Renewable Resources For Renewable Energy Essay - 1157 Words

Renewable Resources used to be a source that was futuristic and far beyond the time period. Fossil Fuels are damaging to the home that is named Earth. Americans should support the production of renewable resources because they are more efficient, the world will experience a decline in the emission of Fossil Fuels, and the use of of WWS (Wind, Water, Solar) Resources will produce a more resilient source when compared to the sources that in effect now. WWS Resources produce more efficiently than Fossil Fuel, Coal, and Natural Gas resources in effect today. Efficiency is defined in the Webster’s Dictionary as â€Å"able to accomplish something with the least waste of time and effort.† The Waste in this case being the emission of greenhouse gasses from Fossil Fuels. WWS Resources are researched with the intention of sourcing the world with the smallest carbon footprint possible from production to implementation. According to the article A Path to Sustainable Energy by 2030, â€Å"The competitive cost of wind [produced energy] has made it the second-largest source of new electric power generation in the U.S. for the past three years, behind natural gas and ahead of coal.† A safer alternative to Fossil Fuels has brought competition; If a renewable resource can do the same job with less pollution then why has the switch not been made? Fracking, a brute force and dangerous chemicals to crack open the Earth and extrac t the gas from previously unreachable deep deposits, has been anShow MoreRelatedRenewable Energy : Renewable Resources1944 Words   |  8 PagesRenewable energy: energy in which comes from natural resources that are naturally replenished, such as sunlight, wind, rain, tides, and geothermal heat (Bhatia, 2014). This essay is focused on the main three renewable energies, wind, sunlight, and water. Renewable resources are well on the way to out rule the fossil fuel industry because of the diminishing amount of fossil fuels left in the world and increase of renewable resource use, the damage fossil fuels do to the environment, and the variousRead MoreRenewable Resources For Renewable Energy1438 Words   |  6 Pagesdefinition, energy is power that is harnessed from physical or chemical resources, often utilized in order to produced light, heat or fuel. It can be extracted from various renewable or non-renewable sources and has become a necessity for day to day life. Currently non-reu sable resources account for the majority of energy production. The prominence of fossil fuels in the energy sector validates this claim. At the same time this statement reveals a major world issue in regards to energy sustainabilityRead MoreRenewable Energy Resources928 Words   |  4 Pagesfact that 86% of our energy comes from nonrenewable, polluting, costly fossil fuels and only 14% is renewable is diabolical. Why must we harm our environment to contribute to our energy production when renewable energy sources are so abundantly present so that we may be symbiotic with nature? To lessen our environmental impact and be able to avoid the high expenses of non-renewable fossil fuels in the near future it should be obvious that we start to use more renewable energy sources than we do nonrenewableRead MoreEnergy Resources And Renewable Energy1240 Words   |  5 PagesEveryone uses a lot of power for lighting, heating, machines, movements, and so much more. All of that energy has to c ome from an energy supply. Some energy resources are renewable, while others are non-renewable. Energy has various forms and is a very essential part of our everyday lives. In my house, I always try to conserve energy when I can. I try an hot water by using a lower flow shower head and very rarely use the bath tub which does waste a lot of hot water. When buying light bulbs, I onlyRead MoreEnergy Resources : Renewable And Non Renewable Ones1225 Words   |  5 Pagesa discovery of the ability to transform the energy into the electricity. In today’s modern world it is hard to imagine that there was a world without the electricity and that electricity was gifted to the humanity just 400 years ago. As George Gobel said once: â€Å"If it weren’t for electricity, we’d all be watching television by candlelight†. Electricity is the gift granted to humans and it is our generation’s duty to use the electricity energy smartly and pass it to future generations. ForRead MoreRenewable vs. Non-Renewable Energy Resources1840 Words   |  8 PagesRenewable Vs. Non-renewable Energy Resources: Environmental and Economical Advantages and Disadvantages Imagine a life without washing machines, dryers, refrigerators, computers, televisions, lights, and cars. Imagine a planet so polluted that smog is in the air so bad that one cannot see very far, lakes and streams are poisoned, and land so badly scarred from people trying to find more energy sources. One day this may be a reality if we do not do something to change how we use our energy resourcesRead MoreBiomass As A Renewable Energy Resource907 Words   |  4 Pages3 Biomass as a renewable energy resource Biomass can be considered as a renewable energy resource, although burning biomass releases carbon dioxide (CO2) to the atmosphere similar to burning fossil fuel (Liu H. 2011). There is a significant difference in CO2 release between burning a fossil fuel and burning biomass. Burning a fossil fuel releases CO2 that has been locked up for millions of years in the ground, affecting the natural CO2 cycle and resulting in an increase in the CO2 concentration inRead MoreNon-Renewable Energy Resources1458 Words   |  6 PagesNon-Renewable Energy Resources This Project will be in two Parts. The first part is about Non-renewable energy. Non-renewable energy is a resource that will some day we will run out of. Non-renewable energy is a resource that will some day we will run out of. The second part is on Renewable energy. Renewable energy is a resource that we will never run out of because it is continually being replaced. The sun is the source of all our energy resources. The suns energy reaches Earth andRead MoreRenewable Resources For Solar Energy1387 Words   |  6 PagesSolar Energy is something that the entire world relies on every day. Without energy, the earth would be dark, and nothing will be able to operate. Lately, there has been many concerns with the various types of resources that are used to generate energy. Many resources that are used are non-renewable resource. This means that the resources such as oil and coal are not grown or produced, they are found in regions in specific sections of the world. These resources are also recognized as fossil fuelsRead MoreAlternative Energy Resources : Renewable Energy Source848 Words   |  4 PagesAlternate energy resources are being developed to compete against the fossil fuel power stations. Fossil fuel such as coal and oil are drilled and shoveled out of the ground and then processed to be turned into electricity. Problems with fossil fuels are that they produce hazardous air emissions and give off by-produc ts that will harm the area. Some well-known alternate renewable energy resources are wind, solar, and hydro power. These are all sources that are in abundance and will be around for

Nelson Mandelas Way to Freedom - 1188 Words

Nelson Mandela life was dedicated to the struggle to set his people free. Nelson Mandela was threatened with death and put in jail but when he came out he embraced grace and forgiveness. In the fight against the partied was in South Africa Mandela felt violence was justified, he was arrested on a charged with treason and sentenced to life in jail, for twenty seven years he was cut off from the world. In nineteen ninety he was set free, forgiving he appeasers Mandela led a new South Africa who was a freedom fighter who become a icon all across the world. Mandela`s own fight and made a vision for others across the word, he was born in 1918 in South Africa were black people were oppressed by a white minority. Raised in a large family by†¦show more content†¦When Mandela returned to Johannesburg, Nelson was arrested and charged with leaving the country without a passport. Nelson was found guilty and was sentenced to five years in jail but the A.N.C continued their campaign and the entire top leadership was arrested police found plans for sabotage and guerilla warfare which has Mandela mentioned which now means he and his members now face serious charges of plotting against the state and if they got convicted faced life in jail or death penalty and on the day that sentencing was made many believed Nelson would be getting the death penalty but was relieved to hear that it was life in prison instead with hard labour. For thirteen years Mandela was subjected to hard labour and had to curry lime stone, as guards tried to break down Nelsons spirits and bully him Nelson fought back by telling his comrades to be slower than ever when breaking up the lime stone so that it would act as punishment for the guards who had orders to obey by for a day’s work. Mandela made a name in the jail for himself and came to a point that the guards had to negotiate with him for the group to get work done because they were under Mandela`s commands and followed his tongue . He would yell to the others to go slow and took him ten minutes to lift his pick axe above his head to slow down the work pace and was charged to only receive rice water. Private mail was a way to control prisoners. Gauds was given orders to mess with the incoming andShow MoreRelatedThe Legacy of Nelson Mandela1215 Words   |  5 Pagessystem of apartheid (â€Å"In Nelson Mandela’s own words†). Nelson Mandela was a moral compass symbolizing the struggle against racial oppression. Nelson Mandela emerged from prison after twenty-seven years to lead his country to justice. For twenty-seven years he sat in a cell because he believed in a country without apartheid, a country with freedom and human rights. He fought for a country where all people were equal, treated with respect and given equal opportunity. Nelson Mandela looms large in theRead MoreNelson Mandel A True Inspiration For All Of Humanity1748 Words   |  7 PagesNelson Mandela: From Vision to Transformation A true inspiration for all of humanity, Nelson Mandela broke down barriers of social injustice, committing his life to the vision of a free and democratic society. His dedication and inspiration to those considered underprivileged or subjugated within their own governmental or political constraints serve as testaments to the power of leading with compassion and humility. Through his leadership and years of self-sacrifice, Nelson Mandela became SouthRead MoreComparing Martin Luther King and Nelson Mandela1041 Words   |  5 PagesActions, beliefs, and patience are characteristics that are comparable in both the lives of Martin Luther King and Nelson Mandela. I. Martin Luther King Jr. and Nelson Mandela performed similar actions in their lives. A. In 1955, Martin Luther King, Jr., fought for the civil rights of the black population in America. B. Similarly, in South Africa, Nelson Mandela fought for the freedom of blacks from apartheid. II. Another similarity between King and Mandela is that they had the same beliefs. ARead MoreEssay on The Man Who Changed South Africa: Nelson Rolihlahla Mandela955 Words   |  4 Pagesdecades and being a minority race? His name was Nelson Rolihlahla Mandela. He is a true inspiration to those who hear his story. Starting out as nothing more than a black man and ending as a person whose name is heard and recognized all over the world is something that just briefly explains Nelson Mandela’s life. As a true anti-apartheid Nelson Mandela did wonders for equality with much power even when imprisoned for nearly three decades (Smolowe 62). Nelson Mandela was a man admired by the world forRead Morenelson mandela is my hero1351 Words   |  6 PagesNelson Mandela Nelson Mandela, a true hero in this controversial world or just another politician? Was his 27 years of imprisonment for standing up against his nations government, which did not support human rights, equality and world poverty, something the country of Africa should be proud about? As disappointing as it might seem, the answer is a straight and simple, no. Nelson Mandela, my hero, the man that everyone knows, that conquered black domination in Africa, that healed his countriesRead MoreNelson Mandelas Fight for Freedom1646 Words   |  7 Pagesbecause of the pigment in your skin. For Nelson Mandela, this situation was a reality. This style of living began in 1948 and, thanks to Mandela, ended in 1994. Problems began when the National Party---dominated by Afrikaans-speaking descendants of the Dutch settlers—came to power in South Africa. Segregation and mistreatment of the less superior—non-whites--became a government policy called â€Å"apartheid,† which means à ¢â‚¬Å"apartness† in the Afrikaans language. Nelson Mandela refused to bow down to the unjustRead MoreNelson Mandela And His Success1408 Words   |  6 PagesNelson Mandela and His Success Introduction Nelson Mandela, the pursuit of freedom let him go out of the tribal sheikhs and take part in the movement for the emancipation of the underground. He had spent much time in the prison of a quarry, finally entered the presidential palace of the richest country in Africa. Nelson Mandela has strong character and he venerated national heroes. He is the eldest son in the family and is designated as the emirate. But he said he would never rule an oppressedRead MoreNelson Mandela Analysis1695 Words   |  7 PagesIn Nelson Mandela’s autobiography A Long Walk to Freedom, the final thought he leaves the reader with as he reflects on the moment’s pause he has taken to look back on his lifelong endeavours is: â€Å"But I can rest only for a moment, for with freedom come responsibilities, and I dare not linger, for my long walk is not yet ended,† (Mandela, 625). Even in his reflection of the wonderful accomplishments he has achieved in his lifetime Mandela attests to the ma ny responsibilities he still has, and similarRead More How Nelson Mandela used Rugby to unify South Africa Essay1543 Words   |  7 PagesAfter spending twenty-seven years in prison, Nelson Mandela was released from prison on February 11, 1990. In 1991, Nelson Mandela was chosen to become president of the African National Congress. In 1993, Mandela and South African President F.W. de Klerk announced an agreement that the African National Congress and the National Party form a transitional government, effectively ending apartheid and opening the political process to all South Africans (Williamson). Mandela was elected President of SouthRead MoreNelson Mandela Prisoner to Freedom Essay552 Words   |  3 Pagesâ€Å"As I walked out the door toward the gate that would lead to my freedom, I knew if I didn’t leave my bitterness and hatred behind, I’d still be in prison† (Mandela). In recent times, since Mandela’s death, his renowned views on leadership have b een of great debate around the world. To most, he was the first president of South Africa, a respected and courageous leader, but before that he was a convicted terrorist. His â€Å"hatred for the oppressor† taught him to forgive and forget and to emerge from prison

Is it Right to Lower the Drinking Age - 1070 Words

An abundance of people start to drink during young adulthood. In the last 30 days roughly 39% of high schoolers drank some amount of alcohol (CDC). Alcohol has been around for tens of thousands of years and it’s always been an underlying issue. My question is, â€Å"Why should we lower the legal drinking age†? Current proposals to lower the minimum legal drinking age to 18 would have some benefits like increasing revenue for bars and liquor stores. However the risks surpass the benefits. Many people think that if you’re 18 you’re portrayed as an adult, you’re old enough to serve your country, vote, and make your own decisions. In some cases this could be true, but lowering the drinking age would be way too risky for themselves and others. There was a telephone survey done in Princeton, NJ on July 12-15, 2007 that questioned 1,001 people 18 and older if the minimum legal drinking age should be lowered to 18. The results were 77% of the people said t hat they would disagree with this proposal, and only 22% said that they would support it (Carroll). The minimum drinking age of 21 should not be lowered to 18, because 18 year olds tend to drink in a different way than more matured adults drink. They’re irresponsible when it comes to drinking because they drink to get drunk. As a result, there are more DUI arrests, the motor vehicle accident rate increases, and binge drinking raises health concerns. We are all aware that there are different types of drinking. There is binge drinking,Show MoreRelatedUnderage Drinking Is Part Of The Culture Of College1734 Words   |  7 Pagesthat I did discover is that underage drinking is part of the culture in college, also the friends that I had in high school who are 21 now I have discovered they drink some of the least amount now. Which has begun to make me wonder why people who are 21 drink less than people who are underage. I believe that when people are 21 they now do not have to worry about the next time they can get alcohol. Congress should lower the drinking age from 21 to 18 because at age 18 when they are in college, forRead MoreThe Legal Drinking Age Of The United States965 Words   |  4 Pagesthe opportunities an eighteen years old are given are the right to vote, open bank accounts, lease their own apartment or join the military. They have equal opportunities like adults over the age of twenty-one. However, anyone between th e age of eighteen through twenty are not allowed to purchase alcoholic beverages or attend bars because they are considered underage. Anyone between the age of eighteen and twenty should not be denied the right purchase alcoholic beverage. They are mature and well awareRead MoreThe Right to Drink Underaged drinking has become a rising problem in the small wonder of Delaware.900 Words   |  4 Pages The Right to Drink Underaged drinking has become a rising problem in the small wonder of Delaware. This problem of underaged drinking has affected 32,000 of Delawareans (â€Å"Delaware Dropout Summary Statistics†) aging from 12-20. It has lasted a long period of time while the general public is now engaging more in underaged drinking even though it is against the rules. Delaware continues to face the intensity of this problem by having higher crime rates and drunk driving. Though is being enforcedRead MoreWhy Lower the Legal Drinking Age?801 Words   |  3 Pagesthat lower the drinking age below 21 lose 10% of their annual federal highway appropriations (Haevens). This is the main reason the legal drinking age has not been lower below 21 years of age.a large number of the general population desires a lower drinking age. In the 25 years since the legal drinking age was set at 21, seven states have tried to lower it. (Wechsier ).It is unfair for the federal government to withhold money from states if they exercise their rights to set the legal drinking ageRead MoreBang! A Soldier Just Got Shot, And Most Likely P Never1676 Words   |  7 Pagesdrink. Is this right to fight for your country and never have the freedom of drinking? The drinking age was moved to the age of 21 in 1984 due to many drunk drivers. Now I think everyone gets the point not to drink and drive due to the serious consequences. If we lowered the drinking age underage drinking wouldn’t be as big. More money for our government will be made, therefore we can buy and reproduce more goods. The drinking age should be lowered, because it will stop bin ge drinking, you are consideredRead MoreEssay about Drinking Age Controversy1076 Words   |  5 PagesDrinking Age Controversy In the United States, a citizen is considered an â€Å"adult† at the age of 18, and with that new title comes many responsibilities, such as the right to vote and to join the army. However, the legal drinking age in America is twenty-one. This issue has been a major controversy for some time now that faces both national and state governments. Should the drinking age be lowered to the age when legally a person becomes an adult and assumes all other adult responsibilities,Read MoreThe Legal Drinking Age Should Be Abolished1634 Words   |  7 Pageslegal drinking age. In 1984 the National Minimum Drinking Age act was passed and raised the drinking age in the United States to twenty-one. This law caused uproar in states that had declared the minimum drinking age to be eighteen. Alcohol consumption is a major factor in cultural and social matters and the National Minimum Drinking Age has affected everybody. This law is unjust because of many reasons. One of the most prominent reasons is that it is an ex-post facto law. The legal drinking age shouldRead More18 vs. 21: Drinking Age1389 Words   |  6 Pagesdo people only want to change the drinking age from 21 to 18, when there are other activities that have limit of age such as marriage at 18, driving at 16 and 35 to be a president? Alcohol plays a major role in today society, which becomes a controversial issue among teens. Alcohol is a mind-altering chemical that is potentially more dangerous than any other drug and can be very destructive. For past few years, many people are trying to lower the drinking age without knowing the negative effectsRead More Lowering the Legal Minimum Drinking Age Essay1622 Words   |  7 Pagesunderage drinking has become a major problem, especially on college campuses. But, underage drinking is not purely the root of all accidents related to alcohol. The real problem lies within the unsafe underage drinking habits amongst youth. There are ways that these alcohol-relat ed accidents can be avoided. Several organizations have been created that are targeting a change in the legal drinking age laws. One key way to lower the risk of unsafe drinking is to lower the minimum legal drinking age fromRead MoreKeeping the Minimum Legal Drinking Age1283 Words   |  6 Pagesconducting an idea to whether lower the minimum legal drinking age in the United States or not. Many Americans forbid the idea of legalizing the drinking age so that it would be profitable to the businesses. Likewise, there have been many advantages and disadvantages of why should the government allow young adults drink under the age of 21. To prevent this issue, many Americans have provided reasoning that will support the idea of keeping the minimum legal drinking age where it is now. The government

Prepare A Report of Financial Analysis On Barratt Developments Plc

Question: Required to prepare a report on Barratt Developments Plc that would be of interest to a potential shareholders using financial details and ratios. Answer: Introduction Company name and External Auditor The purpose of this report is to assist the investors in providing useful information which would help them in the decision of investment in the shares of Barratt Developments Plc. The information has been provided in the form of analysis of the financial statements of the company for the period ending 30th June, 2015 given in the annual report audited by Deloitte LLP. Financial ratios and change in the financial statements items have been calculated for the analysis. Brief Description of the Company Barratt Development Plc is one of the leading house builders operating across Britain. The company operates through four brands namely, Barratt Homes, David Wilson Homes, Barratt London and Wilson Bowden Developments. The first three are house building brands whereas the last one is for commercial developments. The company operates only in Britain and has delivered 16,447 total homes as of 2015. The distinguishing feature of the company is its capability to deliver developments at all level of complexity ranging from standard housing to large and highly complex schemes. The company employs a total of 5971 employees. Details of Chairman, CEO and Directors Title Name Chairman John Allan Chief Executive Officer Mark Clare Chief Finance Officer David Thomas Chief Operating Officer Steven Boyes Non Executive Director Tessa Bamford Non Executive Director Nina Bibby Senior Independent Director Mark Rolfe Non Executive Director Richard Akers General Counsel and Company Secretary Tom Keevil Market Capitalisation The total Market Capitalisation of the company for the year ended 30th June, 2014 was 368, 08, 83,246.08 (3.73*984983475) and for the year ended 30th June 2015 was 533, 56, 26,274 (5.36*99542663). Financial Details and Ratios 3.1 Table of % change in Income Statement items given in Annexure 3.2 Table of % change in Balance Sheet items given in Annexure 3.3 Table of % change in Cash Flow Statement items given in Annexure 3.4 Table of Financial Ratios given in Annexure The figures included in the annexure are as on 30th June 2014 and 2015 as per the annual report. Analysis and Interpretation Financial Statements The financial year 2015 has been a great year for Barratt Developments Plc. in terms of increase in revenue and profits. The revenue increased by 19% in 2015, mainly because of the strong housing market in Britain. Britain is recovering from the slowdown hence; the demand for housing is more than the supply, thereby, giving a lot of scope for the company to increase their revenue. Also, the house prices have gone up due to a shortfall in supply and availability of low interest mortgage finance. The cost of sales has also increased but the increase is less than the increase in revenue. This has been achieved by the company due to its efforts towards improvement in operational excellence by reducing cost of raw materials procured. The gross profit has increased by an impressive 35% and the operating profit has also increased by a remarkable 41%. This has been possible because of lower operating costs which include both cost of sales and selling and administrative expenses and increased revenue. The net profit has increased by a whopping 47% as the interest expense has gone down. The company has had a strong Balance Sheet in 2015. The current assets have increased by 21% as the cash balance has increased by 31%. Also other current assets like inventories and receivables have increased. The current liabilities have also increased by 22% mainly due to an increase in taxes payable, trade and land payables and accruals and deferred income. The short term debt has reduced. The non current assets have remained stable with a fall in 3.2% due to a fall in deferred income taxes. The non current liabilities have increased by 25% due to an increase in trade and other payables and a marginal increase in long term debt by 1 million. The Equity has increased by 10.5% due to an increase in the retained earnings by 18%. The share capital has also increased by 1 million. The cash position of the company has been strong in 2015. There has been an increase in cash from investing and financing activities by 216% and 38% respectively. The cash flow from investing activities has increased due an increase in the investments accounted for using the equity method; there was a decrease in these investments in 2014 by 59 million. The financing activities is negative but better than 2014. The inflow has been only in the form of issue of share capital of 1 million whereas the outflow is of approx 145 million accounted by dividends paid and loan repayment. The cash inflow from operations has reduced by 58% mainly due to an increase in inventory by more than 100% and increase in taxes paid. There has been a remarkable increase in net cash by 500% in 2015 as compared to 2014 with a positive cash balance of 86 million, thus making it a cash rich company. From the above analysis of the items of the financial statements, we see that the Income Statement has improved considerably, the Balance Sheet has remained mostly stable with only major movement in inventories, and the Cash Flow Statement has also improved significantly. Financial Ratios Profitability Ratios The profitability ratios have improved in 2015 as compared to 2014. The gross profit margin has improved by 2.2% due to an increase in revenue and a fall in cost of sales. The operating margin is 15.3%, an increase of 2.4% from 2014. The interest expense has reduced as the company has paid back some of its debt and there are no short term debts. The Return on Equity is 12.1%, an increase of 3% from 2014. The increase is due to an increase in the net income attributable to the equity shareholders. The share capital has increased by only by 1 million whereas the net income has increased by 47%, thus increasing the returns on equity. The company has not paid high dividends; rather they have retained the profits which they will use for growth of the company, thus promising a bright future for the shareholders. The Return on Capital Employed (ROCE) for the company is 13%, an increase of 2.5% from 2014. This capital employed has reduced by 23 million due to a decrease in debt of the compan y by approx 24 million whereas the equity has increase only by 1 million. The increase in ROCE is due to an increase in EBIT by 41%. This means the returns on the capital employed have improved significantly. The overall profitability of the company has been very good in 2015 and 2015 has been the year of highest ever profit before tax. Efficiency Ratios The Total Assets Turnover ratio is 0.6 for both 2014 and 2015 with a slight increase in 2015 by 0.04 points. The revenue as well as the total assets both has increased with increase in revenue being slightly more than the total assets. There has been almost no improvement in the efficiency with which the company is utilizing its assets to generate revenue. The Industry Standard for a Construction Industry Assets Turnover Ratio is 0.8, so we can say that Barratt Developments is not up to the industry standards and the company should try to utilize its assets better. The Inventory Turnover has is 0.7 for the company whereas the industry standard is more than 1. We can say that the company has managed its inventory better than the other companies in the industry. The number of days of inventory turnover has increased by 10 days but the increase is very less as compared to the increase in inventory, thus signifying improving inventory turnover. The Receivables Turnover has reduced in 201 5 to 24.6 lower by 6 points. But the industry turnover for receivables turnover is 15; hence, the company is not up to the industry standards. It is not utilizing its receivables properly to generate revenue. The company is providing more credit than what the other companies in the industry are giving. The receivable turnover days has increased to 15 days which means on an average it takes 15 days for the company to recover its sales revenue. The company needs to work on its inventory and receivables management to match up to the industry standards. Liquidity Ratios The Current ratio of the company is 3.3 in 2015 almost similar to what it was in 2014. The current ratio should be more than 1 as per industry standards; hence the company is quite liquid as per industry standards. The current assets are sufficient to pay for the companys liabilities. Looking at the Quick Ratio, which is only 0.4 because most of the current assets of the company are in the form of inventory. A lot of cash is tied up in the inventory making the company less liquid in short term i.e. the company is not in a position to release cash immediately. However, this is the nature of a construction industry as the product they sell i.e. homes and buildings have a long construction period which is why the product of the company is mostly in WIP and it may take years for a product to complete, thus increasing the inventory. The Interest Coverage Ratio has improved by 300% in 2015 due to an increase in operating income and a decrease in interest expense. The company is comfortably able to pay for its finance charges from its operating income, thus making the company liquid. Financial Stability Ratio The Gearing ratio of the company is 0.05 in 2015 a slight increase from 2014. The company has very low debt as compared to the equity share capital. In the year 2015, the company has further reduced its short term debt by 24 million and increased the equity by 10.5%. The company relies mostly on its equity capital for funding its operations. Though this makes the company quite stable from shareholders point of view, but the company is unable to use the debt to gain tax benefits and has very low gear. Investment Ratio The Dividend Yield Ratio is 2.2% in 2015, an increase of 0.7% from 2014. The increase is due to a market capitalisation increase and an increase in dividends paid. It is good news for investors as there is an appreciation in the market value of the share and also an increase in the dividends paid, thus giving them more cash returns. Performance and Position up to December, 2015 Looking at the above analysis, we can say that the company has a strong profitability and stability. Even the liquidity is good looking at the nature of the industry the company is. The returns to shareholders are also satisfactory. The performance of the company has been quite satisfactory in 2015 with increasing profits and a strong balance sheet. A potential investor could look at investing in the company as it gives goods return on stocks and the fundamentals of the company are also strong with a strong future outlook instigated by a clear strategy and continuous improvement in management and operational capabilities. Possible Improvements to the Companys Annual Report Disclosure of dividends policy and practice Currently the annual report of Barratt Developments Ltd. does not have a dividend policy disclosure in the Accounting Policies. There is a mention of the dividend policy on page no. 17 of the annual report, but a detailed policy is not given. The policy is needed in the annual report as it reflects the companys cash and capital management process. Both debt and equity investors are interested in knowing how the company balances between the various competing priorities like investment needs, targets of credit rating agencies and other forms of return to stockholders. The policy could be either Progressive or payout ratio. Also, the disclosure would include how the company worked in order to deliver according to the policy. The above policy will appear on page no. 112 117 in the Accounting Policies section of the annual report. Reporting of Pay and Performance Currently the pay is reported in the Remuneration report section of the annual report. FRC lab suggests that the remuneration information should be clear and simple. The investors favour scenario charts being prepared which will access the relationship between the remuneration of the CEO and the company performance. The company is expected to provide three scenario bar charts i.e. when performance meets, exceeds and falls below the target. The bar chart will have the breakup of total remuneration into fixed, annual variables and long term incentives. Currently, the annual report of the company provides only the details of each of the executive directors salary; the scenario charts are not included. The above reporting of pay and performance will be done in the Remuneration Report given on page no. 75. Presentation of the Operating Cash Flow Currently the details of the operating cash flow by the indirect method are being shown in the notes to the financial statements. According to FRC lab reports, the indirect method of reconciling the profit or loss to the operating cash flow should be shown in the main part of the Cash Flow Statement. This is helpful to the investors when they view the annual report on the electronic media. The above suggestion of reporting the Operating Cash Flow in the main Cash Flow Statement would be given in the Financial Statements section of the annual report present in page no. 111. Appendix a) Consolidated income statement /consolidated statement of comprehensive income Consolidated statement of financial position Consolidated cash flow statement b) Financial details and Ratios References Barratt Developments Plc, (2015), Barratt Development Plc Annual Report and Accounts, 2015 Morningstar, (2015), Barratt Developments Plc Financials, accessed on 20th January, 2016, available https://financials.morningstar.com/ratios/r.html?t=BDEVion=gbrculture=en-US Ive, G., Murray, A., (2013), Trade Credits in the UK Construction Industry: An Empirical Analysis of Construction Contractor Financial Positioning and Performance, BIS Research paper no. 118, Department of Business Innovation and Skills CSImarket, (2016), Construction Services Industry: Efficiency Information and Trends, accessed on 20th January, 2016, available at, https://csimarket.com/Industry/industry_Efficiency.php?ind=205 FRC, (2012), Lab Project Report: Operating and Investing Cash Flows, The Financial Reporting Council Limited FRC, (2015), Disclosure of Dividends policy and practice, The Financial Reporting Council Limited FRC, (2013), Lab Project Report: Reporting of Pay and Performance, The Financial Reporting Council Limited Yahoo finance, (2016), Barratt Developments Plc, Historical Prices, accessed online on 20th January,availablehttps://in.finance.yahoo.com/q/hp?s=BDEV.La=05b=30c=2014d=05e=30f=2015g=m