Monetary Policy Article Example | Topics and Well Written Essays - 250 words

Monetary Policy - Article Example result of the country’s monetary policy which has reduced interest rates too record low levels with the aim of stimulating the economy by encouraging borrowing. the article also does observe that low interest rates can be beneficial to companies in the sense that they can borrow money cheaply. The article revisits the issue of pension plans which were used to compensate workers instead of using pay increments. While these plans were quite helpful, they currently seem unsustainable as companies that contribute to pensions struggle with costs. The authors crunch some numbers, noting that pension plan funding experienced a fall of $79 billion in 2012. Using examples of big companies, the authors are able to show the effect of falling interest rates on pension plans. For example, Monga and Ramsey (1) observe that falling interest rates in Europe and the United states have seen the company reduce its discount rate from 4.6 percent to 3.84 percent. Some of the companies mentioned in the article that are pouring cash into their pensions include General Motors, Boeing, Verizon Communications and AT&T. therefore, while low interest rates might encourage borrowing, they affect other economic aspects

Cyber Debate on Evolution Essay Example for Free

Cyber Debate on Evolution Essay NOVA Online presents a debate on evolution and its validity. The discussion was facilitated between Phillip E. Johnson and Kenneth R. Miller. In terms of specialization, the two individuals are quite distinct from each other. Phillip E. Johnson is a professor of law while Kenneth R. Miller is a professor of biology. From this, one can assume a highly different approach or way of thinking between the two. Phillip E. Johnson believes that the concept of evolution is invalid, largely due to the fact that it leaves out the possibilities of a creator due to a sense of materialist ideology. He argues that the current proofs for the theory are rather imagined and stretched out. Kenneth R. Miller, on the other hand, believes that evolution is in fact an established concept and is in the process pointing out proof based on paleontology, embryo development mechanism, and the tendencies of DNA. A list of key argument points provided by each of the two participants is presented below. Phillip E. Johnson †¢ Paleontology data, specifically the fossils, provide an unclear outline of the process of evolution since the relationships between supposedly related fossils in terms of descent cannot be properly tested by any means (Johnson, 1996a). †¢ The embryo development mechanism, as seen by pro-evolutionists to be a link to the past, cannot be treated as such due to the fact that the similarity of embryonic development in various creatures is not entirely definite but rather quite imagined (Johnson, 1996a). †¢ DNA data suggesting that evolution occurs and begins at the genetic scale is contradictory to established facts, as there have been studies pointing out that the only variation produced at the genetic level is of microevolution. Hence, there is no substantial change to prove that evolution in terms of organ development can be attained through the genetic level (Johnson, 1996a). †¢ Materialist ideology is utilized in explaining evolution, and in effect, points that cannot be determined are still given nonfactual explanations (Johnson, 1996b). Kenneth R. Miller †¢ Paleontology data, specifically the fossils, provides a clear view of the evolutionary process as the relationship between current and ancestral forms of the lineage of creatures; the fossils provide insight into the transitional phases, portraying the changes in organ development in plain view (Miller, 1996a). †¢ The embryo development mechanism further supports the concept of evolution, as it presents a sense of likeness in certain stages between highly different creatures as well as humans (Miller, 1996a). †¢ DNA data suggests that microevolution as well as macroevolution can be altered at a genetic level, thus pointing out that tail development can be triggered or prevented through the alteration of a single gene (Miller, 1996b). †¢ Materialist ideology cannot be seen as a fault of science as scientific pursuits cannot simply place the creator as the answer for everything currently unknown (Miller, 1996c). References Johnson, P. E. (1996a, November 19) Letter 2 – How did we get here?. NOVA Online – Odyssey of Life. Retrieved April 2, 2009, from http://www. pbs. org/wgbh/nova/odyssey/debate/deb02joh1119. html. Johnson, P. E. (1996b, December 9) Letter 8 – How did we get here?. NOVA Online – Odyssey of Life. Retrieved April 2, 2009, from http://www. pbs. org/wgbh/nova/odyssey/debate/deb08joh1209. html. Miller, K. R. (1996a, November 23) Letter 3 – How did we get there?. NOVA Online – Odyssey of Life. Retrieved April 2, 2009, from http://www. pbs. org/wgbh/nova/odyssey/debate/deb03mil1123. html. Miller, K. R. (1996b, November 30) Letter 5 – How did we get there?. NOVA Online – Odyssey of Life. Retrieved April 2, 2009, from http://www. pbs. org/wgbh/nova/odyssey/debate/deb05mil1130. html. Miller, K. R. (1996a, December 6) Letter 7 – How did we get there?. NOVA Online – Odyssey of Life. Retrieved April 2, 2009, from http://www. pbs. org/wgbh/nova/odyssey/debate/deb07mil1206. html.

Dolce and Gabbana Perfume Advertisement Essay examples -- Papers

Dolce and Gabbana Perfume Advertisement I will be looking at the advert for the Dolce & Gabbana perfume. This particular advert is trying to persuade the audience to buy both the male and female version of the perfume. To analyse this advert I will be using the key concepts. The advert has 3 main colours in it. The first is a light brown colour that is the background to the advert and also the same colour as the skins of the models. This brown is a warm positive colour, which portrays a warm positive image to the perfume when you first set eyes on the image. The other two colours in the picture are black and white. The white is worn by the male and the black by the female. The white on the male model could connote purity and goodness, whereas the black on the female could connote an evil, mischievous side to her. The fact that they are both hugging passionately could connote to the audience that the D&G perfume brings the good and the mischievous together which will appeal to some readers. Black and white may also be used in this advert to provide a classy sophisticated look. The layout of the advert is very typical of a perfume advert in a magazine. The main body of the image is taken up by the 2 models entwined with only a small image of the actual perfumes at the bottom of the page. The reason for doing this is so that as the reader inspects the advert they will be drawn down the image and the final thing they will see and remember is the image of the perfumes with the brand name beneath it. This will then lock in the audiences memory rather than the actual larger images of the models themselves which are more there just... ...t that they should go buy it to aspire to be like the models featured in it. It is likely that this advert would be in a magazine aimed at this age group so the conditions they receive the advert should not affect its impact unless its put in a magazine or place which would receive the wrong audience who may be opposition or aberrant. In conclusion, the advert has a very sexy feel to it, which is created by the colours, mise en scene, and the characters involved. There is a definite target audience of younger adults, and the whole advert has a positive feel for the Dolce and Gabbana branding. The small amount of text produces more focus on the images which means the audience will connote its own meaning more than if they had to read reams of text. This should definitely help sell the product to its specific audience.

Data, Knowledge, Information and Wisdom Continuum

The Data/Information/Knowledge/Wisdom Continuum The Data/Information/Knowledge/Wisdom Continuum Data, information, and knowledge are words used to assign meaning to our complex nursing work. In the field of information technology, these words are used to give meaning and direct the flow of organizational knowledge (Thompson & Warren, 2009). The concept of the data-information-knowledge-wisdom (DIKW) continuum is the transformation of data into wisdom through cognitive processes, which are supportive of the nursing practice.Schleyer and Beaudry (2009) discussed how nurses in this growing specialty are accountable to provide the best evidence-based care advice possible, transform the data collected to information, and apply that knowledge with wisdom to address the patient’s unique needs. The purpose of this paper is to display the progression through the four steps of the data, information, knowledge, wisdom continuum that occurs through research information to answer a clinica l question pertinent to nursing in an acute care setting. Electronic Medication Administration in Acute Care SettingImplementation of the electronic health record, computerized physicians order entry and decision support systems within the health care industry have attributed to a decrease in documentation and transcription errors, while making measurable improvements in our nation’s health care. The clinical research question for this paper is; has implementing the use of the electronic medication administration (eMAR) improved the safety of medication administration in the hospital setting? This technology at present has not been implemented in our hospital organization, but will be in the near future.Poon et al. (2010) explained that serious medication errors are common in hospitals and often occur during the transcription or administration of medication. In order to help prevent such errors, the development of technology has been instituted to verify medications by incorp orating barcode verification technology within an electronic medication-administration system, which is referred to as bar code medication administration (BCMA). Database Resources Ackoff (1989) proposed that data are defined as symbols that represent properties of objects, events and their environment.They are the products of observation, and are of no use until they are in a useable (i. e. relevant) form (as cited in Rowley, 2007). For this paper, the Walden Library Health Science and Nursing Databases were utilized to conduct a search for data related to the clinical question â€Å"has implementing the use of the electronic medication administration (eMAR) improved the safety of medication administration in the hospital setting? † The databases for CINHAL/Medline and PUBMED were queried by using the search words eMAR, bar code technology, medication administration, and safety.The search generated four complete articles in the CINHAL/Medline databases that were pertinent to the topic. Another four sources were generated in the PUBMED database, of which one was a free text article, the other three sources were abstracts; however, two of those sources were successfully retrieved from Google Scholar (find in Walden Library). Although, no full text was available for one of the abstracts found for this source in the search, the information within the abstract was deemed relevant. Transforming Data into InformationInformation is inferred from data (Rowley, 2007). Upon evaluating the plethora of data from said resources, it was determined that a substantial amount of relevant information could be extracted from this accumulation of data to support the clinical question in progress. In other words, said data would be considered information, as it had context to the reason the literature search was being performed. Medication errors cause an estimated 7000 deaths each year and cost the nation $2 billion annually (Paoletti, Suess, Lesko, Feroli, Kennel, Mahler, & Sauders, 2007).A significant reduction of medication errors was evidenced by the use of bar code technology and the eMAR. A study funded by the Agency for Healthcare Research and Quality (Healthcare Benchmark & Quality Improvements, 2010) reported that by incorporating bar-code verification technology within an eMAR system, a significant reduction in medication errors was demonstrated. Connecting Information to Knowledge According to (Thompson & Warren, 2009) knowledge occurs when we apply the data and information to obtain relevant and purposeful meaning.The transformation of information to knowledge occurs when information is combined so that connections can be identified and formalized if you will. Some methods used to achieve this transformation would be through comparison. How does this information compare to other known data? Example: Were there fewer transcription and medication errors with the use of eMAR and bar code technology as opposed to paper documentation and admin istration? Another method would be through making associations or connections. Example: How does the use of eMAR with bar-code technology relate to reduced transcription and medication errors?There was a significant amount of information gleaned from database resources that supported the conclusion, that implementation of such technology could greatly reduce transcription and medication administration errors, as well as adverse drug events, although it did not propose to eliminate such errors. Wisdom Pertaining to Knowledge Can the use of information technology be utilized to gain wisdom? Achieving wisdom via the application of knowledge to manage and solve human problems is essential for health.Major (2002) discussed how wisdom involves recognizing what is most important, by making distinctions among alternatives. It comprises the application of experience, intelligence, creativity, and knowledge, as mediated by values, toward the achievement of a common good (as cited in Matney et al. 2011). It would be a reasonable assertion that clinicians and researchers may conclude that information and knowledge derived from this data will be accurate and can reliably support research, clinical nursing practice, and nursing decisions. SummaryIn that nurses are knowledge workers, it is only natural that they would require a fundamental knowledge to support their practice and profession. As knowledge workers, nurses collect data and information and make decisions that affect individuals, families, and communities at large. An understanding of how the concepts of the data-information-knowledge-wisdom (DIKW) framework overlap and interact will beneficial for nurses performing research studies. Given that wisdom is supported by knowledge, different manifestations of wisdom may exist.Wisdom may be manifested in nursing through â€Å"professional expertise†(Baltez & Staudinger, 2000) or â€Å"clinical judgment† (Benner, 2000), (as cited in Mateny et al. 2011). Re ferences Healthcare Benchmarks & Quality Improvements (2010). Bar-code/eMAR combo reduces errors. Healthcare Benchmarks & Quality improvements, 17(9), 100-102. Matney, S. , Brewster, P. J. , Sward, K. A. , Cloyes, K G. , & Staggers, N. (2011). Philosophical approaches to the nursing informatics data-information-knowledge-wisdom framework.Advances in Nursing Science, 34(1), 6-18. DOI: 10. 1097/ANS. 0b013e3182071813 Paoletti, R. D. , Suess, T. M. , Lesko, M. G. , Feroli, A. A. , Kennel, J. A. , Mahler, J. M. & Sauders, T. (2007). Using bar-code technology and medication observation methodology for safer medication administration. American Journal of Health System Pharmacy, 64,(5), 536-543. Poon, E. G. , Keohane, C. A. , Yoon, C. S. , Ditmore, M. , Bane, A. , Levtzion-Korach, O. , †¦ Gahdhi, T. K. (2010). Effect of bar-code technology on the safety of medication administration.The New England Journal of Medicine, 362, 1698-1707. DOI: 10. 1056/NEJMsa0907115 Rowley, J. (2007). The w isdom hierarchy: Representations of the DIKW hierarchy. Journal of Information Science, 33(2), 163-180. DOI: 10. 1177/0165551506070706 Schleyer, R. , & Beaudry, S. (2009). Data to wisdom: Informatics in telephone triage nursing practice. AAACN Viewpoint, 31(5), 1, 10-3. Thompson, T. L. , & Warren, J. J. (2009). Are they all data? Understanding the work of organizational knowledge. Clinical Nurse Specialist, 23(4), 185-186. DOI: 10. 1097/NUR. 0b013e3181aae374

Financial Planning (Insurance) Case Study Essay

Allison has recently been promoted by her employer, Best Marketing, and now earns $135,000 p. a. working full time. She has commenced salary sacrificing 30% of this amount into superannuation, and her employer contributes Superannuation Guarantee Contributions of 9% of her remaining cash salary. The fund is a balanced growth retail superannuation fund, MM Superannuation. Her current balance is $160,000 and earns on average 7% p. a. after fees and taxes. She also has $100,000 in term life and TPD insurance cover within her superannuation fund. She drives a 4-year old Land Cruiser that is fully paid for. It has low kilometres and she expects to keep it until she retires. She will then need $30,000 to purchase a new car on top of the trade in she expects to receive from the Land Cruiser. Simon works for Newbold’s Pty Ltd, a company which makes custom furniture. He earns around $45,000 p. a. and intends doing this work for the foreseeable future. He is supplied with a work vehicle and his employer pays his SGC based on his $45,000 salary. Simon has $47,000 in superannuation savings, held within the PP Superannuation Fund. The funds are invested in a balanced/ conservative portfolio with a low allocation to growth assets that earns around 4% p. a. after fees and taxes. They are living on a semi-rural property which is valued at around $750,000, but they currently have a mortgage of $150,000 as a line of credit. They are paying approximately $1,000 per month as interest-only payments. Their other personal expenses are around $40,000 p. a. and they spend an additional $15,000 p. a. on holidays. Aside from private health cover, car, and house and contents insurance, the only personal insurance they have is the coverage provided in Allison’s superannuation fund. They do not have a will or any powers of attorney but they want to ensure they have sufficient money for their grandchildren (now aged 6 and 4 years) to attend university. They estimate they will need to accumulate approximately $120,000 (in today’s dollars) over the next 12 years to pay for this. Allison wants to work for five or six more years and they wish to pay off the remainder of the mortgage over that time. She also wants to increase the amount of money in both her and Simon’s superannuation. When she retires she believes they will need $40,000 (in today’s dollars) for their living expenses in retirement, but Simon intends to continue working part time and estimates he will earn $20,000 p. a. They intend to use Simon’s income to fund any holidays. Aside from their superannuation assets, they have $9,000 in a bank account for emergencies earning 4% p. a. , $15,000 in a term deposit earning 5% p. a. and $12,000 in a cash management account earning 5. 5% p. . They are not happy with the taxation implications of these accounts, as any interest earned on the term deposit and cash management accounts seems to go in tax. You ascertain that they both have balanced risk profiles. Required: You are required to provide written responses to the following scenarios and questions, either in short answer form or using bullet points (or both). The following attachments are included : †¢ Sample Financial Services Guide (Personal Advice) †¢ Sample Fact Finder and Risk Profile Questionnaire †¢ Sample Ongoing Service Options – Establish Relationship with Client You are preparing for an initial interview with Simon and Allison Callahan. a) Give some thought to the sort of things you would cover. Include any legal requirements and other documentation which may be helpful in the interview. For the initial interview with the clients I would cover what Azza financial services stands for, their commitment to the customer and any legal implications, go over the financial services guide (send out with letter before hand) and privacy policy and compliance. I would also make the customers aware that the information they are providing is to be used solely for the purposes of assessing their situation to help them get to a better financial position. I would allow the customers to do most of the talking, recording their responses in a fact finder, and ask the client to complete a risk profile questionnaire to get a feel for what their financial position is at the present, what kind of expectations they have on Azza financial services, how much risk they are willing to take on and if there is anything about their situation that might prevent Azza financial from providing advice to the client. )How might you ask the client to prepare for the first meeting? By sending a confirmation letter indicating how long the interview will likely be, the purpose of the interview and what is the outcome intended, advising the client if there are to be any fees paid, providing the client with a list of documents to bring (eg current insurance policies, sup er statements, current investment schemes, income and expenses, latest tax returns, valuations of assets such as property, bank and credit card statements. ) To establish a relationship with Simon and Allison, what strategies might you use to build rapport during the interview process? †¢ offer food or drink (eg coffee, biscuits, tea, water) †¢ monitor client body language and engage in similar movements to make them feel more comfortable †¢ ask open ended questions to show clients you are interested in the personally and want to hear what they have to say. d)What are the four points you must cover when presenting a Financial Services Guide? Fees and charges = explain what fees might be applicable, including benefits and commissions that could be received by 3rd parties/referrers or product providers as a result of the plan being implemented †¢ Products = outline the features of the products and services being recommended †¢ Complaints Policies and Procedure s = make sure to completely explain the procedures for handling customer complaints †¢ Relationships = explain any relationships which might influence which products are recommended or provided e)List the type of fees you could charge the clients. What are the benefits of explaining these fees to the Callahans? Types of fees which could be charged to the clients if they choose to implement the prepared plan are: plan fees (often charged regardless if plan is accepted), commissions, entry fees, management fees, account keeping fees. The benefits of explaining these fees to the clients are that there will be no nasty surprises and they will know what they are getting themselves into from the start. It also provides protection for the advisor in the event that the client deems something unreasonable. In other words, there will be no misunderstandings about the possible cost of advice. )Nominate the range of financial products and services you will be providing advice in. Name the benefits of explaining these to your clients. The financial services and products which I could be providing advice on range from simplistic things such as bank deposit accounts to general and life insurance, complex and simple investment schemes, general and specialized superannuation schemes, estate planning issues (although a lot will be directed to a solicitor if I am not qualified to provide advice on that particular area, the same goes with taxation). The benefit of explaining these to the client is that they will be more aware of what it is Azza financial services can help them with, and if they will need to be involving any third parties to complete their requirements (eg accountant or solicitor). It also takes away any misconceptions as to the outcome of the advice provided and puts everyone on the same level expectation wise. The clients also may not have been aware of particular products and services offered which once explained may change their needs and requirements which might have not previously been considered by the client. )Outline the three steps your clients should take if they have a complaint or dispute prior to contacting the ASIC. †¢ Clients should first contact their advisor to make sure that their disatisfaction is not due to a misunderstanding or something which can be ammended to their satisfaction. I would endeavour to solve their complaint within 3 working days. †¢ If the clients are still unhappy , they should lodge a formal complaint with the liscensees internal complaints process and allow appropriate time for this to be acted upon. If the clients are still unsatisfied with the outcome they may then contact the Finance Industry Ombudsman Service (FOS) for complaints involving losses of less than $500,000. FOS first trys to negociate and outcome between the involved parties, if this is not possible the matter is passed for formal assesemnt by a panel. FOS is free to clients and the decisions it makes are law to the liscensee. 2-Identify Client Objectives and Financial Situation a) What techniques or tools could you use to gather further information about your client’s goals, objectives and financial situation? Fact finder †¢ Financial documentation – tax returns, statements, scheme overviews etc †¢ Use of open ended questions †¢ Diagnostic questionnaires †¢ Risk profiling b)Using your case study, complete the attached Fact Finder with as mu ch information as you can. Remember that this document is used to collect current information as well as identify any issues, problems or constraints that may be relevant in developing your advice. See Fact Finder i)From the scenario in your case study, write down one or more specific financial goals for the generic needs provided. Wealth creation for a specific purpose |Start increasing Allison and Simons Super balances ($160K and $47K) | | |Pay for grandchildren’s university in 12 years – estimated needed | | |$120K in today’s dollars | |Wealth protection |Take out Personal insurances to avoid eroding savings if something | | |unforeseen happens – income protection, trauma, evaluation of current | | life and TPD | |Debt reduction |Pay off IO mortgage of $150K in 5 years | |Tax minimization |Save on tax on bank accounts/term deposits | | |Possibly downsize family home and move mortgage to investment property| | |to save on tax | |Superannuation |Start in creasing Allison and Simons Super balances ($160K and $47K) | | |and evaluate suitability of current funds | |Investment Planning |Possibly purchase Investment property to produce another income stream| | |and save on current tax | | |Look into other investment options to diversify current wealth | |Estate Planning |Establish will and power of attorney with solicitor | c)Write down a line of questioning that you would use in the initial interview to increase your understanding and obtain further clarification of the client’s goals and objectives. Use open-ended questions starting with What, How, When, Why and Where. †¢ Apart from what we have already discussed, tell me about any other goals, long or short term that you might have. †¢ What do you plan to do when you retire? †¢ What is your current state of health? Eg do you smoke, are you aware of any issues that could affect your ability to work? †¢ Simon, what sort of duties do you perform at work? (- for insurance purposes we need to ascertain what type of work Simon is doing in order to now which category he fits, A/B/C? ) †¢ What are the contact details of your accountant? (- Financials) †¢ If you have a solicitor, what are their details? power of attorney, will) †¢ What are your plans/goals in relation to the planning of your estate? †¢ Tell me what other possible financial details you could have overlooked in filling out the fact finder? (- no credit cards? No shares or any investments outside of super and regular bank accounts? ) †¢ What level of cash reserve do you feel comfortable keeping liquid for emergencies, and are you expecting to receive a lump sum of money in the future? †¢ What are the premium details of your current life and general insurance policies? †¢ When are you considering downsizing the family home, if at all? d) What action would you take immediately after the first meeting? Immediately after the first interview I would Clearly write down everything which needs to be investigated or researched, in relation to what types of products, tax issues, possible strategies, the sources of information and a timeline for completion. This is so that I can prove I have been compliant with the corporations Acts requirement of investigating the ‘subject matter of the advice’. I would ask the clients to sign an authority accepting the preparation and research of drawing up a financial plan and agreeing to pay any fee which may be incurred as a result of this advice. e) Simon and Allison have a ‘balanced’ risk profile. Complete the sample Risk Profile Questionnaire to reflect this. See risk profile 3- Analyse Client Objectives & Financial Situation Will Simon and Allison’s current financial circumstances and other concerns meet their objectives without your assistance? a) Why/why not? No, Simon and Allison’s current financial set up is not adequate to allow them to meet their goals and objectives. This is because they are note contributing enough in their superannuation to achieve their desired balances, they do not have any estate plans in place, their current bank accounts are leaving them paying excess tax, they are not sure how to structure their expenses in order to reach a comfortable position upon retirement in 5 years time, and their personal insurance are grossly insufficient to keep them in their current lifestyle and meet expenses should something happen to one of them. ) List the assumptions you made. †¢ Allison and Simon do not have current solicitor whom they have talked about creating a will or power of attorney with †¢ Allison and Simon are of average intelligence and have not had much to do with Financial planning services in the past. †¢ Allison and Simon do not know much about investment schemes, Superannuation regulations, Life insurance or Taxation †¢ Allison and Simon have used an Accountant in the past to prepare their yearly tax returns †¢ The average expected rate of return is 6% †¢ Expected CPI is 3% and current tax rates have been used. c) Reference information sources that you have relied on in forming your view. RG146 training Australia DFS course material and scenario †¢ Australian Taxation Office website (www. ato. gov. au) †¢ Financial Planning association website (www. fpa. asn. au) †¢ Westpac and BT Financial group case studies (internal) 4 – Develop Appropriate Strategies & Solutions a) Describe two research processes you can use to gather information about products and services you recommend to your clients. †¢ Independent research houses (eg Standard and Poors and Morning Star) †¢ Internet sear ches eg ASX, AFPA, ATO etc †¢ Product disclosures, rankings, past performance of companies, Financial review newspaper etc Refer to your case study, Fact Finder and Risk Profile Develop a strategy for each of the following points for Simon and Allison. Describe each of your strategies in terms of key characteristics, advantages and disadvantages. b) Please address Allison’s insurance requirements. Your response should include a brief description of each type of cover and actual amounts recommended. Include calculations and explanations of amounts. †¢ Term Life: – term life insurance provides a bulk payment to the beneificiaries of a person upon their death, or in some cases when disgnosed with a terminal illness the person insured can also received the payment. – offered to people from 16-75 and can renewed until age 99. Can be paid via stepped premiums (where premium increases with age, you pay more in the long run) or level premiums (same amount througout policy, 30% cheaper than stepped in long run, and indexed to CPI) – Advantages of having life insurance are that it gives the insured peace of mind knowing that they are n ot leaving their loved ones in poor financial positions upon their death and ensures they are looked after – Disadvatanges are that there are a few exclusions to the policy such as suicide within first 13 months, War, pre-existing conditions, aids, and terminal illness/disease where it is a direct result from an action which was self-inflicited. – Currenlty Allison has $100,000 worth of life and TPD insurance within her superannuation. In regards to life insurance this is unfortunately inadequate as the estimated living costs for Allison and Simon are $67,000 per anum. In order for Simon to continue meeting these expenses (whilst still working) if allison were to becomed deceased, the insured amount would need to be close to $475,000. This is because if invested at an average fixed deposit rate of 6% it would provide an income stream of $28,500 per anum to Simon. [(475000/100) x 6 = 28,500] – this along with his current net salary of $38490 come to a per anum income strem of $66,990 to meet expenses. An additional $270K should also be added to cover their existing mortgage debt and to have money left over in order to pay for the grandchildrens university education, bringing the total life benefit to $745,000. †¢ Income protection: – A fortnightly or monthly payment paid to the insured in the event that they suffer and injury or illness which leaves them unable to work – Maximum of 75% of income can be insured and person must be employed at least 25 hours per week. Waiting periods of 14-720 dys apply and benefits periods can be 1-65 years (longer the beenfit period the higher the premium) – 2 types of policies are agreed value (specified value to be paid regardless of difference bet ween insureds current and former incomes) indemnity (benefit based on insured income at time of claim. – Advantages are that the insurance provides peace of mind knowing that if the insured was to suffer from an injury or illness and are unable to generate an income that the benfit will be paid as if it were their regular income, giving them peace of mind that they could stay on top of all their financial commitments and goals whilst healing. Disadvantges are that as income protection is linked to employment, those who are unemployed or even those with occupations which are considered too risky are not able to obtain income proteciton insurance. Also, as the benefit is only 75% of income, the insured will be 25% worse off and will need to make sure this will not affect any financial commitments or goals they may have. – Allison currently does not have income protection insurance in place which could end diasterously as she earns 75% of the couples gross income. [(180,0 00/100) x 75 = 135,000)]. Allison should take out an income protection policy with a $101,250 benefit (135,000-25%) which would then provide both her and Simon peace of mind knowing that if anything was to happen they could continue paying their expenses †¢ Total and Permanent Disability: TPD insurance provides a lump sum payment to the insured after a qualifying period (usually six months) when certain criteria is met. – Criteria can be inability to perform own occupation, any occupation, home duties or all duties; these are based on the type of work the insured is in (rated AAA-E) – Immediate qualification for TPD payout if insured looses sight or a limb – Advantages of having TPD is that if the insured suffers a debiltating injury that sees them unable to return to work that they can still meet their expenses – Disadvantages are that it is not available to everyone; a new policy cannot be taken out after 60 and policies already in place automatica lly cease when insured reaches 65. Also unless rated category E, the standard level of cover criteria is ‘any occupation’, meaning that the insured may be able to perform in a role significantly less stimulating, challenging and financilally rewarding which would make them ineglibly to receive a payout even if they suffer a total and permanent diability. – As Allison and Simons expenses are $67,00 p/a and Allisons income protection benefit is $101,250, whilst Allisons still working a stand alone TPD policy would be beneficial for having a lump sum to pay off the exisiting mortgage debt of $150K, have enough money to pay for the grandchildrens university ($120K) and possible medical expenses (another $150K) – totalling a $420K TPD. Another amount for Living expenses should also be considered for the 6 years until retirement ($67,000 x 6 years = $402,000). This brings the total recommended TPD benefit to $822K which could also be bundled as a rider on Allisons life insurance to avoid overinsurrance. †¢ Trauma: – Trauma insurance provides the insured with a bulk payment when they suffer from an illness specified in the policy – Can be bundled with life insurance and a payout will decrease the life policy by the same amount – Available to people aged 16-55, or trauma for children aged 1-12 years ( waiting periods and age limit criteria apply) – Advantages are that as trauma insurance is not related to employment, people with uninsurable occuppations can still generally take out trauma insurance. Also the insurance provides peace of mind knowing that if the isured was to suffer from a specified illness and are unable to generate an income that the sum paid will cover their expenses and ease the financial pressure – Disadvanages are that there are exclusions such as death within 3 to 30 days of trauma event, trauma caused by an ntentional self inflicted injury or attempted suicide and acts of war. – In order to avoid overinsurance Allison should take out around $250K trauma insurance to cover $150K exisiting mortage debt and any medical expenses associated with the event. Allisons Income protection will also most likely be able to contribute towards the benefit amount should a defined event occur. c)Does Simon require personal insurance? If so, what types and how much? Please include reasons and calculations Simon could take out the following polices to provide stability and peace of mind for Allison in the event something should happen to him. †¢ Term Life, Trauma, TPD: As Allisons income (or insurance benefit if something were to happen to her simultaneously) alone can support the couples expenses of $67,000, I would recommend a combined life insurance, TPD and Trauma policy, of $690K for Simon [(salary of $45,000 x 6 years = $27,000) + $150K mortgage debt + $150K possible medical espenses + $120K grandchildrens education = $690,000), so that the mortgage can be paid out, the grandchildrens education can be paid for, any medical expenses which might be incurred can be paid, and a replacement income stream for simon is created leaving allison debt free if something were to happen to Simon. †¢ Income protection: It is my view that Income protection is not necessary for simon as allisons income is more than adequate to support the couple with money left over, however if they did not want to draw on this, an income protection policy could be put in place for 75% of his income. [$45,000 x 75% = $33750 ($33750 / 12 = $2812. 5]. this w ould mean Simons monthly benefit woul be $2812. 5 (75% of his monthly income). D) What is the most efficient way for Simon to contribute to superannuation and why? How much should Simon contribute? As Simon is on the lower end of the income tax scale, it is beneficial for him to make non-concessional contributions into his superannuation as he is eligible for government co-contributions for every $1 he puts in up to $1000. As Allison is on a higher MRT than Simon, if she were to salary sacrifice a larger portion of her income into both their superannuation accounts (shes currently Sacrificing $40,000 into her own, however this could be brought up to $70,000 and then she could sacrifice another $20,000 per anum into Simons in line with their goals of increasing their super balances) they would be paying less tax (as Allison in on the highest MRT and super contributions are at 15%) and they can use Simons income (on lower MRT) to put towards their expenses, thus Simon should not contribute too from his salary above the SG of 9% and non-concessional contributions past $1000 (as his super will be paid in by Allison to achieve the above stated tax advantages). Simon should also switch his investment strategy to a balanced mix as it is too conservative to his risk profile at the present. e)Is Allison contributing sufficient funds to superannuation at this time to meet their retirement objectives? Please explain. To meet their objectives of having $40,000 per anum to live off in retirement, Allison is not contributing enough to her superannuation at this point in time. Allowing for the effects of compounding interest, after 5 years Allison’s superannuation balance would have accumulated to $224,400 (at 7%). In order to provide an income stream of $40,000 Allison will need to bring her balance up to $580,000 by the time she retires in 5 years. This means Allison will need to make up the difference ($580,000 – $224,400 = $355,600) in the next five years. Allison will need to contribute another $30,000 p/a [($355,600/5 = $71,120) – her current Salary Sacrifice of $40,500 = $30,000] to her superannuation to achieve this balance and their retirement objectives. Allisons current total superannuation contributions per anum are $40,500 in salary sacrifice (30% of salary of $135,000) along with a Superannuation guarantee of 9% of her remaining salary ($135,000 – $40,500 = $94,500, $94,500 x 9% = $8505) bringing her total contribution to $49,005. f) Are their additional benefits available to Simon or Allison as a result of your strategies above? By Allison salary sacrificing more of her income she is saving astronomical amounts on tax as the contributions tax is only 15% as opposed to her MRT. As stated previously, Simon will also be eligible for the government co-contributions with his non-concessional contributions. Allison’s income protection policy (and Simons if taken out) are also tax deductible. Simon is also eligible for the low income tax offset of $804 from a maximum of $1350 for income earners of under $30,000. For Simon his amount is worked out with the following calculations: 1. [$1350 – ($45,000 taxable income -$30,000 threshold) x 4% = 546] and then 2. $1350 – 546 = $804) g)What is your recommendation regarding an investment for the grandchildren’s university education? What are the benefits of this investment? For the grandchildren’s education I would recommend investing in a balanced education savings plan (they would need to contribute $7000 p/a (at approx 7%, and with the effects of compounding interest) to reach their goal of $120,000 in 12 years) as the amount invested in taxed at a flat internal company rate of 30% however after 10 years the amounts can be withdrawn for non education purposes tax free, and as the investment is to be over 12 years Allison and Simon could take advantage of this. If it was to be withdrawn earlier, they are still in a good position as the money would be invested with a bit more risk than that of an everyday savings account and the taxation benefits still outweigh other methods, especially with the low income offset which is still said to be increasing. h) Are their bank/cash investments (total $36,000) meeting their requirements? Why/why not? What do you recommend? No, currently these investments are not meeting Allison and Simons requirements as they are held in both names and are therefore subject to Allison’s higher MRT. If Allison and Simon decided to use the advantages provided by income splitting (that is, transferring term deposits and interest bearing accounts into Simons name) then they would save on tax as Simon has a lower MRT. Allison and Simon could also think of putting this money in their Superannuation to capitalize on the 15% contributions tax or putting it into the mortgage as then they are paying less interest, however this would depend on whether or not they would be needing to keep this money liquid for everyday use and emergencies. i) How would you address their goals of paying out their home loan and purchasing the new car upon retirement? In order to pay out their home loan in 5 years time, Allison and Simon would eed to put around $40,000 P/A towards due to interest payable. After Allison’s extra salary sacrificing for both their Super accounts, the couple have around $45,000 surplus disposable income per anum. $40,000 can be used to make these extra payments on the home loan and the other $5000 can be put into a high interest savings account for the 5 years (which if invested at the average deposit rate of 6% will leave them with $29576. 10 after 5 years with the effects of compounding interest) which will leave them with enough money to purchase the new car. j) Are their estate planning preparations adequate? Why/why not? Currently Allison and Simon have no estate plan, therefore it being inadequate. I would recommend to Allison and Simon to contact their solicitor to discuss a will/power of attorney using their information we have uncovered through analyzing their financial situation here today. k)What alternative strategies did you consider? Why did you reject them? Insurance – providing insurances for Simon as well; This would be over insuring and wasting money for Allison and Simon as Simons income in relatively small in comparison to Allison’s, and she is able to cover all costs if something we to happen to Simon. Superannuation – Simon contributing more to his superannuation; the tax benefits of Allison’s salary sacrifice through decreasing her MRT far outweigh that of Simons and it was therefore better to prioritise with Allison’s SS and utilize Simon’s income for expenses. Investments – For the grandchildren’s university education, possibly investing in something more risky (eg shares) or less risky (eg Term deposits) however the tax advantages and return on the educations savings plan in comparison would leave them in a better position. 5 – Present Strategies and Negotiate Solutions Prior to Presentation a)Describe what preparations you would undertake to present your strategies in step 4 to Simon and Allison. After thorough research enabling me to form my recommendations, I would prepare a Statement of Advice with my findings, make sure to gather all product disclosure statements which are relevant, and information to back up my advice. I would also make sure there was a financial services guide within the information I would be taking to the interview. I would then call the clients to arrange a time which suits. b) What back-up information or documentation might you need? I might need to back up the performance of particular products/services I recommend (this could be provided in the form of company reports, asx reports, PDS, articles, academic studies etc) also easy to follow breakdowns of any calculations made so the client can see exactly how the strategy will benfit them. FSG and Privacy policy to assure the client of the companies principles and policies in the event of a dispute. During the Presentation c) Describe the disclosure principles and presentation requirements you must adhere to for the following documents: ? Statement of Advice The statement of advice must have â€Å"statement of advice† written across the front of it, it must be in non complex wording (â€Å"clear, concise and effective manner†), must have a â€Å"generic description of the range of financial products or strategies considered and investigated†¦Ã¢â‚¬ . The customer must receive a copy, along with PDS and FSG and must have signed and had the SOA presented to them BEFORE any implementation of strategies can be put in place. A disclaimer is also usually placed at the bottom of the SOA to protect the financial planner and affiliated companies against the working of case law – althogh this is not required by the corporations act. ? Product Disclosure Statement – The PDS needs to accompany the SOA so the clients have all the information in relation to possible products they are signing up to. Other things which need to be in the PDS include: Fees and charges = explain what fees might be applicable, including ben efits and commissions that could be received by 3rd parties/referrers or product providers as a result of the plan being implemented ? Products = outline the features of the products and services being recommended ? Complaints Policies and Procedures = make sure to completely explain the procedures for handling customer complaints ? Relationships = explain any relationships which might influence which products are recommended or provided d)List 2 objections or concerns your client might raise. How would you address these in order to gain agreement? 1. How do I know that what you recommend will work out for me in the long run? – We have based these recommendations on previous performance of these products and services, all of which you have sighted with your eyes. We cannot 100% guarantee that these potential outcomes listed will occur, however financial planning is what we specialise in and we make it our duty to look after your financial health. If we notice that the course which we have mapped out for you is not heading in the direction we have anticipated, you will be the first to know, and we will review your situation in order to alter your plan to best fit your needs, provided you would like us to provide you with this ongoing service. 2. This plan fee seems overly expensive – why do I have to pay it? – It takes a considerable amount of time, research, investigation and preparation for us to put together a plan that is tailored entirely according to your personal needs. There are no generics or assumptions made with what we are presenting you and the savings and earnings you will make as a result of our guidance will far outweigh the cost of this information. 6 – Implement Agreed Plan Simon and Allison have agreed to your plan. a) What transactional documents/authorities need to be signed by Simon and Allison? †¢ Authority to proceed / SOA and disclaimer †¢ Application forms along with PDS attached †¢ A cheque to be written to accompany application form b) Complete an Implementation Plan, in order, that details your planned actions now that Callahan’s have decided to proceed with your recommendations in step 4, providing an indication of when each must be completed. A – Adviser C – Client | No. Action |Who |When | | |Sign Authority to Proceed |C |Now | | |Provide 3rd parties with adequate notification of actions needed to be taken eg solicitor, accountant |A |ASAP | | |Complete application forms ready for c lient to sign |A |ASAP | | |Present application forms to client with PDS attached to be signed. |A + C |When ready | | |Photocopy, keep one and give other with PDS to client. | | | |Obtain Cheque from Client and attach to application form to be sent to dealer group |A |With step 4 | | |Welcome letter from dealer is issued |A /Dealer |- | | |Secure client file established (maintained for 7 years) |A |- | | |Confirm with clients that they have received welcome letter and they have heard from any 3rd parties. |A |- | | |Speak to clients about Review Service |A |When everything| | | | |is settled | 7 – Provide ongoing service You now have to address the issue of providing ongoing advice to Allison and Simon. )What environmental (economic, market, regulatory) changes, or changes to their personal or financial situation would cause a review of their plan? †¢ Interest rate changed may affect tax advantages, investment earnings †¢ New regulatory changes may grandfather or c ompletely remove current strategies in place †¢ Market booms and busts may cause portfolio mix to be outdated / underperforming †¢ Clients may have suffered a loss, or injury causing them to claim and or need to reassess the financial commitments they can keep up with †¢ Clients may have come into a considerable amount of money unexpectedly allowing for more room to move in current strategy (e. g. inheritance, lotto) Change of advisor may bring upon new light on their situation, may have a better strategy in mind. b)Describe 2 activities you regularly undertake to keep up-to-date with current legal, ethical and regulatory requirements of the finance sector. †¢ Read financial review/finance news, current company legal updates †¢ Read the AFPA reports issued and newsletter from BT financial and liaise with current financial planners c)What level of ongoing service would you propose for these clients? ( â€Å"No service† ( â€Å"Portfolio valuation† ( â€Å"Portfolio review† ( â€Å"Financial Plan review† ( â€Å"Other† – Describe d)Describe the option recommended for your client, and why you have recommended this option. Describe the level of service you will provide and the associated fees. I would recommend an annual portfolio review for Allison and Simon to ensure that they are on track to achieving their goals. This would involve checking balances and fund mixes to ensure adequate returns have been made and that products are performing as anticipated. I would prepare a letter to send out based on my finding advising whether or not a change could benefit them. As the strategies recommended for Allison and Simone are fairly basic a separate fee would not be necessary as this service would be considered to be paid for under the trail commissions. Sample Fact Finder & Risk Questionnaire 1. PERSONAL DETAILS |CLIENT 1 |CLIENT 2 | |Title: |Mrs |Mr | |Given Name: |Allison |Simon | |Preferred Name: |Allison |Simon | |Surname: |Callahan |Callahan | |Date of Birth: |1956 |1958 | |Marital Status: |M |M | | | | | Home Address: |Address: Lot 3 Wattle Road | | | | | |Suburb/Town: Hurstbridge | | |State: VIC Pos tcode: | |Home Telephone No. | | |Preferred Contact No. | | | | | | | | CHILD / DEPENDENT DETAILS Name: |Megan | | | | |Relationship: |Daughter | | | | |Date of Birth: |1981 | | | | |Current Age: |29 | | | | |Financially Dependent: |NO | | | | HEALTH DETAILS Do you Smoke: |Yes / No |Yes / No | |State of Health: |Poor / Good / Excellent |Poor / Good / Excellent | |Are you aware of any health issues that may| | | |impact your ability to earn an income? | | | |(please provide details) | | | |Notes: | 2. EMPLOYMENT DETAILS |CLIENT 1 |CLIENT 2 | |Employment Status: |( Unemployed |( Unemployed | | |( Full Time Employed |( Full Time Employed | | |( Self Employed |( Self Employed | | |( Part-time |( Part-time | | |( Retired |( Retired | | |( Other |( Other | |Employer Name: |Best Marketing |Newbolds Pty Ltd | |Position Title: |Marketing |Employee | |Primary Duties: |Marketing |Custom Furniture | |Work Address: | | | |Current Work Phone No. : | | | |Employment Security: |Secure – just promoted |Secure – intention to stay long term | |Are you Contemplating leaving your employer? |In 5-6 years |Not in the foreseeable future | |Do you foresee any substantial change in |Planned retirement in 5-6 years, possible |In 5-6 years will reduce hours to part time | |your income in the next 2-5 years? reduction in take home pay in the lead up to|– income will be approx $20K p/a | | |this | | |Notes: | | | OTHER ADVISER DETAILS Accountant |Name: | | |Company: | | |Contact Detail: | | Do we have authority to contact? ( Yes ( No Solicitor Name: | | |Company: | | |Contact Detail: | | Do we have authority to contact? ( Yes( No ESTATE PLANNING DETAILS | |CLIENT 1 |CLIENT 2 | |Do you have a current Will? |No |No | |Date of Will / Last Reviewed: | | | |Power of attorney |No |No | |Type / Name of Attorney? | | |Do you have Funeral Plans? |No |No | |Do you have any specific intentions |Intention to pay for grandchildren’s |Intention to pay for grandchildrenâ€℠¢s | |regarding your estate distribution? |university in the approx 12 years (approx |university in the approx 12 years (approx | | |$120K in today’s dollars) |$120K in today’s dollars) | 3. FUTURE NEEDS OBJECTIVE AND GOALS |E. g. Current income needs, retirement income needs, diversification, tax minimisation, capital growth, investment security, wealth creation, | |eliminate mortgage etc | |Reasons for seeking financial advice | |Gain assistance with making the transition to retirement and planning the next five years | | | | | |Short Term (1 to 3 years) | |Save on tax on bank accounts/term deposits through possibly restructure | |Start increasing Allison and Simons Super balances ($160K and $47K) | |Look into other investment options to diversify current wealth | |Medium Term (4 to 7 years) | |Pay off IO mortgage of $150K in 5 years | |Buy new car (through trade in 9 year old land cruiser) worth $30K In 5 years | |Have a $40K (today’s dollars) p/a retirement income stream in 5 years | |Long Term (7 year plus) | |Pay for grandchildren’s university in 12 years – estimated needed $120K in | |today’s dollars | | | | | RETIREMENT PLANNING Retirement Details |CLIENT 1 |CLIENT 2 | |Plan ned Retirement Age: |59/60 |undetermined | |Retirement Income required: |$40K (today’s dollar) |$40K (today’s dollar) | |After retirement, do you intend to work |NO |Expected Income= | |again either on a full-time or part-time | |$20K | |basis? |Till age: undetermined | |What capital expenses will you have in |$ |$ | |retirement? (Please state expense and | | | |value) | | | |Would you like some assets left to your |$ |$ | |estate? Please detail) | | | |Notes: | | | | | 4. FINANCIAL DETAILS PERSONAL BALANCE SHEET Lifestyle Assets | |Owner |Date Acquired |Value |Associated Debt | |Principal Residence: |Allison and Simon | |$750,000 |$150,000 | Contents: | | | | | |Motor Vehicle/s : |Allison |2006 |Land Cruiser |No debt | |Caravan / Boat / Trailer: | | | | | |Investment Property: | | | | | |Other: | | | | | | | | | | | | | | | | | | | | | | | |Total | | | | | Investment Assets Investment | | | | | | | | | | | INCOME DETAILS | |CLIENT 1 |CLIENT 2 | |Income: |$135,000 |$45 ,000 | |Investment Income: |$1770 p/a interest (bank accounts) |$1770 p/a interest (bank accounts) | |Centrelink Income: | | |Pension/Annuity Income | | | |Other Income: | | | | Less Income Tax |$38554 |$7580 | | Less Medicare Levy |$2050 |$700 | |Total Net Income |$94426 |$38490 | |Combined Net Income |$132,916 | EXPENSE DETAILS |COMBINED | | |Food: | | | |Entertainment: |$15,000 | | |Transport/Vehicle: | | | |Council Rates: | | | |Amenities: | | | |Rent: | | | |Mortgage Repayments: |$12,000 | | |Other |$40,000 | | |Total |$67,000 | | SURPLUS DISPOSABLE INCOME | |COMBINED | | |Annual: |$65,916 | | |Monthly: |$5,493 | | PLANNED MAJOR EXPENSES |Nature of Expense |Approx. Expense Amount |Expected Date | |Grandchildren’s university |$120,000 in today’s dollars |12 years | |Purchase new car |$30,000 |5/6 years | | | | | | | | | |What cash reserve do you require for | | | |emergencies or unforeseen expenses? | | | |Are you expecting a future lump sum or | | | |inheritance? | | | |If so, how much? | | |Notes | | | 5. SUPERANNUATION & INSURANCE SUPERANNUATION |Company |Policy No. |Employer/ Personal | |Are any of the above policies preserved? | |No | |Has a tax deduction been claimed for part/all? |Yes |No | |Are there any exit fees applicable? |Yes |No | LEAVE PAYMENTS Type |Expected Receipt Date |Anticipated Amount | |Annual: | | | |Long Service: | | | |Other: | | | |Have you recently received a redundancy package? |Yes |No | |If you have recently received a redundancy package, please provide notice of payments. | GENERAL INSURANCE Insurance Description |Policy Number |Owner |Date Commenced |Sum Insured |Premium Payable | |Term Life and TPD |Allison |$100,000 | | | | | | | | | | | | | | | | | | | | | | | | | |Notes: | | | 6. INVESTOR RISK PROFILE Your attitude to risk is probably the most important factor to consider before investing. To achieve higher returns, you will have to be prepared to accept a higher risk of capital loss. This is because the funds and assets that offer high returns are generally more volatile than those producing lower returns. It is what we call ‘risk/return trade off’. We will recommend investment strategies to match your investments to your risk profile. Investing across the various investment sectors according to your risk profile is called diversification. For example, instead of investing only in property, or only in shares, you might invest a proportion in both, or even include cash or fixed interest to create a balanced portfolio. You are a balanced investor who wants a diversified portfolio to work towards medium to long-term financial goals. You require an investment strategy that will cope with the effects of tax and inflation. Calculated risks will be accepted to help you achieve good returns. 17 – 23 Moderately Conservative – A Low Risk Taker You are a moderately conservative investor seeking better than basic returns, but risk must be low. Typically an older investor seeking to protect wealth that you have accumulated, you may be prepared to consider less aggressive growth investments. 9 – 16 Conservative – A Very Low Risk Taker You are a conservative investor. Risk must be very low and you are prepared to accept lower returns to protect capital. The negative effects of tax and inflation will not concern you, provided your initial investment is protected. 7. CLIENT STATEMENT / AUTHORISATION |I/We herby declare that the information set out in this form is true and correct to the best of my/our knowledge. | |I/We are not aware of any other information and have not disclosed to the person to whom this form is given any other information | |which would be relevant to the making of a recommendation by a Mentor Financial Planning Representative. | |I/We give permission for this information to be used for the preparation of my/our financial plan and I/we understand that the | |investment recommendations will be based solely on the information supplied in this form. | | |I/We also acknowledge that: | |( |I/we have received, read and understood the Financial Services Guide before any advisory services were provided; | |( |I/we permit this document to be passed in confidence to any member of Mentor Financial Planning Pty Ltd; | |( |Lim ited Information Provided | | |I/We have provided limited financial information. I/We have limited the product(s) or objective(s) that can be advised on | | |to: | | |If you are seeking limited advice of a particular nature you must make this known at the time of the interview and you | | |should recognise that the recommendations will only relate to that limited advice being sought and may not be appropriate | | |considering your overall situation and objectives. | |( |Tax File Number Permission | | |I/We give permission for my/our tax file number(s) as provided, to be held only by Mentor Financial Planning and be | | |forwarded to financial institutions as requested or as necessary. |( |Engagement Application | | |I/We request that Mentor Financial Planning investigate research and provide suitable options to the financial objectives | | |outlined in this questionnaire. | | | | | |I/We understand that the preparation fee of $500 is payable for the work to be undertaken. This fee may be credited | | |against my establishment fee should I/We proceed to implement any of the recommendations provided by Mentor Financial | | |Planning. | | |Client 1 | |Client 2 | | | | | |Signature: | | | | | | | | | |Date: | | | | |8. Adviser’s Declaration | I declare that: a) the information contained in the Fact Finder is an accurate and complete record of the information obtained from the client(s); b) The client(s) was provided with a copy of the Financial Services Guides before any advisory services were provided. |Adviser’s Signature | |Date | | | |Additional Important Information for the Client(s) | |If incomplete or limited financial information has been provided: | | | |I, as your Adviser, will not be able to undertake a full needs analysis of your individual investment objectives, financial situation | |and particular needs; | |There is a possibility that any recommendation given to you may not be fully appropriate to your individual objectives and needs, | |especially those which I, as the Adviser, do not know; and | |You as the client must carefully ssess the appropriateness of the recommendations to your own individual investment objectives, | |financial situation and particular needs before acting on them. | To Whom It May Concern Please accept this letter as my/our authority to provide any information requested and documentation if required to Azza Financial Planning (or their representative). Please accept a photocopy or facsimile of this letter, as the original will remain on file at the offices of Mentor Financial Planning. Correspondence should be sent to Level 2, 349 Collins Street Melbourne VIC 3000 This authority should remain in force until withdrawn in writing by me/us. Thankyou. |Allison Callahan | | | |Client 1 Name | |Signature | | | |Simon Callahan | | | | | |Signature | | |Client 2 Name | | | | | | | | | |Client 1 D. O. B. | |Client 2 D. O. B. | | | |___/___/___ | |___/___/___ | | | | | |Lot 3, wattle road, Hurstbridge, VIC | |Address | | | | | On Going Service Options 1. The â€Å"No serviceâ €  option This generally relates to a one off investment placement based on the agreed investment strategy in the financial plan. In choosing this option, no ongoing service or review of the financial plan and the investment portfolio is provided to the client unless specifically requested by the client or upon the recommendation of the planner. 2. The â€Å"Portfolio valuation† option This service provides reports on the value of your investment portfolio only. The fee charged will depend on the frequency of the reports. In choosing this option, no ongoing service or review of the financial plan is provided to the client unless specifically requested by the client or upon the recommendation of the planner. 3. The â€Å"Portfolio review† option This service provides reports on the value of your investment portfolio. The fee to be charged will depend on the frequency of the reviews and will be agreed at the time. The minimum fee is $N/A but this may be higher depending on the complexity of the review. This service includes: An annual/half yearly/quarterly review of your existing investment portfolio and its performance looking at further investment opportunities, if appropriate establishing if there have been any changes in legislation, the economic environment and state of the financial markets that may impact on your recommended investment portfolio In choosing this option, o ongoing service or review of the financial plan is provided to the client unless specifically requested by the client or upon the recommendation of the planner. 4. The â€Å"Financial Plan review† option This service provides for an annual/half yearly/quarterly review of the overall financial plan strategy and the investment portfolio recommend ed. Each review will be presented in the manner of a written report and recommendations. The fee to be charged will depend on the frequency of the reviews and will be agreed at the time. The minimum fee is $__500________, but this may be higher depending on the complexity of the review. This service includes: roviding reports on the value of your investment portfolio; an annual/half yearly/quarterly review (including comments) of your existing investment portfolio and its performance; looking at further investment opportunities, if appropriate; establishing if there have been any changes in legislation, the economic environment and state of the financial markets that may impact on your recommended investment portfolio and the overall financial plan strategy; establish if there have been any changes to your personal circumstances or financial goals and objectives; ascertain if the overall financial plan and the investment portfolio is continuing to meet your financial goals and objec tives (including an insurance review); and making any new recommendations (if necessary).

Plagiarism Issues Essays

Plagiarism Issues Essays Plagiarism Issues Essay Plagiarism Issues Essay Knowing that someone committed plagiarism for the first time or for a several times already is a bit hard because one gets between doing the right thing and keeping it a secret. However, despite this difficulty, one should be motivated enough to stick to what is right. If I were Ariana, I would consider my options. I can pretend to ignore what Kunta did but then I have to live with my conscience for overlooking that mistake. If I pretend to ignore it, my grades in school will also be jeopardized, or worse, I might be expelled. Though it is hard, it is just right that I report to my instructor what Kunta did. I am sure he knew that plagiarism is unethical and illegal, and he knew the consequences of committing it. The possibility that anyone can notice his act of plagiarism is at hand. Thus, he should expect that anytime soon he will be reprimanded for it. It is also difficult that the other members in the team tolerated Kunta’s actions. What is worse is that they knew this was going on for sometime, yet they did not do something just because they were good friends with Kunta. They deliberately committed willful ignorance and consent. With no one to support me, I am faced with the sole responsibility of reporting the case to my instructor. As my grades and my status in the university are at stake, I would not want to work with Kunta, especially if he resisted being reprimanded. Persons who do things that are unethical and/or illegal may harm others. Kunta is not a good model as a student, and this can taint his other group mates as well. Whether someone gets caught of committing plagiarism is one of the issues that do not seem to be settled. There were questions that do not have easy answers, such as whether if unintentional copying of someone’s work without proper acknowledgment still plagiarism (Green). On this case, I think the answer is yes, even for the case of Kunta. As defined, plagiarism is copying someone’s works or ideas without properly attributing those ideas to the original author (Tutorial† Plagiarism: What it is and How to Recognize and Avoid it†). Kunta did commit plagiarism, regardless if he was never caught before. With these views in mind, I adhere to the belief that honesty is the best policy. Plagiarism is unethical and illegal, and it robs the author of the benefits entitled to him. I always avoid committing plagiarism. Subjecting myself to such unethical acts is an utter conflict with my beliefs.

How To Make Green Flames Using Copper Sulfate

How To Make Green Flames Using Copper Sulfate Its easy to create green flames using copper sulfate, which you can find in common household products. Green Flames Materials copper sulfatealcohol or alcohol-base fuel Copper sulfate is found as the main ingredient in certain stump removal and algae control products. Be sure copper sulfate is listed on the product label. Other copper salts also produce green or blue flames, but not all are as safe. The project is easiest using granular or powdered copper sulfate, although you can use a liquid product. To use a liquid, you can either soak paper or wood and allow it to dry before burning it or you can pour the liquid into a shallow dish, allow it to evaporate and collect the solid for use in projects. A Note about Fuel I recommend using alcohol or an alcohol-based fuel because alcohol burns with a blue flame, so youll get a bright green color from the copper. However, you will get green flames if you simply sprinkle copper sulfate on a wood fire or if you use a different fuel, except other chemicals in the fuel may add yellow, orange and red to the flame. Make Green Flames Simply sprinkle copper sulfate onto the fuel, light it and enjoy the green flames! The copper is not consumed by the fire so if you are burning a clean fuel you can reuse the copper sulfate again and again. Heres a YouTube video of copper sulfate green fire, showing you this project in action. Green Flames with Boric Acid | More Ways to Color Fire

Stanch and Staunch

Stanch and Staunch Stanch and Staunch Stanch and Staunch By Maeve Maddox Although the two spellings are often seen used interchangeably, recommended modern usage is to distinguish between them: stanch: verb. to stop the flow of something, usually blood. staunch: adjective. (of persons) strong, standing firm and true to ones principles. Pronunciation differs among English speakers, but /aw/ is the most commonly heard vowel sound in staunch. The OED gives /ah/ as the first pronunciation for stanch, but Merriam-Webster gives /aw/ first for both staunch and stanch. OED gives two alternate pronunciations for each word. M-W lists five alternate pronunciations for each. Stanch occurs as an adjective in old books and periodicals (1930 and earlier), but modern usage favors reserving stanch for use as a verb and staunch as an adjective. H.W. Fowler, Modern English Usage stanch, staunch. The adjective is usually staunch, the verb stanch. Chicago Manual of Style staunch; stanch. Staunch is an adjective meaning â€Å"ardent and faithful† Stanch is a verb meaning â€Å"to stop the flow†; it is almost always used in regard to bleeding, literally and metaphorically AP Stylebook stanch, staunch. Stanch is a verb. Staunch is an adjective. However, not all journalists consult Fowler, CMOS, or AP: Gillards challenge is to staunch the bleeding (The Australian) †¦the operators struggled to quickly staunch the flow of oil into the Gulf of Mexico. (Reuters article) One should give Kennedy his due as a stanch fighter for what he believed in, (political website called American Power) the senator †¦ is a stanch supporter of the right to hunt and the right to bear arms. (USAToday) Here are some examples from writers who do observe the distinction: †¦he was a staunch friend of Polands Jewish community. Staunch anti-Castro U.S. congressman to retire Hospitality, government jobs help stanch D.C. unemployment tide part of the Sixth SS Panzer Armee embarking for the Eastern Front to try to stanch the Russian advance. Does it matter? At least one recent grammar test, the Dow Jones Grammar Test 2009, includes an item that requires a choice between stanch and staunch. (You must enter an email address in order to access the test.) Want to improve your English in five minutes a day? Get a subscription and start receiving our writing tips and exercises daily! Keep learning! Browse the Misused Words category, check our popular posts, or choose a related post below:7 English Grammar Rules You Should Know"Have" vs "Having" in Certain Expressions7 Sound Techniques for Effective Writing

Market mechanism and public service delivery Essay

Market mechanism and public service delivery - Essay Example In the last few decades,public administration has witnessed a deep process of reform in order to "make publicly-owned services and enterprises more business - like".For, public administration has increasingly translated into public governance and huge behemoths in the public sector are expected to be run more efficiently at reduced costs. In other words, it is expected that the public administration become competitive in delivering goods and services. Governments are expected to strategise a country's developmental priorities by providing an efficient, responsive and transparent public administration. Countries have now moved to a mix of market-based or competitive governance and civic-based or partnership governance. This has been brought about by the changing role of the state and the growing businesslike and managerial approach to the operations of Public Administration. A new fragmented and complex world of markets and networks has pushed governments to move from a direct deliver y of services to a more general coordination and control of government functions. While, there is substantial scope for increase in delivery of public services through the market mechanism, there are several limitations and impediments too.In a globalised era, public administration, or the delivery of public services considered as universal needs and much needed socio-economic infrastructure to civil society are proving to be a tough and complex task. Since Public Administration includes within its ambit political, economic and social governance, governments across the world are having to function in an environment marked by increased public scrutiny. This has arisen out of increasing democratization and the diffusion of ideas arising from the implosion of information and communication technologies. Text of the article Since the time of Plato, Aristotle and Kautilya, good public managers have been recognized as those with sound judgement, a sense of justice and courage to take action on behalf of the good of society. Traditionally, public administration entities ie government institutions responsible for providing vital services have been state-centric, huge, self sufficient monoliths, hierarchical in their relations and also inclined towards a controlling order. Since early Public service mechanism 2 times, the public administration in countries has been providing services essential to society, some of them considered as fundamental rights of the citizens, like the right to water. In addition, law and order, health, education and building infrastructure viz. roads, transportation including railways and aviation, telecommunication, sewage, energy and a host of other services have come within the ambit of public administration. Publicly owned services and industries are controlled by the central governments. These state-owned enterprises or services do not generate any profit and provide essential services for the entire population. The cost of providing these services is met from taxation money. Local bodies are entrusted with certain civic functions including waste management, maintenance of parks etc. The main advantage in public owned enterprises or services is that jobs for workers in these institutions are secure and unemployment does not

Spam (Computing) Essay Example | Topics and Well Written Essays - 1500 words

Spam (Computing) - Essay Example Proponents of permission-based emails argue that the receiver can simply hit the delete button or use an opt-out option listed in the electronic advertisement if they do not want to view the email. (Godin, 1999, pg. 43). Opponents charge anything that arrives in the inbox that the recipient didn’t request is spam and that just because a purchase is made doesn’t give that company the right to inundate them with junk mail. The debate is joined whether this tactic serves to generate trade or to drive potential customers away. Spam is considered not only intrusive but is generally viewed as a scheme of some kind. Those that don’t differentiate between the two are driven away from these emails thus questioning their effectiveness. The question then becomes are permission based emails an unwanted and ineffective or a necessary and reasonable method of advertising? Argument Spammers have long attempted to justify their intrusive form of advertising. So-called permission -based marketing is just another example of spam. According to their logic, if a person forgets to check a button at the end of an online order form requesting no further correspondence, this constitutes permission. If a lawn care or maintenance man had access to your property does that give implied permission to sell you Viagra? When a service or product is purchased on the Internet, does this give implied permission for the company to suggest sell on a daily basis via your email account? If a consumer is required to type in an email address to visit the site or bought a related product from another company that, in turn, sold their email lists, this is all considered permission to inundate an email box with spam. An opt-in list can be purchased, on the Internet, of course, thus making even a respectable company’s permission list suspect. Many companies, including utility and service companies assume that an individual has granted spam permission if they have used a product or service of that company. These emails typically announce that this email is not spam; you have opted to receive this information. It goes on to espouse the company’s spam policy and that it’s policy prohibits spam of any kind. There seems to be a perception chasm between marketers and the consumer. (Dean, 2003). If the old adage ‘time is money’ is correct, then stolen time is stolen money. The theft of a few seconds will not cause a person to lose their livelihood but that is similar to saying stealing one item from a chain store won’t bankrupt the company. Wrong on a small scale is still wrong. Spammers may argue that junk mail does not have the same effect as stealing because there is an opt-out option choice on the email, but the time spent reading, following the link and then the steps necessary to stop the spam is time lost. Multiply that 30 seconds of effort by 100’s of spam emails and that is significant money stolen from an individ ual and/or their employer. (Rhode, 2003). Adopting Opt-in anti-spam email rules worldwide would limit spam messages, perceived or otherwise, as the consumer would have to make a deliberate choice to receive company generated email. The Opt-out option addresses the spam issue only after the unwanted message was sent. The loss of time and irritation to

Case Studes Study Example | Topics and Well Written Essays - 500 words

Studes - Case Study Example This approach would include test of anger management, sustenance of pressure besides the general intelligence and academic excellence. Apex Environment is such kind of an organization that is a reputable standards that Maria has been anticipating and longing to work with. I strongly rule out the fact that at any given time the interviewing panel lost its course and unintentionally become irrelevant on the interview questions. It wasn’t carelessness. A panel of five intelligent personalities in company of the president of the company couldn’t have got it all wrong by asking irrelevant questions unintentionally, all of this was intentional and may be to test the level of patience, humility and soberness in dealing with the different situations or rather any other aspect that was being tested by the interviewing panel. This is best known to the panel itself and the purpose they intend all this would serve. Yes I would take the job if I were Maria. I don’t think I need any other additional information to raise my confidence on the firm since I hold the interviewing team with high level of intellect, wit, expertise and professionalism (Swanson & Elwood 49). Having been considered for the job by the panel is a show of having displayed competence and ability with addition to the second part of the session thereby meeting with the firm’s president and another panelist to discuss exclusively technically expertise relevant questions was a clear show that the previous was not sufficient but wasn’t targeting anything to do with her professional expertise. 3. The job of applications engineer for which Maria was applying requires (a) excellent technical skills with respect to mechanical engineering, (b) a commitment to working in the area of pollution control, (c) the ability to deal well confidently with customers who have engineering problems,

Law and management Assignment Example | Topics and Well Written Essays - 2000 words - 1

Law and management - Assignment Example ess in which the courts interpret and apply legislation in the courts is known as the statutory interpretation.The court looks on the meaning of the statute and looks at how it is implemented by the process. The statute, which is regarded as a bill, or law, which is passed by the legislature, subjects the people on the rules and obligations. However, apart from statutes making law, statutory interpretation involves making a decision on how a particular bill or law will apply in a particular case. A clear interpretation is sometimes very important especially when a case involves a statute and sometimes the words of a statute have a plain straightforward meaning. However, in other times, there is ambiguity or sometimes vagueness in the normal words of the statute, which must be resolved by the judge.The judiciary gives out an interpretation on how the legislation should be applied in a certain case since there is no unambiguous legislation that addresses all matters. There are several reasons as to why words being imperfect symbols in the communicating intent, they are ambiguous,and the meaning changes with time, and lastly the unforeseen incidences are unavoidable and the new technology and anew culture apply the existing law to be challenging. Addition of uncertainties may also take place in the course of enactment; for example, need to cater for special interest group or compromise.Judges have the responsibilities of giving out the meanings of the statutes. They use several measures and methods of statutory interpretation such as theuse of traditional canons of statutory interpretation, legislative history and additionally the purpose. It is known that,in common law jurisdictions, rules of statutory interpretation may be applied to the enacted legislation or additionally to the legislation that is delegated such as administrative agency regulations. The judiciary majorly takes such actions; therefore,there is a responsibility that the court needto do, it must try

Developments And Changes Music Over Time Essay Example | Topics and Well Written Essays - 2500 words

Developments And Changes Music Over Time - Essay Example Music publishing is the process concerned with valuing, developing, and protecting music in the wider music industry. Music publishers are the people charged or tasked with the duty of developing new music and taking care of the business side. They do this to help songwriters and composers to concentrate their efforts on the creation of new music. This therefore leads to the definition of a music publisher as that person who seeks out music, composers and songwriters, goes ahead to promote their catalogues, manages the business exploitation of those catalogues through registration of works and collection of due royalties in order to protect and enhance the work of songwriters and composers (Dolfsma, 2000). They achieve this by doing the following tasks; finding new talents then supporting and encouraging them. Coordinate work flow and secure commissions. They also register the works of songwriters to the appropriate societies and agencies. They produce demo recordings and performance materials in contemporary classical music. They also license and produce printed music.

Law and management Assignment Example | Topics and Well Written Essays - 2000 words - 1

Law and management - Assignment Example ess in which the courts interpret and apply legislation in the courts is known as the statutory interpretation.The court looks on the meaning of the statute and looks at how it is implemented by the process. The statute, which is regarded as a bill, or law, which is passed by the legislature, subjects the people on the rules and obligations. However, apart from statutes making law, statutory interpretation involves making a decision on how a particular bill or law will apply in a particular case. A clear interpretation is sometimes very important especially when a case involves a statute and sometimes the words of a statute have a plain straightforward meaning. However, in other times, there is ambiguity or sometimes vagueness in the normal words of the statute, which must be resolved by the judge.The judiciary gives out an interpretation on how the legislation should be applied in a certain case since there is no unambiguous legislation that addresses all matters. There are several reasons as to why words being imperfect symbols in the communicating intent, they are ambiguous,and the meaning changes with time, and lastly the unforeseen incidences are unavoidable and the new technology and anew culture apply the existing law to be challenging. Addition of uncertainties may also take place in the course of enactment; for example, need to cater for special interest group or compromise.Judges have the responsibilities of giving out the meanings of the statutes. They use several measures and methods of statutory interpretation such as theuse of traditional canons of statutory interpretation, legislative history and additionally the purpose. It is known that,in common law jurisdictions, rules of statutory interpretation may be applied to the enacted legislation or additionally to the legislation that is delegated such as administrative agency regulations. The judiciary majorly takes such actions; therefore,there is a responsibility that the court needto do, it must try

Coursework 1 Assignment Example | Topics and Well Written Essays - 2000 words

Coursework 1 - Assignment Example The Edhi Foundation also has air ambulances so that they can reach faster to remote areas. Its headquarters are in Karachi, Pakistan and in Karachi alone it has eight hospitals that provide free medicinal care, cater to diabetes patients, eye hospitals, a cancer hospital etc. There are also two blood banks managed by the Edhi Foundation in Karachi. Many lives have been saved by their services, be it babies, orphans, mothers, the elderly. (Foundation, 2012) Edhi and his wife Bilquis have been like what water is to a parched land and they have spent their entire lives working for the welfare of the needy in Pakistan and abroad and they continue to do so. They function in eleven places outside Pakistan and are perhaps the only charitable organization that has gone international in Pakistan. They are totally committed to the people; fame and publicity have never attracted them and they prefer to just be dedicated to a lifetime of work and betterment of the society. (Magnier, 2011) Abdul Sattar Edhi, the founder of this society was brought up in a way that inculcated kindness as a part of everything in him. His mother brought him up with strong morals and he saw the impoverished life of the poor and sought to help them. He started with his one can called the â€Å"poor man’s van† and lead up to what his society is today: claiming bodies, burying them, rescuing people from any ailment he possibly could. Since he started, his ambulances have been all over Karachi, in good times and bad equally. He has been truly there for the people, which is why his organization again has a competitive advantage over others. Apart from always being there, they were the first South Asian Foundation to own air ambulances. There are 3,500 workers and many volunteers who help make it the best organization possible for the people. (Foundation, 2012) And despite all the fame he could

Data Preprocessing Essay Example for Free

Data Preprocessing Essay Data Preprocessing 3 Today’s real-world databases are highly susceptible to noisy, missing, and inconsistent data due to their typically huge size (often several gigabytes or more) and their likely origin from multiple, heterogenous sources. Low-quality data will lead to low-quality mining results. â€Å"How can the data be preprocessed in order to help improve the quality of the data and, consequently, of the mining results? How can the data be preprocessed so as to improve the ef? ciency and ease of the mining process? † There are several data preprocessing techniques. Data cleaning can be applied to remove noise and correct inconsistencies in data. Data integration merges data from multiple sources into a coherent data store such as a data warehouse. Data reduction can reduce data size by, for instance, aggregating, eliminating redundant features, or clustering. Data transformations (e. g. , normalization) may be applied, where data are scaled to fall within a smaller range like 0. 0 to 1. 0. This can improve the accuracy and ef? ciency of mining algorithms involving distance measurements. These techniques are not mutually exclusive; they may work together. For example, data cleaning can involve transformations to correct wrong data, such as by transforming all entries for a date ? eld to a common format. In Chapter 2, we learned about the different attribute types and how to use basic statistical descriptions to study data characteristics. These can help identify erroneous values and outliers, which will be useful in the data cleaning and integration steps. Data processing techniques, when applied before mining, can substantially improve the overall quality of the patterns mined and/or the time required for the actual mining.

The Influence of Mass Media

The Influence of Mass Media The importance of the media today is immense Mass media has become an industry in the world. From the T.V in the house, the newspaper on the doorstep, the radio on the car to the fliers in the mailbox and the internet. Because the media are so prevalent in industrialized countries, they have a powerful impact on how those populations view the world. Nearly all of the news in the United States comes from a major network or newspaper. It is only the most local and personal events that are experienced first-hand. Events in the larger community, the state, the country, and the rest of the world are experienced through the eyes of a journalist. Not only do the media report the news, they create the news by deciding what to report. The production of news often goes through several steps: informants and sources, press agents, reporters, news agencies, journalists, and editors. Many media are citing other media or opinion leaders so that the complete chain of information flow becomes quite long. Selection and distortion may take place at every link in this chain of information transmission. The top story of the day has to be picked from the millions of things that happened that particular day. After something is deemed newsworthy, there are decisions on how much time or space to give it, whom to interview, what pictures to use, and how to frame it. Often considered by editors, but seldom discussed, is how the biases and interests of management will impact these determinations. All of these decisions add up to the audiences view of the world, and those who influence the decisions influence the audience. The mass media have an important role in modern democratic society as the main channel of communication. The population relies on the news media as the main source of information and the basis on which they form their opinions and voting decisions. According to cultural selection theory, any selection of messages in the mass media will thus have a profound effect on the entire society. Competition has become increasingly keen in the area of the mass media as they keep fighting for the attention of the readers, listeners, and TV-viewers. The life and death of each newspaper and TV station is at stake here when the income from advertising and sponsoring is proportional to the number of readers or viewers. The printed media have problems competing with the electronic media as sources of news. In order to survive, they are increasingly turning to other strategies such as entertainment, titillation, scandal mongering, and spreading fear and spending fewer resources on serious researching of news. This is not only about the survival of the fittest of the news media, it is also about cultural selection and political selection. The news media are the most important channels for the propagation of culture, ideas, and opinions. Most opinion formation takes place when people sit and watch news and debates on television. Analyzing the cultural selection in the electronic info rmation society, we find that an important part of the selection lies in the choice between TV channels. Millions of lazy viewers sit in their comfortable arm-chairs with remote controls in their hands zapping between action films, revivalist preachers, and commercials for a new fragrance, hardly realizing that by choosing which cultural and political influences they expose themselves to, they also chose the cultural and political evolution of their country. It is very important to analyze which selection criteria are in effect here. The electronic media are first and foremost pacifying. It is a relaxation machine, and the viewer wants to be entertained. The faces on the screen are not chosen for their opinions but for their entertainment value. TV stations do not compete on ideologies but on sense impressions. An extreme example is music videos, satiated with fast changing sense impressions in sound as well as in pictures. The media, therefore, have enormous importance to conflict resolution because they are the primary and frequently only source of information regarding conflicts. If a situation doesnt make the news, it simply does not exist for most people. When peaceful options such as negotiation and other collaborative problem-solving techniques are not covered, or their successes are not reported, they become invisible and are not likely to be considered or even understood as possible options in the management of a conflict. In psychology, communication theory and sociology, media influence or media effects refers to the theories about the ways the mass media affect how their audiences think and behave. The shift of media and media industry over the past few years into new forms, such as DVD and the internet, changes the modalities available for audiences to consume and receive media. The change has caused some media theorists to call into question the influence that the media have over attitudes and beliefs. The consequences and ramifications of the mass media relate not merely to the way newsworthy events are perceived (and which are reported at all), but also to a multitude of cultural influences that operate through the media. The media has a strong social and cultural impact upon society. This is predicated upon its ability to reach a wide audience which often sends a strong and influential message. Marshall McLuhan uses the term à ¢Ãƒ ¢Ã¢â‚¬Å¡Ã‚ ¬Ãƒâ€¦Ã¢â‚¬Å"the medium is the messageà ¢Ãƒ ¢Ã¢â‚¬Å¡Ã‚ ¬Ãƒâ€šÃ‚  as a means of explaining how the distribution of the message can often be more important that the message itself. It is through the persuasiveness of mediums such as television, radio and print media that reach the target audience. The internet has lifted some of the restrictions placed on society by allowing for diversification of political opinions, social and cultural differences and heightened level of consumer participation. There have been suggestions that allowing consumers to produce information through the internet will lead to a bombardment of too much information. It can however allow society a medium for expressing opinions and moving away from the political restrictions placed on society. Media can also influence the way people talk. Certain movies have quotes that can be embedded into the minds of the audience. However, these quotes can be either appropriate or non appropriate. Media scientists have often discussed how much influence the media have on peoples opinions. People tend to selectively read what they already agree with and to rationalize their preformed opinions in the face of contrary arguments. Experimental evidence seems to indicate that the mass media have little power to change peoples opinions on issues for which they already have formed a strong opinion, but they have a profound influence when it comes to setting the agenda and priming people on new issues. The way an issue is framed determines how it is discussed, which causes a social problem is blamed on, and which of the possible remedies are entered into the discussion. In conclusion, the media can be used to promote social growth and thinking skills. Therefore, the design is focused on human itself other than lots of unnecessary things for the society. The winner for that era will be the person who has flexible thinking power. Also, the designer must have a true character. Follow the path of virtue with right-minded should be their goal. In addition to, the designer should have to find their lifes passion, develop themselves-esteem, and create self- appreciations which lead to more positive self-esteem. With all that in mind the designer have a powerful persuasion.