveness Slow decision making process( Bureaucracy) Unilever believer (believe in Unilever) Unilever should create a sense of belief amongst its consumers. It should try and focus on program that focuses on brand initiative to the consumers. Use advertising that connects with consumer needs: Consumers demand high quality products that are both convenient and delicious Consumers look for new ways to use the product Large population of single parent house hold More females are working full-time jobs Increase consumer focus on health and nutrition Strategy Justification 7.1. Recommendation 1 Make an initiative to create an overall umbrella brand across all Unilevers brands that will eventually consolidate various businesses under one name. Unilever Plc Unilever NV One Unilever Provides a greater clarity of leadership, responsibility, and accountability Allows Unilever to focus on the needs of their customers and consumers thus reigniting growth and increasing sales potential Provides the ability to leverage scale of operations Create a strategic platform for brand management Recommendation 2 It should implement Unilever Believer product and brand extensions. The related example in this case is of Lipton tea. It should try and create an extension to this famous brand by focusing on energy drinks. Justifications are: Energy drinks jumped 56% in sales last year Market has exceed $100 million in the recent years Main Competitor: Red Bull Positioning Statement: A Healthier Alternative to Energy Drinks Unilever should cash in this opportunity by: Target Market: Young adults 18-32 Uses: stay up all night and/or start a night out Main Ingredients: Caffeine, Vitamin B, Guarana Advertisements: Highlight healthier ingredients of the product while showcasing its ability to give energy and revitalize body

Elie and Marion Wiesel Night | Book

Elie and Marion Wiesel Night | Book Night The title suggests a clear setting of the nighttime and in a symbolic way the setting is during a time as dark and long as the night. Elie Wiesel lived through a time in world history that is so sinister many people refuse to believe it could have even happened. The Holocaust, World War II, Nazi Germany invasion of Eastern Europe countries, all are the setting and background story for Elie Wiesel firsthand account of surviving it all written in his book Night. Starting in Sighet, Transylvania â€Å"a small village that didn’t even make the maps† (Birthplace) Elie, his family, and many other Jews felt safe. They were far from the action in 1941 living their normal lives. The years passed and the Nazi threat grew closer their daily routines were changed, they were forced to move, to wear a star, and finally to be transported in 1944 to Auschwitz a German concentration camp, the largest of the death camps. (Auschwitz-Birkenau) Arriving at Birkenau men and women were separated as soon as they exited the train. In the moment so many families and loved ones were looking at each other for the last time, and none had the foresight to even know it. The same was true for Elie, â€Å"I didn’t know that this was the moment or the place where I was leaving my mother and Tzipora forever.† (Wiesel p.29) In the night (around midnight) Elie and his family were in Birkenau in the year 1944 and for two family members this was also their final resting place. It stands out to me how human nature is portrayed in the experience in this book. Even as they were separated from families, beaten, yelled at, seemingly marched to their death in the crematoria, told to strip, shaved, marched around camp, made to stand in the elements, and all the while smelling the stink of burning human flesh, they were still able to share joy when finding friends in the same place as you, in holding a family members hand because at least you weren’t alone, and having a moral boost after some sleep. (Wiesel 33-42) This holds true for the rest of the book, people always keeping the faith, holding on to some dream, and living for the family they know are still alive. All these things gave them the will to go on and the will to survive because it had to get better, didn’t it? But for the ones who did survive to the liberation by the allied troops I don’t think life will ever be a continuous sunny day, because the night always comes and with it th e memories and nightmares that will never be forgotten. But thankfully it will never be forgotten because the people who perished under these circumstances of the Holocaust should never be forgotten. In Birkenau Elie and his father were made to work in the warehouse and there the author begins to note has life in a concentration camp had changed him. After his father was beaten his anger was directed not at the Kapo who beat him but at his father who should not have provoked the Kapo. (Wiesel p. 54) This is where I began to see the separation of Elie and his father and imaged how it must have been for many others during this time in concentration and work camps. The human body can separate from the heart and emotion and learn to only survive and sometimes survival means only taking care of you. Take the story told on page 63 where a pipel was beating his own father because he did not make his bed properly and then demanded he stop crying or he would stop bringing his food. (Wiesel) In the winter of 1945 as the allied troops drew closer, the camp was told of evacuation and the decision had to be made to go as told or stay behind in the infirmaries where there was a possibility of being finished in the furnaces. At this point Elie was more worried about not being separated from his father and they chose to be evacuated with the others. Foresight would have saved them his father’s death had they have know those in the infirmary were liberated by the Russians two days later. (Wiesel p 82) â€Å"SS units evacuate Auschwitz in January. Elie and his father are transferred to  Buchenwald  concentration camp, near Weimar Germany. Soviet troops liberate Auschwitz on January 27.† (Elie Wiesel Timeline and World Events: 1928–1951) The evacuation proves to be the wrong choice for Elie’s father but it struck me how during the march it was his father’s existence that kept him going and in the snowy night his father was the one encouragin g his son who wanted to quit. This was also the time that Elie prayed the prayer to never do what Rabbi Eliahu’s son had done. â€Å"He had thought by this separation† from his father he could â€Å"free himself of a burden that could diminish his own chance for survival.† (Wiesel p. 86-91) This goes back to the idea of survival being a journey that one feels like they have to do alone, so others won’t bring them down or get in their way. It is so heart breaking that the encouragement the group needed to continue came from the very people that were making them march in the cold in the first place. So strange that they were wishing and praying for the barbed wire of Gleiwitz to appear, to be hoping and pining for another concentration camp where death seemed imminent. (Wiesel p. 92) On the move again from Geliwitz they were put in train cars again this time different people entirely entered the cars. They had different views on life and what it meant to live. They also had different appearances, now so skinny more could fit into the cars. (Wiesel p. 97) â€Å"Our brains a whirlwind of decaying memories. Our minds numb with indifference†¦The night was growing longer, never ending.† (Wiesel p. 98) The author could be speaking of the literal night as they road to their new location but I feel that he was talking about the night that they will all live in for the rest of their lives. They will never be able to remove those memories from their minds and after experience something so horrific the night must seem never ending. The story of the workers throwing bread on to the train car shows another parallel in the story of the fight the human body has for survival above anything else and it takes over the heart and emotions numbing them. When the old man g ets bread for he and his son and his son is the very one that is beating him to death to take the bread from his father, the son is beyond human in that moment and does not even recognize his own father calling out for him to stop. (Wiesel p. 101) When they finally reach their destination, Buchenwald, Elie’s father has given up. The will to live is the key to survive in any aspect of life. When a person is diagnosed with cancer, when you are lost in the wilderness, when any struggle arises you must keep the will to live. This was proven in the book when people lost their will to live after learning of loved ones who did not make it; they gave up and died soon after. â€Å"I knew that I was no longer arguing with him but with Death itself, with Death that he had already chosen.† (Wiesel p. 105) As his father’s health worsens Elie starts to realize that he is too is acting the way he prayed he would not. He tried to help his father but was given the advice â€Å"In this place, there is no such thing as a father, brother, friend. Each of us lives and dies alone.† (Wiesel p. 110) When his father did pass in the night no one was aware of it happening and Elie was changed forever. He felt freedom and hung er. Nothing else mattered after his father died but food. This was his body taking over his mind and emotions and driving everything in his being toward survival and to survive you just need food. (Wiesel p. 112-113) When the Front came closer and closer to Buchenwald Elie thought only of food. When the American tanks arrived and liberated the remaining men they only thought of provisions. â€Å"No thought of revenge, or of parents. Only of bread. And even when we were no longer hungry, not one of us thought of revenge.† (Wiesel p. 115) I hope that the survivor’s still do not think of revenge but instead of preserving and continuing the memory of all those that were lost during the Holocaust and World War II. The families not only lost people they cared for but the world suffered a great loss in losing so many lives and stories and possibilities. I am glad that Elie Wiesel had the strength to write this book and I hope that there is truth in the saying that time heals all pain. Maybe with time he and others have healed enough to see the light at dawn and not focus completely on the night. Works Cited Auschwitz-Birkenau.Auschwitz-Birkenau. PaÅ„stwowe Muzeum Auschwitz-Birkenau W OņºwiÄâ„ ¢cimiu, 1999. Web. 30 Nov. 2014. Birthplace.Birthplace. G. Seila M. Acree, n.d. Web. 30 Nov. 2014. http://enloehs.wcpss.net/projects/west42002/wiesel3/birthplace.html> . â€Å"Elie Wiesel Timeline and World Events: 1928–1951.United States Holocaust Memorial Museum. United States Holocaust Memorial Council, 20 June 2014. Web. 30 Nov. 2014. http://www.ushmm.org/wlc/en/article.php?ModuleId=10007200>. Wiesel, Elie, and Marion Wiesel.Night. New York, NY: Hill and Wang, a Division of Farrar, Straus and Giroux, 2006. Print.

Canterbury Tales Interpretive Essay -- essays research papers

The Evil Side of Human Nature Geoffrey Chaucer’s Canterbury Tales became one of the first ever works that began to approach the standards of modern literature. It was probably one of the first books to offer the readers entertainment, and not just another set of boring morals. However, the morals, cleverly disguised, are present in almost every story. Besides, the book offers the descriptions of the most common aspects of the human nature. The books points out both the good and the bad qualities of the people, however, the most obvious descriptions are those of the sinful flaws of humans, such as greed and lust. One of the people’s traits affected by human nature in many stories is greed. As shown throughout, greed is an evil sin. This is especially obvious in the Pardoner’s Tale, where the Pardoner, a church-appointed official who collects gold for absolving people their sins, tells about the evils of money. In the story, three friends, who wanted to make the world better by killing death, find gold, and unwilling to share, start planning to kill each other. Two friends sent the third to bring them food and wanted to kill him after he came back. The victim, however, also wanted the money, and poisoned their drinks. As a result, all three friends die. â€Å"Thus were these two homicides finished,/ and the false poisoner too.† (Chaucer 365). Even though Chaucer’s conclusions are not expressed and actually are very different from what the Pardoner says, Chaucer manages to convey h...

Primo Levi- Pain Retold, Is Pain Redoubled Essay -- essays research p

"Pain retold, is pain redoubled" What prompts someone to write about their suffering, and how do they convey a sense of their emotions to the reader? Primo Levi is a Holocaust war victim, a survivor from Auschwitz, who for years was plagued by guilt because he survived - a feeling that is passed on in Jewish tradition, which I understand being a fellow Jew. Jewish heritage is very important to all Jews; myself included, which is one reason why I can connect with the poet/author, his poems and his other works. Levi decided to write, rather than keep in, his feelings, and subsequently wrote both poetry, and a variety of prose, both fiction and autobiographical. The emotions in two of his poems, 'Shema' and 'The Survivor' are a melange of guilt, anger and sorrow. Levi feels guilt that he is living when so many he knew are dead, he is angry at how people are forgetting what happened less than 50 years ago, and also sad at what has passed. These emotions are portrayed through various means in 'Shema', the two most effective being repetition of certain thought-provoking words, "†¦empty eyes†¦empty womb†¦" "†¦cold heart†¦cold hand†¦" "†¦hard heart and eyes†¦hard like a rock†¦". These words give an impression of what Levi feels for his captors, while invoking numbness that makes it real. The harsh consonant sounds, "creating cages for captivity" invoke feelings of timidness because of the harsh attack from the words, even after it has been translated from the native Italian. Levi wrote other books, and in one (Survival In Auschwitz) it struck me how matter-of-factly he wrote down his observations. Although the subjects of his works are the horrors that he saw during his time in the Death-camps, Levi wrote it so people could learn what it was like, so Jews and non-Jews alike could witness the memoirs of a survivor. The description of the number tattooed on his arm, which functioned as an impromptu meal ticket, is registered as merely one more fact of life. "†¦We became used to showing our number promptly enough not to disorder the daily operation of food-distribution; weeks and months were needed to learn its sound in the German language." Levi documents the mundane life of the camp, a side that is not often seen, laying out his experiences with a reserve... ...te the past into the present and the future, to expand in knowledge. His works not only captivate and interest, but they convey a deeply personal sense of true experience that makes the stories special and real. From reading his works you not only understand the pain, guilt and anger, but also the need for repentance. Levi believes his repentance comes in telling and re-telling his story. His work serves as a reminder to everyone- not to let prejudice blind you against evil, to remind people of the great sorrow that happened, and not only does it educate and inform people, it also expresses feelings that should not be forgotten in case another Holocaust should happen. It serves as to inform people, or also remind them of what happened. It is his catharsis, and our education. Truly, his work is Shema: Listen. Biography: Calling of Kindred IL SISTEMA PERIODICO, 1975 - The Periodic Table SE QUESTO ? UN UOMO, 1947 - If This is a Man / Survival in Auschwitz AD ORA INCERTA- or- L'OSTERIA DI BREMA, collected poems Conversations with Primo Levi by Ferdinando Camon (1989) Quote: Chinese proverb, "The Wisdom of the Chinese Sages" published 1987.

gatdream Death of the American Dream in F. Scott Fitzgerald’s The Great Gatsby :: Great Gatsby Essays

Death of the American Dream in The Great Gatsby The American Dream embodies the belief that each person can succeed in life on the basis of his own skills and effort. This idea awakes and develops during the 18th and 19th centuries - a period of fast development in the United States. The issues of growth, progress and money become a major theme in American society, which is why Scott Fitzgerald's novel The Great Gatsby focuses on this problem. Through the characters Daisy Buchanan and Jay Gatsby, the author impressively presents a failure in achieving this dream. The collapse of Gatsby's attempt to win Daisy proves that dreams, money and blind faith in life's possibilities, are not enough for a man to reach his goals. Gatsby perceives Daisy as a rich, beautiful and charming young lady, who represents the perfect woman. This ideal inspires his love and evokes his dream to reach her. He is a poor and uneducated young man, without any past. This is why Gatsby is impressed by the glamour and careless gayety that surrounds Daisy. That veneration is expressed in his words: "I was flattered that she wanted to speak to me, because of all the other girls I admired her most." The beauty of her life, fill Gatsby's mind with passionate sense of mystery and love. He sees Daisy as an "excitingly desirable" woman, which makes him thrilled, but at the same time unsure about the future. Even though he feels she is unreachable, he keeps his hope, which inspires him to fight for her. Gatsby's ambition represents the American Dream. He believes that despite his empty past and lack of education, he can succeed on the basis of his abilities, hard work and money. Gatsby does everything - legal and illegal in order to gain the wealth and property that will win him Daisy. The source of his money is unclear, and as Tom Buchanan suggests he is a "bootlegger". This denotes that Gatsby is determined to achieve his goal and is ready to put all the efforts needed to accomplish his high set aim. He has a blind hope in the abilities of life - he trusts that money can buy him Daisy's love.

Advocacy: Special Education Essay

In this article it speaks about how teachers within the capital of Georgia Public School System arrest become the greatest indexs for their students. The author says that matchless of the greatest blessings of his professional life is the chance that he has to speak with hundreds and hundreds of his special(a) commandment colleagues. Before and after his seminars, Lavoie has had conversations and discussions with countless teachers from margin to coast and everywhere in between.These conversations amaze truly been a joy, and these on-the-fly exchanges has givenhim an updated military position on the changes and challenges in Americas classrooms. These conversations ar an ongoing source of data and inspiration for Lavoie. They have confirmed his long-held touch sensation that some of the finest people on the artificial satellite ar toiling daily in Americas classroom and curiously within Special Education programs. near of the conversations amongst the teachers are re assuring and reinforcing, but now and then there are conversations that are sad and disheartening.The disturbingconversations remind Lavoie that the inclusion battles of the seventies continue in many American teach districts and that the rights of struggling kids continue to be violated and ignored. Lavoie worked as a school administrator for thirty years and has everlastingly felt that teachers willingness to defend and advocate for students should be advance and reinforced not discourage and criticized. One of the most sacred responsibilities of a Special Education teacher is to advocate for his/ her students and their needs. We need to be voices for the voiceless. Regardless of consecrate level.For the past several years, Lavoie have delivered a seminar entitled Other Peoples Kids The Ethics of Special Education. In this workshop, he outlines a dozen basic h iodinst tenets that must be understood and followed by those of us who toil in the vineyards of Special Education. advocacy 2 These tenets involve confidentiality, quislingism and parental interactions. But the main accent of the workshop is the premise that The professionals PRIMARY loyalty and commitment is to the CHILD. Be an advocate for your students. If you dont who will.In a perfect being, no teacher should be criticized for defending, protecting, or advocating for a child. But, the world is imperfect and teachers often find that they are asked to compromise students services in array to maintain budgets and other real-world constraints. Teachers face this puzzle daily. But as we all eff some things that are simple are not always easy. Teachers are encouraged to please be the number one advocate for your students. advocacy 3 References Lavoie, R. (2014). battle The Good Fight. How to Advocate for Your Students without losing your job.

Citibank Performance Evaluation Case Study

Annual Report consoli bodyguard and Statutory mo topary educational activitys at declination 31, 2006 101st fiscal course of instruction order S. p. A. fiscal parameters at celestial latitude 31, 2006 234 pecuniary reappraisal of parliamentary procedure S. p. A. 238 Income argument 239 respite yellow journalism 240 bidding of zero(prenominal)prenominal)es Flows 241 tale of exchanges in striving pick upers Equity I am e nonegh of an artist to draw freely upon my imagination. Imagination is more than important than knowledge. familiarity is limited. Imagination encircles the world. Albert Einstein 242 Income literary argument consistent to Consob occlusion No. 5519 of July 27, 2006 243 oddment planing machine consistent(predicate) to Consob Resolution No. 15519 of July 27, 2006 244 observes to the pecuniary mo profitsary statements 301 Appendix Transition of the bring up theatrical roleicipation rules of order S. p. A. to Inter content pecuniar y insurance c everywhereage Standards (IFRS) pecuniary polish up of club S. p. A. The monetary disputations illust setd and commented on in the followers pages require been nimble on the base of the fellowships statutory pecuniary statements at declination 31, 2006 to which pen should be do. In compliance with European Regulation no. 606 of July 19, 2002, starting from 2005 the rules of order stem has pick protrude Inter issue pecuniary coerage Standards (IFRS) issued by the Inter field of study write up Standards Board (IASB) in the training of its amalgamate monetary statements. On the bum of national laws implementing that Regulation, starting from 2006 the Pargonnt phoner decree S. p. A. is fork uping its monetary statements in accordance of adjusts with IFRS, which be inform unneurotic with comparative figures for the previous socio-economic class. Operating PerformanceSpecific on the wholey force kayoed and operate be, totalling 1 99 meg euros, comprise 58 billion euros in personnel legal injury (60 trillion euros in 2005), and 141 jillion euros in split up run be (121 one cardinal one one meg one million million million million million euros in 2005), which include the bes for services, amortization and depreciation and some some separate operational addresss. These costs subjoind as a unit of measuring rod by 18 million euros from 2005 as a resolving power of non-recurring smashs. In 2006, the median(a) judgmentcount was 140 employees, compargond with an average of 133 employees in 2005.The associations Income statement is summarised in the by-line table Investment income Dividends (Impairment losings) backslidings Gains (losings) on governances Personnel and operational costs get ahead of some separatewise grosss Income ( write kills) from signifi nett non-recurring legal proceeding monetary income ( disbursements) fiscal income from signifi micklet non-recur ring legal proceeding Income appraisees boodle income Personnel and in operation(p) costs send away of new(prenominal) revenue enhancements total 120 million euros, comp atomic number 18d with 109 million euros in 2005. IThe Pargonnt political party bring in engagement income of 2,343 million euros in 2006, 1,226 million euros high than in 2005 when the end point include crystallize non-recurring income of 1,714 million euros. (in millions of euros) strain Solutions S. p. A. (for a total of 147 million euros), displace of the critical review of the investitures held in parliamentary procedure straighten outherlands prop N. V. (376 million euros repayable to the validating carrying out of the CNH and Iveco subsidiaries), Magneti Margonlli Holding S. p. A. (144 million euros) and minor companies. 2006 2005 2,461 62 2,099 (120) (24) 26 2,343 (424) 8 (431) (1) (109) 1,133 (62) 858 (279) 1,117 Investment income totals 2,461 million euros comp ard with investmen t expense of 424 million euros in 2005 and consists of dividends genuine during the catch and reversal of deterioration injuryes (net of write- set downs) of investments. Specifically Dividends total 362 million euros and were original from the subsidiaries IHF Internazionale Holding ordination S. A. (259 million euros), club pay S. p. A. (75 million euros) and other companies.In 2005 dividends original from investments totalled 8 million euros. I Impairment breathing out reversals (net of write-downs) of 2,099 million euros aftermathed from the re military rank of the investments in the subsidiaries revision Partecipazioni S. p. A. (1,388 million euros chiefly connected to order Auto), Iveco S. p. A. (946 million euros) and ordination realizeherlands Holding N. V. (96 million euros connected to CNH), all written-down in previous yrs, net of the hurt passing recognized on the investment in Comau S. p. A. (330 million euros).I other revenues , totalling 79 milli on euros (72 million euros in 2005), pointly refer to the change in set out train in board (agreements among Fiat S. p. A. and Treno Alta Velocita T. A. V. S. p. A. ), which is mensurable by applying the fortune of windup to the total contractual apprize of the work, to royalties for the lend oneself of the Fiat trademark, calculated as a lot of the revenues generated by the base companies that use it, and the services of executives at the principal companies of the gathering.The stool up from 2005 is generally attributable to higher charges for the use of the trademark. No Income (expenses) from signifi movet non-recurring actions is report in 2006. In 2005 a see of 1,133 million euros (net of related costs) was save on the exploit regarding the termination of the professional person Agreement with General Motors. In 2006, in that mention were net pecuniary expenses of 24 million euros, arising from the kindle charges on the unions debt, which was partial ly offset by the reach out upshoting from derived pecuniary legal documents.In 2005 there were net expenses of 62 million euros mainly arising from the noncurrentime expenses connected with the needful goldable Facility. No monetary income from significant non-recurring dealingss is inform in 2006. In 2005 this accompaniment include income of 858 million euros responseing from the swell increase of kinfolk 20, 2005 with the simultaneous variety of the needed Convertible Facility. The income re states the difference in the midst of the subscription price of the stark naked sh bes issued and the assembly line foodstuff price of the sh argons at the subscription date, net of issuance costs.I In 2005, net hurt dismissiones evaluate on investments totalled 431 million euros, mainly due to losings from the investments in Fiat Partecipazioni S. p. A. (811 million euros connected mainly to the losings of Fiat Auto), Teksid S. p. A. , Comau S. p. A. and 234 fiscal Review of Fiat S. p. A. The income appraiseation revenue of 26 million euros is the net pass on of the remuneration for the valuate loss brought into the national appraise consolidation by Fiat S. p. A. in 2006 to offset the income reported by the classifys Italian companies, and the IRAP charge accepted for the modern of time.Income levy expenses of 279 million euros in 2005 consisted of the reversal of deferred tax summations of 277 million euros, recognized in the monetary statements at declination 31, 2004 in relation to the declaration later made with General Motors for the termination of the reduce Agreement. pecuniary Review of Fiat S. p. A. 235 repose tack Highlights of the P atomic number 18nt participations vestibular sense tatter argon illustrated in the following table (in millions of euros) Non- watercourse summations of which Investments functional swell summarise net invested capital shopholders right last debt (liquid coin) At declin ation 31, 2006 At celestial latitude 31, 2005 14,559 14,500 167 14,726 10,374 4,352 5,168 5,118 303 5,471 7,985 (2,514) electric current fiscal payables consist of the overdraft with the subsidiary Fiat Finance S. p. A. and short-term financing received from that participation, as well as payables to factor out companies for advances on receivables. Non-current fiscal payables consist close entirely of loans repayable in the 2010-2013 breaker point grant by the subsidiary Fiat Finance S. p. A. at grocery store grade as part of the recapitalisation of subsidiaries discussed above.At celestial latitude 31, 2005 financial receivables related to short-term financing of 2,700 million euros granted to the subsidiary Fiat Finance S. p. A. and due in 2006, and to property deposited on the current account held with that comp both. For a more complete analysis of hard currency littleens, informant should be made to the teaching of immediate payment Flows set out on the foll owing pages as part of the statutory financial statements of the Pargonnt Comp either Fiat S. p. A. propitiation between the Pargonnt Companys moderately-mindedness and its go for the stratum with those of the crowdNon-current summations mainly include investments in the relevant subsidiaries of the Group. The net increase of 9,382 million euros in investments as comp bed to celestial latitude 31, 2005 stems from net write-ups arising from the reversal of antecedently esteem injustice losings and recapitalisations of 6,361 million euros carried out during the year in the subsidiaries Fiat Partecipazioni S. p. A. (6,000 million euros), Fiat pl underherlands Holding N. V. (121 million euros) and Comau S. p. A. (240 million euros), in order to re-balance the legality structure inside the Group and palm losses, as well as the re- barter for from Mediobanca S. . A. of 28. 6% of the sh argons of Ferrari S. p. A. (893 million euros) upon exercise of the call filling provided for in the 2002 agreements, which brought the investment to an 85% stake. Working capital, which totalled 167 million euros, consists of inventories net of advances received, trade, tax and employee receivables/payables, other receivables/payables and aliment. The 136 million euro decrease over celestial latitude 31, 2005 is mainly attributable to the refund of bath receivables by the Tax Authorities. runholders virtue at celestial latitude 31, 2006 totalled 10,374 million euros, reflecting an increase of 2,389 million euros as comp atomic number 18d to celestial latitude 31, 2005 due to the positive result of the year (2,343 million euros) and other minor changes (including 28 million euros resulting from fall guy to mart the bonny shelter carrying quantity of the Mediobanca shareholding). consistent to the Consob Communication of July 28, 2006, set out below is a reconciliation between the Parent Companys integrity at declination 31, 2006 and its result for the year the n ended with those of the Group (Group pursual). (in millions of euros) Stockholders good play atDecember 31, 2006 Financial relations of Fiat S. p. A. evacuation of the carrying centres of consolidated investments and the respective dividends from the financial statements of Fiat S. p. A. Elimination of the reversal of impairment losses (net of accepted impairment losses) of consolidated investments Equity and results of consolidated subsidiaries Consolidation adjustments Elimination of inter play along lettuce and losses on the deals agreements agreement of investments Elimination of inter family winnings and losses in inventories and fixed assets and other adjustments consolidated financial statements (Group interest) 2006 Net result 10,374 2,343 14,211) 13,404 (346) (2,099) 1,229 (205) 9,362 (41) (21) 1,065 For a more complete analysis of the changes in telephone lineholders virtue, reference should be made to the relevant table set out in the following pages as part of the statutory financial statements of the Parent Company Fiat S. p. A. Net debt totalled 4,352 million euros at December 31, 2006 compared with net liquid currency of 2,514 million euros at December 31, 2005. The use of the liquid funds balance at the beginning of the year and the subsequent accumulation of debt are the outcome of the previously mentioned recapitalisations of subsidiaries and acquire of Ferrari S. . A. shares. A breakdown of net debt is illustrated in the following table (in millions of euros) Financial receivables, cash and cash equivalents period financial payables Non-current financial payables Net debt (net liquid funds) 236 Financial Review of Fiat S. p. A. At December 31, 2006 At December 31, 2005 (85) 1,627 2,810 4,352 (3,076) 557 5 (2,514) Financial Review of Fiat S. p. A. 237 Income Statement (in euros) Dividends and other income from investments (Impairment losses) reversal of impairment losses of investments Gains (losses) on the government of investments opposite operating income Personnel costsformer(a) operating costs Income (expenses) from significant non-recurring transactions Financial income (expenses) Financial income from significant non-recurring transactions lead before taxes Income taxes subject from inveterate operations Result from discontinued operations Net result agreement Sheet (*) blood 2006 2005 (1) 362,418,522 2,099,350,000 425,380 79,238,202 (57,899,516) (141,006,254) (24,846,809) 2,317,679,525 (25,695,447) 2,343,374,972 2,343,374,972 7,713,904 (430,788,686) (1,300,134) 72,853,610 (60,027,274) (121,360,013) 1,133,110,377 (61,685,499) 857,636,269 1,396,152,554 278,827,554 ,117,325,000 1,117,325,000 (2) (3) (4) (5) (6) (7) (8) (9) (10) (*) Pursuant to Consob resolution no. 15519 of July 27, 2006 set up of transactions with related parties on the Income Statement of Fiat S. p. A. are include in the specific income statement muniment reported in the following pages and withal provided in the comments of the single peaks and in Note 30. (*) (in euros) ASSETS Non-current assets nonphysical asset assets Property, seed down and equipment Investments different financial assets Other non-current assets Deferred tax assets fall Non-current assets electric current assets Inventories mete out receivables rate of flow financial receivables Other current receivables currency and cash equivalents Total received assets Assets held for bargain TOTAL ASSETS STOCKHOLDERS paleness AND LIABILITIES Stockholders equity outstanding dividing line Additional paid-in capital book under law no. 413/1991 heavy allow harbour for treasury buy in in portfolio Extra fair reserve retained earnings (losses) exchequer stock Gains (losses) appreciate directly in equity Stock preference reserve Net result Total Stockholders equity Non-current liabilities Provisions for employee benefits and other non-current sustenance Non-current financial payablesOther non-current liabilit ies Deferred tax liabilities Total Non-current liabilities Current liabilities Provisions for employee benefits and other current provisions switch over payables Current financial payables Other payables Total Current liabilities Liabilities held for cut-rate sale TOTAL STOCKHOLDERS EQUITY AND LIABILITIES Note At December 31, 2006 At December 31, 2005 (11) 771,530 37,252,689 14,499,594,748 20,134,319 1,573,473 14,559,326,759 675,599 39,658,553 5,117,531,801 5,335,175 4,501,747 5,167,702,875 154,692,452 84,173,202 626,428,489 608,105 865,902,248 15,425,229,007 215,652,499 3,075,893,885 799,919,053 95,235 4,091,960,672 9,259,663,547 6,377,257,130 1,540,856,410 22,590,857 446,561,763 24,138,811 6,134,851 (553,411,863) (24,138,811) 162,764,566 27,399,708 2,343,374,972 10,373,528,394 6,377,257,130 681,856,410 22,590,857 446,561,763 27,709,936 334,633 (811,736,863) (27,709,936) 134,267,390 16,102,522 1,117,325,000 7,984,558,842 18,104,487 2,810,029,000 20,000,576 3,438,000 2,851,57 2,063 29,170,653 5,262,000 16,861,109 51,293,762 26,790,951 184,660,883 1,627,429,902 361,246,814 2,200,128,550 15,425,229,007 30,990,501 385,182,033 557,382,830 250,255,579 1,223,810,943 9,259,663,547 (12) (13) (14) (15) 10) (27) (16) (17) (18) (19) (20) (21) (22) (23) (10) (24) (25) (26) (27) (*) Pursuant to Consob resolution no. 15519 of July 27, 2006 works of transactions with related parties on the Balance Sheet of Fiat S. p. A. are included in the specific balance sheet schedule reported in the following pages and withal provided in the comments of the single items and in Note 30. 238 Fiat S. p. A. Financial Statements at December 31, 2006 Fiat S. p. A. Financial Statements at December 31, 2006 239 Statement of transfigures in Stockholders Equity Statement of hard cash Flows (in thousands of euros) 2006 2005 (in thousands of euros)A) Cash and cash equivalents at beginning of period B) Cash flows from (used in) operating activities during the period Net result for the pe riod Amortisation and depreciation Non-cash gain from extinguishment of the Mandatory Convertible Facility Non-cash stock option costs (Impairment losses) reversals of impairment losses of investments metropolis losses/gains on the disposal of investments flip-flop in provisions for employee benefits and other provisions Change in deferred taxes Change in working capital Total C) Cash flows from (used in) investment activities Investments Recapitalisations of subsidiaries AcquisitionsOther investments (tangible and intangible assets and other financial assets) Proceeds from the sale of Investments Other non-current assets (tangible, intangible and other) Total D) Cash flows from (used in) financing activities Change in current financial receivables Change in non-current financial payables Change in current financial payables great increase Sale of treasury stock Dividend distribution Total E) Total change in cash and cash equivalents F) Cash and cash equivalents at end of pe riod 495 325 2,343,375 2,882 11,297 (2,099,350) (329) 7,990 3,438 151,872 421,175 1,117,325 2,918 (859,000) 10,041 430,789 (93) ,100 277,000 (76,028) 905,052 hood stock Additional paid-in capital reserve under law no. 413/1991 efficacious reserve Reserve for treasury stock in portfolio Extra modal(a) reserve well-kept earnings (losses) exchequer stock Gains (losses) treasure directly in equity Stock option reserve Net result for the period Total Stockholders equity At December 31, 2004 Capital increase for conversion of the Mandatory Convertible Facility 4,918,113 22,591 446,562 26,413 1,632 (813,435) (26,413) 74,397 6,062 2,141,000 paygrade of stock option plans and other changes Net result for the period At December 31, 2005 10,442 1,117,325 1,117,325 ,377,257 681,856 22,591 446,562 27,710 335 (811,737) (27,710) 134,267 16,103 1,117,325 7,984,559 Valuation of stock option plans and other changes Net result for the period At December 31, 2006 1,459,144 681,856 4,655,922 Fair valuate adjustments prize directly in equity 1,297 (1,297) 1,698 (1,297) 59,870 10,041 59,870 (*) (*) Treasury stock at December 31, 2005 consists of 4,331,708 ordinary shares for a total nominal take account of 21,659 thousand euros. (6,361,126) (919,412) (15,529) (165,193) (1,808) 2,357 313 (7,293,397) (a) 261 (166,740) 2,991,721 2,804,767 1,070,047 5,800 6,872,335 113 608 (753,091) 14,548 401 738,142) 170 495 At December 31, 2005 Capital stock Additional paid-in capital Reserve under law no. 413/1991 levelheaded reserve Reserve for treasury stock in portfolio Extraordinary reserve bear earnings (losses) Treasury stock Gains (losses) treasure directly in equity Stock option reserve Net result for the period Total Stockholders equity 6,377,257 681,856 22,591 446,562 27,710 335 (811,737) (27,710) 134,267 16,103 1,117,325 7,984,559 Allocation of the net result for the preceding period Fair prize adjustments appreciate directly in equity 859,000 (3,571) 5,800 258,325 3,571 28,497 11,297 (1,117,325) 28,497 2,343,375 2,343,375 7,097 6,377,257 1,540,856 22,591 446,562 24,139 6,135 (553,412) (24,139) (*) 162,764 27,400 2,343,375 10,373,528 (*) Treasury stock at December 31, 2006 consists of 3,773,458 ordinary shares for a total nominal value of 18,867 thousand euros. (a) In 2005, the item Capital increase is shown net of the repayment of the Mandatory Convertible Facility (3 billion euros), as it did non give rise to cash flows. Statement of total accepted income and expenses for 2006 and 2005 (in thousands of euros) Gains (losses) recognize directly in the fair value reserve (investments in other companies) Gains (losses) prize directly in equityTransfer from cash flow falsify reserve Net result for the period Total of recognized income (expense) for the period 240 Fiat S. p. A. Financial Statements at December 31, 2006 2006 2005 28,497 28,497 2,343,375 2,371,872 58,958 58,958 912 1,117,325 1,177,195 Fiat S. p. A. Financial Statements at De cember 31, 2006 241 Income Statement Balance Sheet pursuant to Consob Resolution No. 15519 of July 27, 2006 pursuant to Consob Resolution No. 15519 of July 27, 2006 (in thousands of euros) Dividends and other income from investments (Impairment losses) reversal of impairment losses of investments Gains (losses) on the disposal of investmentsOther operating income Personnel costs Other operating costs Income (expenses) from significant non-recurring transactions Financial income (expenses) Financial income from significant non-recurring transactions Result before taxes Income taxes Result from continuing operations Result from discontinued operations Net result 242 Fiat S. p. A. Financial Statements at December 31, 2006 Note 2006 (1) 362,419 2,099,350 425 79,238 (57,900) (141,006) (24,847) 2,317,679 (25,696) 2,343,375 2,343,375 (2) (3) (4) (5) (6) (7) (8) (9) (10) of which associate parties (Note 30) 33,200 (51,901) (17,765) 2005 7,714 430,789) (1,300) 72,854 (60,027) (121,360) 1 ,133,110 (61,685) 857,636 1,396,153 278,828 1,117,325 1,117,325 of which Related parties 24,256 (54,477) 106,259 (in thousands of euros) ASSETS Non-current assets Intangible assets Property, sic and equipment Investments Other financial assets Other non-current assets Deferred tax assets Total Non-current assets Current assets Inventories Trade receivables Current financial receivables Other current receivables Cash and cash equivalents Total Current assets Assets held for sale TOTAL ASSETS STOCKHOLDERS EQUITY AND LIABILITIES Stockholders equity Capital stockAdditional paid-in capital Reserve under law no. 413/1991 Legal reserve Reserve for treasury stock in portfolio Extraordinary reserve Retained earnings (losses) Treasury stock Gains (losses) value directly in equity Stock option reserve Net result Total Stockholders equity Non-current liabilities Provisions for employee benefits and other non-current provisions Non-current financial payables Other non-current liabilities Defe rred tax liabilities Total Non-current liabilities Current liabilities Provisions for employee benefits and other current provisions Trade payables Current financial payables Other payablesTotal Current liabilities Liabilities held for sale TOTAL STOCKHOLDERS EQUITY AND LIABILITIES Note (11) (12) (13) (14) (15) (10) (27) (16) (17) (18) (19) At December 31, 2006 772 37,253 14,499,595 20,134 1,573 14,559,327 154,692 84,173 626,429 608 865,902 15,425,229 of which Related parties (Note 30) 10,029 2,408 84,173 146,908 At December 31, 2005 of which Related parties 676 39,658 5,117,532 5,335 4,502 5,167,703 5,262 215,652 3,075,894 799,920 495 4,091,961 9,259,664 7,687 3,075,894 106,007 (20) 6,377,257 1,540,856 22,591 446,562 24,139 6,135 (553,412) (24,139) 162,765 27,400 2,343,375 10,373,529 21) (22) (23) (10) (24) (25) (26) (27) 18,104 2,810,029 20,001 3,438 2,851,572 26,791 184,661 1,627,430 361,246 2,200,128 15,425,229 6,377,257 681,856 22,591 446,562 27,710 335 (811,737) (27,710 ) 134,267 16,103 1,117,325 7,984,559 2,810,029 17,801 1,405,554 319,078 29,171 5,262 16,861 51,294 30,991 385,182 557,383 250,255 1,223,811 9,259,664 5,262 2,622 4,975 434 215,379 Fiat S. p. A. Financial Statements at December 31, 2006 243 Notes to the Financial Statements Principal activities Fiat S. p. A. (the Company) is a corporation organised under the laws of the Republic of Italy and is the Parent Company f the Fiat Group, holding investments, either directly or indirectly by subholdings, in the capital of the parent companies of line of business Sectors in which the Fiat Group ope order. The head office of the social club is in Turin, Italy. The financial statements of Fiat S. p. A. are inclined(p) in euros which is the currency of the scotch environment in which the club operates. The Balance Sheet and Income Statement are presented in euros, while the Statement of Cash Flows, the Statement of Changes in Stockholders Equity, the Statement of Total Recognised Incom e and Expenses and the tote ups stated n the Notes are presented in thousands of euros, unless otherwise stated. As the Parent Company, Fiat S. p. A. has excessly prepared the consolidated financial statements of the Fiat Group at December 31, 2006. Significant invoice policies Basis of preparation The 2006 financial statements are the separate financial statements of the Parent Company, Fiat S. p. A. , and ware been prepared in accordance with the International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB) and follow by the European Union.The appellation IFRS also includes all the revise International Accounting Standards (IAS) and all the interpretations of the International Financial Reporting Interpretations Committee (IFRIC), previously known as the Standing Interpretations Committee (SIC). In compliance with European Regulation no. 1606 of July 19, 2002, starting from 2005 the Fiat Group has espouse the International Fi nancial Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB) for the preparation of its consolidated financial statements. On the basis of national legislation implementing that Regulation, he one-year statutory accounts of the Parent Company Fiat S. p. A. as of December 31, 2006 take over been prepared for the first time also use those business relationship standards. As a consequence the Parent Company Fiat S. p. A. is presenting its financial statements for 2006 and its comparative figures for the prior year in accordance with IFRS. The be principles use are the aforementioned(prenominal) as those used in the preparation of the Companys Balance Sheets at January 1, 2005 and December 31, 2005 and its 2005 Income Statement in accordance with IFRS these statements are provided in theAppendix wedded to these Notes, to which reference should be made. The Appendix provides reconciliations of the Companys equity and Income Statement reported u nder its previous accounting principles (Italian accounting principles) and IFRS, together with Notes, as required by IFRS 1 Firsttime adoption of IFRS. Certain re miscellaneas apply been made with respect to the figures published in the Appendix to the 2006 First-half Report. The comparative figures for the previous period were consequently reclassified. These reclassifications exhaust no event on the net result or stockholders equity.The financial statements feature been prepared on a historical cost basis, circumscribed as required for measuring reliable financial puppets. Format of the financial statements Fiat S. p. A. presents an Income Statement development a classification based on the nature of its revenues and expenses stipulation the type of business it performs. The Fiat Group presents a Consolidated Income Statement victimization a classification based on function, as this is believed to be more exercise of the dress s pick out for managing the business sect ors and for internal describe designs and is coherent with international practice in the automotive sector.Fiat S. p. A. has take to present current and non-current assets and liabilities as separate classifications on the vista of the Balance Sheet. A mixed format has been selected by the Fiat Group for the Consolidated Balance Sheet, as permitted by IAS 1, presenting lonesome(prenominal) current and non-current assets by the piece. This decision has been interpreted in view of the fact that both companies carrying out industrial activities and those carrying out financial activities are consolidated in the 244 Fiat S. p. A. Financial Statements at December 31, 2006 Notes to the Financial Statements Groups financial statements.The investment portfolios of financial services companies are included in current assets in the Consolidated Balance Sheet, as the investments go forthing be bring in in their normal operating cycle. Financial services companies, though, obtain fund s wholly partially from the market the rest are obtained through the Groups treasury companies (included in industrial companies), which lend funds both to industrial Group companies and to financial services companies as the need arises. This financial service structure within the Group means that any attempt to separate current and non-current debt in the Consolidated BalanceSheet can non be meaningful. This has no effect on the intro of the liabilities of Fiat S. p. A. Assets are depreciated using the policies and rates described below. Lease arrangements in which the lessor maintains easily all the risks and rewards incidental to the ownership of an asset are classified as operating fills. Lease payments under an operating lease are prize as an expense on a straightline basis over the lease term. Depreciation Depreciation is aerated on a straight-line basis over the cypherd profitable lives of assets as followsThe statement of cash flows has been prepared using the indi rect method. In connection with the requirements of the Consob Resolution No. 15519 of July 27, 2006 as to the format of the financial statements, specific auxiliary Income Statement and Balance Sheet formats have been added for related party transactions, so as non to compromise the overall meter reading of the statements. Annual depreciation rate Buildings vegetation Furniture Fixtures Vehicles 3% 10% 12% 20% 25% Land is not depreciated. Intangible assets Impairment of assets Purchased and internally-generated intangible assets are ecognised as assets in accordance with IAS 38 Intangible Assets, where it is presumable that the use of the asset will generate futurity(a) economic benefits and where the cost of the asset can be specialized reliably. The company reviews at to the lowest degree yearly the recoverability of the carrying come of intangible assets, property, plant and equipment and investments in subsidiaries and associates, in order to determine whether there is any mark that those assets have suffered an impairment loss. If any such indication exists, the carrying tot of an asset is written down to its recoverable amount.The recoverable amount of an asset is the higher of fair value less costs to sell and its value in use. Intangible assets with finite useful lives are heedful at purchase or manufacturing cost, net of amortisation charged on a straight-line basis over their estimated useful lives and net of any impairment losses. Property, plant and equipment Cost Property, plant and equipment is heedful at purchase or manufacturing cost, net of pile up depreciation and any impairment losses, and is not revalued. Subsequent expenditures are capitalised still if they increase the future economic benefits embodied in the asset to which hey relate. All other expenditures are expensed as incurred. In particular, in assessing whether investments in subsidiaries and associated companies have been stricken, their recoverable amount has been taken as their value in use, as the investments are not listed and a market value (fair value less costs to sell) cannot be reliably deliberate. The value in use of an investment is determined by estimating the present value of the estimated cash flows evaluate to arise from the results of the investment and from the estimated value of its eventual(prenominal) disposal, in line with the requirements of paragraph 33 of IAS 28.Fiat S. p. A. Financial Statements at December 31, 2006 Notes to the Financial Statements 245 When an impairment loss on assets later on reverses or decreases, the carrying amount of the asset or cash-generating unit is increased up to the revised estimate of its recoverable amount, but not in excess of the carrying amount that would have been recognized had no impairment loss been recorded. The reversal of an impairment loss is recognised instantaneously in income. Measurement Financial instruments Investments in subsidiaries and associates are tes ted for mpairment annually and if necessary more often. If there is any show that these investments have been impaired, the impairment loss is recognised directly in the Income Statement. If the companys share of losses of the investee exceeds the carrying amount of the investment and if the company has an responsibility to resolve for these losses, the companys interest is trim back to zero and a arrangement is recognised for its share of the additional losses. If the impairment loss subsequently no longer exists it is turn and the reversal is recognised in the income statement up o the limit of the cost of the investment. Presentation Financial instruments held by the company are presented in the Balance Sheet as described in the following I Non-current assets Investments, Other financial assets, Other non-current assets. I Current assets Trade receivables, Current financial receivables, Other current receivables, Cash and cash equivalents. I Non-current liabilities Non-cur rent financial payables, Other non-current liabilities. Current liabilities Trade payables, Current financial payables (including payables for advances on the sale of receivables), Other payables. IThe item Cash and cash equivalents consists of cash and deposits with banks, units with fluidness funds and other highly traded securities that are readily convertible to cash and which are subject to an insignificant risk of changes in value. The liability relating to financial guarantee contracts is included in Non-current financial payables. The term financial guarantee contracts refers to contracts under which the company guarantees to key out specific payments to reimburse the holder for a loss it incurs because a specified debitor fails to make payment when due in accordance with the terms of a debt instrument.The present value of the related receivable for any outstanding commissions is classified in Non-current financial assets. Investments in subsidiaries and associates are st ated at cost set for any impairment losses. The excess on acquisition of the purchase cost and the share acquired by the company of the investee companys net assets mensural at fair value is, harmonizely, included in the carrying value of the investment. Investments in other companies, comprising non-current financial assets that are not held for concern ( easy-forsale financial assets), are ab initio measurable at fair value. either subsequent profits and losses resulting from changes in fair value, arising from quoted prices, are recognised directly in equity until the investment is change or is impaired the total profits and losses recognised in equity up to that date are recognised in the Income Statement for the period. Minor investments in other companies for which a market quotation is not available are measured at cost, adjusted for any impairment losses. Other financial assets for which the company has the intent o hold to maturity are recognised on the trade date and are measured at purchase price ( being exercise of fair value) on initial realization in the Balance Sheet, inclusive of transaction costs other than in respect of assets held for trading. These assets are subsequently measured at amortised cost using the rough-and-ready interest method. 246 Fiat S. p. A. Financial Statements at December 31, 2006 Notes to the Financial Statements Other non-current assets, Trade receivables, Current financial receivables and Other current receivables, excluding assets eriving from derivative financial instruments and all financial assets for which quotations on an active market are not available and whose fair value cannot be reliably determined are measured at amortised cost using the hard-hitting interest method if they have a pre-determined maturity. If financial assets do not have a shape maturity they are measured at cost. Receivables with a due date beyond one year that are non-interest bearing or on which interest accrues at below marke t rate are discounted to present value using market rates.Valuations are performed on a regular basis with the purpose of verifying if there is objective evidence that a financial asset, taken on its own or within a radical of assets, may have been impaired. If objective evidence exists, the impairment loss is recognised as a cost in the Income Statement for the period. Non-current financial payables, Other non-current liabilities, Trade payables, Current financial payables and Other payables are measured on initial science at fair value (normally represented by the cost of the transaction), including any transaction costs.Financial liabilities are subsequently measured at amortised cost using the effective interest method, bar for derivative financial instruments and liabilities for financial guarantee contracts. Financial liabilities weasel-worded by derivative instruments are measured according to the elude accounting criteria applicable to fair value hedges gains and losses resulting from subsequent measurement at fair value, caused by fluctuations in interest rates, are recognised in the Income Statement and are set off by the effective portion of the gain or loss resulting from the respective valuation of the hedge instrument at fair value.Liabilities for financial guarantee contracts are measured at the higher of the estimate of the point liability (determined in accordance with IAS 37 Provisions, Contingent Liabilities and Contingent Assets) and the amount initially recognised less any amount released to income over time. differential gear financial instruments Derivative financial instruments are used simply for hedge purposes, for the purpose of reducing outside(prenominal) exchange rate risk, interest rate risk and the risk of fluctuations in market prices. In accordance with the conditions of IAS 39, derivative inancial instruments qualify for hedge accounting lone(prenominal) when, at the inception of the hedge, there is formal designa tion and documentation of the hedging relationship, the hedge is pass judgment to be highly effective, the effectiveness can be reliably measured and the hedge is actually highly effective passim the financial reporting periods for which it was designated. All derivative financial instruments are measured at fair value, in accordance with IAS 39. When financial instruments have the characteristics to qualify for hedge accounting the following accounting treatment is dopted I Fair value hedge If a derivative financial instrument is designated as a hedge of the exposure to changes in fair value of a recognised asset or liability that is attributable to a particular risk that could profess the Income Statement, the gain or loss resulting from remeasuring the hedging instrument at fair value is recognised in the Income Statement. The gain or loss on the hedged item attributable to the hedged risk adjusts the carrying amount of the hedged item and is recognised in the Income Statemen t. Cash flow hedge If a derivative financial instrument is esignated as a hedge of the exposure to discrepancy in the future cash flows of a recognised asset or liability or a highly seeming forecast transaction that could affect the Income Statement, the effective portion of the gain or loss on the derivative financial instrument is recognised directly in equity. The ac additive gain or loss is transposed from equity and reclassified into the Income I Fiat S. p. A. Financial Statements at December 31, 2006 Notes to the Financial Statements 247 Statement in the period in which the hedged transaction is recognised.Gains or losses associated with a hedge (or part of a hedge) which is no longer effective are outright recognised in the Income Statement. If a hedging instrument or a hedging relationship is terminated, but the transaction being hedged has not unless occurred, the cumulative gains and losses recognised in equity until that time are recognised in the Income Statement at the time the transaction occurs. If a hedged transaction is no longer considered probable, the un effected gains and losses that remain in equity are immediately recognised in the Income Statement. ividing the costs incurred by the total costs forecast for the on the whole construction). Any losses anticipate to be incurred on contracts are in full recognised in the Income Statement and as a reduction in contract work in progress when they become known. If hedge accounting cannot be used, the gains and losses resulting from changes in the measurement of the derivative financial instrument at fair value are immediately recognised in the Income Statement. gross revenue of receivables Inventory Inventory consists of work in progress on specific contracts and in particular relates to long construction contracts write by Fiat S. . A. with Treno Alta Velocita T. A. V. S. p. A. under which Fiat S. p. A. as general contractor performs the coordination, makeup and management of th e work. Work in progress refers to activities carried out directly and is measured by applying the percentage of completion to the contract fee, thereby recognising the margins deriving from the work performed to date. The cost to cost method is used to determine the percentage of completion of a contract (by Any advances received from customers for services performed are presented as a reduction in inventory.If the amount of advances exceeds inventory, the excess is recognised as Advances in the item Other payables. Receivables sold in factoring operations are derecognised from assets if and only if the risks and rewards relating to their ownership have been substantially transferred to the buyer. Receivables sold with recourse and without recourse that do not satisfy this condition remain in the companys Balance Sheet even if they have been sold from a legal point of view in this case, an obligation of the same amount is recognised as a liability for the advances received.Assets h eld for sale Any amounts in this item will consist of non-current assets (or assets and liabilities included in disposal groups) whose carrying amount will be find principally through a sale transaction rather than through continuing use. Assets held for sale (or disposal groups) are measured at the lower of their carrying amount and fair value less disposal costs. Employee benefits The expense related to the reversal of discounting pension obligations for delimitate benefit plans are reported separately as part of the Groups financial expense. Post- utilisation plansThe company provides pension plans and other postemployment plans to its employees. The pension plans for which the company has an obligation under Italian law are outlined contribution plans, while the other post-employment plans, for which the company generally has an obligation under national collective bargaining agreements, are de alrightd benefit plans. The payments made by the company for specify contribution plans are recognised in the Income Statement as a cost when incurred. Defined benefit plans are based on the employees working lives and on the salary or wage received by the employee over a predetermined period of service.The employees severance indemnity (trattamento di fine rapporto or TFR) is considered to be a defined benefit plan and is accounted for in the same way as other defined benefit plans. The companys obligation to fund defined benefit plans and the annual cost recognised in the Income Statement are determined by self-sufficing actuaries using the projected unit cite method. The portion of net actuarial gains and losses at the end of the previous reporting period that exceeds the greater of 10% of the present value of the defined benefit bligation and 10% of the fair value of the plan assets at that date is deferred and recognised over the remaining working lives of the employees (the corridor method) the portion of actuarial gains and losses that does not exceed this room access is deferred. In the context of IFRS first-time adoption, the company elected to recognise all cumulative actuarial gains and losses at January 1, 2004 (date of first-time adoption of IFRS by the Fiat Group), although it has adopted the corridor method for those arising subsequently. 248 Fiat S. p. A. Financial Statements at December 31, 2006 Notes to the Financial StatementsThe liability for obligations arising under defined benefit plans and due on termination of the employment contract represents the present value of the obligation adjusted by actuarial gains and loses deferred as the result of applying the corridor approach and by past tense service costs for employee service in prior periods that will be recognised in future years. Other long-term benefits The accounting treatment of other long-term benefits is the same as that for post-employment benefit plans except for the fact that actuarial gains and losses and past service costs are fully ecognised in t he Income Statement in the year in which they arise and the corridor method is not applied. Equity compensation plans The company provides additional benefits to veritable members of top management and to certain employees through equity compensation plans. under(a) IFRS 2 Share-based Payment, these plans are a luck of employee remuneration whose cost is measured by the fair value of the stock options at the grant date recognised in the Income Statement on a straight-line basis from the grant date to the vesting date, with a anticipate entry to equity.Changes in fair value after the grant date do not have any effect on the initial measurement. The company has applied the transitional provisions of IFRS 2 and as a result the Standard is applicable to all stock option plans granted after November 7, 2002 but which had not yet vested by January 1, 2005, the effective date of the Standard. luxuriant disclosures are also provided for plans granted before that date. Fiat S. p. A. Fi nancial Statements at December 31, 2006 Notes to the Financial Statements 249 Taxes Use of estimatesThe company recognises provisions when it has a legal or creative obligation to third parties, when it is probable that the settlement of the obligation will require the onslaught of resources and when a reliable estimate can be made for the amount of the obligation. The tax charge for the period is determined on the basis of prevailing laws and regulations. Income taxes are recognised in the Income Statement other than those relating to items attribute or charged directly to equity, in which case income taxes are also recognised directly in equity.Changes in estimates are recognised in the Income Statement for the period in which the change occurs. Deferred tax assets and liabilities are determined on the basis of all the unstable differences between the carrying amount of an asset or liability in the Balance Sheet and its corresponding tax basis. Deferred tax assets resulting f rom unused tax losses and temporary differences are recognised to the cessation that it is probable that future taxable profit will be available against which they can be utilised.Current and deferred income taxes and liabilities are offset when there is a legally enforceable right to offset. Deferred tax assets and liabilities are measured by using the tax rates that are expected to apply to the period when the asset is realised or the liability is settled. The preparation of financial statements and related disclosures that conform to IFRS requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of dependant on(p) assets and iabilities at the date of the financial statements. existing results could differ from those estimates. Estimates are used in accounting for depreciation and amortisation, impairment losses and reversals of impairment losses on investments, the margins earned on construction contracts , employee benefits, taxes and provisions. Estimates and assumptions are reviewed periodically and the effects of any changes are recognised in the period in which the estimate is revised if the revision ffects only that period, or in the period of the revision and future periods if the revision affects both current and future periods. Provisions Treasury stock The cost of purchase of treasury stock is accounted for as a reduction of equity. The effects of any subsequent transactions with those shares are as well as recognised directly in equity. Dividends received and receivable Dividends received and receivable from investments are recognised in the Income Statement when the right to receive the payment of this income is established and only if tell from post-acquisition net income.If dividends are declared from pre-acquisition net income, those dividends are deducted from the cost of the investment. revenue enhancement recognition Revenue is recognised to the extent that it is probable that economic benefits will flow to the company and when the amount of revenue can be measured reliably. Revenue is presented net of any adjusting items. Revenue from services and revenue from construction contracts is recognised by reference to the stage of completion (the percentage of completion method).Revenues arising from royalties are recognised on an accrual basis in accordance with the terms of the relevant agreement. Financial income and expenses Financial income and expenses are recognised and measured in the Income Statement on an accrual basis. Fiat S. p. A. and almost all its Italian subsidiaries have elected to take part in the national tax consolidation programme pursuant to articles 117/129 of the Consolidated Income Tax Act (T. U. I. R. ) the alternative has been made for a three year period beginning in 2004.Fiat S. p. A. acts as the consolidating company in this programme and calculates a single taxable base for the group of companies taking part, ther eby enabling benefits to be realised from offsetting taxable income and tax losses in a single tax return. Each company participating in the consolidation transfers its taxable income or tax loss to the consolidating company and Fiat S. p. A. recognises a receivable from that company for the amount of IRES corporal income tax paid over on its behalf. In the case of a company