Modern pricing models Essay Example | Topics and Well Written Essays - 250 words - 1

Modern pricing models - Essay Example Some of the shortcomings experienced with the Black-Scholes model were strike-price bias and return skewness. Consequently, the development of the Heston model came in as the best alternative tool for the purposes of advanced investments (Gilli, Maringer & Schumann 2011, p.257). As any other stochastic volatility model, the Heston model utilizes statistical methods when making calculations or forecasts of the various pricing options in consideration. As such, it also bases on the assumption that the underlying security or trading option has an arbitrary volatility. Therefore, the Heston model falls among the various different models of stochastic volatility such as the GARCH model, the Chen model, as well as the SABR model. Consequently, the Heston Model also falls under the standard smile model category, with â€Å"smile† in this concept referring to the volatility smile. A volatility smile is a graphical representation of various options that have identical expiration date expressing an increasing volatility. This increase in volatility arises often arises when the options become more out of the money or in the money. The concave shape generated by the graph is what gives rise to the name, the smiles model, as it appears like a smile (Wang 2007, p. 3). The Heston Model applies mathematical calculations in describing the process of evolution in volatility that an underlying asset undergoes under the stochastic volatility options. As such, just as other statistical models mentioned above, the Heston Model equally has a number of assumptions, such as the volatility of an asset not being constant, or deterministic, but rather following a random process. Some the of the basic assumptions of the Heston Model is that the stochastic process determines the asset price, St In addition, forms part of the Wiener Process as experienced under the GBM (Geometric Brownian Motion) also considered

Ethical Case Scenario Development Assignment Example | Topics and Well Written Essays - 250 words

Ethical Case Scenario Development - Assignment Example This will help me to generate the much needed knowledge I may require in order to complete this assignment. Again this is a good decision since it would improve my knowledge. However, recommending the board to undertake the project fully knowing that it is not feasible is unethical. Whilst I may pretend that all is well, my conscience would tell me that I have done something wrong. In the event that something goes terribly wrong during or after the project after I have indicated that all is well, I would be guilty of lying. I would have put myself in a tight corner where I would be forced to lie. Lying is unethical therefore it is always good to be truthful every time. As noted, lying is bad. The other option is to write a negative report without stating the reasons. This action is likely to cause anxiety among the board members. Writing a negative report is a good thing since it would help the management to review the whole scenario. In any case, this will help them to make informed decisions whether to proceed with the project or

The significance of management information systems

The significance of management information systems Introduction: It is said that Modern economy is economy of knowledge the one who are advance in specific information and communication technology continue to transform the competitive goals into reality. Information technology has completely changed the position of business now the ways are completely changed from traditional to internet based information systems. It included the information required during communications, transactions, production of goods, provision of services and operational management. Organizations resources must be quite efficient and effective to meet the needs for competition. All the management of organizational and business processes, required level of knowledge about customers needs, and it should be capable to put that information to right department with organization on time that can produce quick response to changes in business environment. It is issue that the manager should have deep understanding of how to use information and technology to support and then to mana ge the organizational and business processes accordingly to meet get the competitive advantages. This assignment makes discussion over the role of information technology in supporting organization strategy, application of information systems, use of this information system to support business processes. It also discuses role of information system in the process of operations, manufacturing, cost management, quality. It will also cover the activities to build effective information system. In this assignment we will also examine the alternative information system; we will look into current technologies and their use in marketing. At and before making conclusion we will make a analysis about the use of data base for marketing by e-marketing and e-Commerce. Later we will make a link between the use of all new modern information systems and marketing techniques to the planning of business especially the developing business. Because it is all about adopting a solid practical approach while adopting new information systems so that business could grow and it can bring profits to the investors. 1: Significance of Traditional and internet based information system. Information system can be defined as information system,  an integrated set of components for collecting, storing, processing, and communicating information. (Encyclopedia Britannica, 2010) It further says that Business firms, other organizations, and individuals in contemporary society rely on information systems to manage their operations, compete in the marketplace, supply services, and augment personal lives. For instance, modern corporations rely on computerized information systems to process financial accounts and manage human resources; municipal governments rely on information systems to provide basic services to its citizens; and individuals use information systems to study, shop, bank, and invest. (Encyclopedia Britannica, 2010) It is very clear that all kind of human activities these days rely on information and it is perfectly said as age of information. The existing information system can be easily divided into two main groups one is traditional way of information and other is internet based information system. We can put following ways of information into traditional information system: Direct Books Letters Newspapers Gazettes Journals Reports While the internet based information includes Websites Blogs E-newspapers and journals Emails Both the traditional and internet based systems have different and unique importance in business. Both have advantages and disadvantages over each other. They can not be put into same level of importance while we see into their different use according to needs of the business. They both can be placed on equal importance level that varies from one situation to other. There are situations where one can be preferred over the other easily. Traditional system is effective where in-formations are required for all time anywhere in all circumstances without facing the problem of electricity cuts and internet availability. While internet based system is effective where the issue of time is important factor and there is requirement of fastest delivery of information. 2: Use of Information system in operations, manufacturing, cost management, quality. Now a days information system is more important and integral part of business. Information system is a greatest tool for acquiring competitive advantage over the market competitors. If it is use effectively during all the business process from planning to quality assessment it can bring amazing fruits to the organizations. A successful organization requires understanding of organization behavior, leadership and management, societal, ethical and legal issues, relationship management, and strategic management. Operations management focuses on managing the processes of production and distribution of products and services. Major, overall activities often include product creation, development, production and distribution. Related activities include managing purchases, inventory control, quality control, storage, logistics and evaluations. An effective information flow on time is a key in all the operation process if one thing is delayed all can go into waste or delays in production which can bring cost to the organization. A great deal of focus is on efficiency and effectiveness of processes. Therefore, operations management often includes substantial measurement and analysis of internal processes. Information system always plays key role in all operations and without continuous flow of right information at right time one can not complete operation effectively. There should be always a focus on flow of information through effective information system or systems while conducting operations for successful businesses. Manufacturing is another important issue in a business the perfect information systems brings quality and accuracy in manufacturing its noticed that all business organization always take great care during manufacturing because when dealing products its the product at end which bring profits to the investors. What are the details of product being manufactured and what processes will be followed play important role the information system of the organizations decide the right move at right time and try to win the advantages. Quality is always the advantage that can be crucial in markets. The issue of quality also depends on the flow of right information at right time for an organization. If there is problem with right information or its delivery to related people on right time it can bring problems for organization. Overall what the process is being implemented the role of information and its right time delivery play vital role in business success and should be taken seriously whether its the process of operations, manufacturing or its about the quality concern. 3: Information System Role in competitive advantage and management. Information system is deciding factor in the business success for any company or organization. Whether it is providing product or it is giving services. If an organization has effective flow or right information with in organization that is right at right time and managers are abele to control it properly that brings the advantage to that business in the competition with other competitors. But if that system of information fails at any stage it brings decline in profits and earnings. Similarly a good management is always equipped with quality of information and it knows how to in place that information while doing their job from planning phase to making overview at end of year about the business performance. 4: Activities to build information system. The activities include in a building of an effective information system are inputting data, processing of that data into information, storage of data and information, then the production of outputs such as management reports. This needs a proper system which consists of following systems Decision Support System, implementation system and monitoring system. A manager should keep closer monitoring and liaison with his colleagues during all the process and activities so that he could control the flow of information according to needs. These activates can be arranged as following:- Problem recognition and specification Information gathering Requirements specification for the new system System design System construction System implementation Review and maintenance 5: Alternative systems of information. Alternative system for information are all those new and innovative fast systems of information delivery and safety which are replacing the traditional systems of information like direct information, newspapers, books documents etc. In modern world these alternative systems include systems which are based on new technologies like internet, phones, computing gadgets (i-phone, i-pad, multi media and data books). These systems can be categories according to their effectiveness and advancement. 6: Current technology and their use in marketing and data mining. Due to the explosion of information systems, businesses progressively have the ability to attract higher numbers of customer data in large databases. However, much of the useful marketing insights into customer characteristics and their purchase patterns are largely hidden and untapped. Current emphasis on customer relationship management makes the marketing function an ideal application area to greatly benefit from the use of data mining tools for decision support. A systematic methodology with use of new technologies can be used to manage the marketing and data mining. This methodology can be the basis for enhancing customer relationship management. This technology includes internet, telecommunication, and computing. In modern time there is growing and expanded use of these three tools in marketing and data mining. As we can found many ways of advertising and marketing as websites, advertisement on different websites, similarly there are is different software for data mining which making things more easy. 7: Use of data base for marketing by e-marketing and eCommerce. Internet marketing is Achieving marketing objectives through applying digital technologies. These digital technologies include Internet media such as web sites and e-mail as well as other digital media such as wireless or mobile and media for delivering digital Television like cable and satellite. E-Marketing is gaining more influence on consumers buying decisions and televisions influence on awareness is decreasing. E-Marketing gets you closer to customers by creating a dialogue, asking questions and learning about customers preferences. E-Marketing is about people and making sure that the process, like all marketing, is people orientated far too many times it is producer or technology orientated and businesses wonder why it doesnt work. Before the internet, consumer purchases were restricted by time, geography, location, and physical store space. In the digital economy, buying is unlimited by these constrictions. But internet brought the revolution and it brought market in the rooms. On other hand Electronic commerce or E-Commerce is buying and selling products or services over the Internet. The meaning of electronic commerce has changed over the last three decades. Originally, electronic commerce meant technology such as Electronic Data Interchange and Electronic Funds Transfer. E-Commerce has lowered barriers to entry in the selling of many types of goods and services as it allows small and medium sized businesses to compete the web is not the high street. Data is central thing in both the e-marketing and e-commerce because it is the tool that connects buyer and sellers. Data base is the availability of specific data which required operating the process of e-marketing and e-commerce. There is a systematic way to organize that data on networking and internet. This required latest computer technology which could fast and effectively handle all the data flow and processing so that all marketing, buying selling could be made profitable. Conclusion: During the past two decades, business managers and scholastic researchers have shown significant curiosity in understanding how information technologies can help to create competitive advantage for a business. Recently idea of competitive differentiation through IT has become a challenge. Specifically, it is argued that by demarcating specific types of capabilities, we can put in to better understanding of the sources of IT-based competitive advantage. Theoretically, we distinguish here between value, competitive, and dynamic capabilities as three distinct types of capabilities. The study tells that information system play vital role in the process of management and planning and developing business can grow only bye the adaptation of effective use of these modern technologies which shape these systems. Whether its about the business or marketing of that business planning is key factor that makes a business success or failure. So it is very important for firms to adopt such policy whi le planning the business that they could effectively benefit from these modern technologies and methods of information systems. At the end its all about the good planning through effective and suitable information system that bring a business into success or failure.

Evoking Sympathy for Macbeth :: Macbeth essays

Evoking Sympathy for Macbeth      Ã‚   Within Macbeth the tragedy and demise of Macbeth is an important factor in determining his character as a tragic hero.   However in order to elucidate on this point we need to define what is a tragedy.   Aristotle within ‘Poetics’ highlighted what characteristics he believed to define tragedy these being; ’†¦Imitation of an action that is serious and also, as having magnitude, complete in itself...in a dramatic, not narrative form; with incidents arising pity and fear, wherewith to accomplish its catharsis of such emotions’ And immediately we are brought to tragedy and what the concept of a hero is. In Shakespeare's play, Macbeth, the character of Macbeth murders his king, Duncan, for personal motives, there appears to be little subjective reasoning for the murder.   This perhaps encapsulates the notion of an incident which has the potential to arise pity from an audience. The reader begins to pity Macbeth despite the obvious character flaws of greed and corruption.   Shakespeare manipulates the audience to react sympathetically towards Macbeth through the use of Macbeth's actions, dialogue, and passion.   Throughout the story, there is a feeling of animosity toward Macbeth in response to his deleterious actions.   However, scenes revealing Macbeth's more admirable side balance and even abet that negative feeling.   One particular instance where the reader has the potential to feel pity for Macbeth appears in the dialogue immediately before Macbeth decides whether or not to kill King Duncan.   Macbeth is unsure of the morality of the murder.   During much self-deliberation, he agonizes in the monologue, "I am his kinsman and his subject, strong both against the deed" (I.vii.14-15).   While Macbeth contemplates whether murdering Duncan is feasible, Lady Macbeth convinces Macbeth that he would murder Duncan if he were truly brave and masculine.   Lady Macbeth goes on to remark that if he murders Duncan, Macbeth "would be so much more the man" (I.vii.58). A weak Macbeth gives in to his wife's badgering and manipulation and reluctantly agrees to participate in the murder. The audience feels sympathy for an insecure Macbeth as he begins his spiral into ultimate destruction. It appears that without the push of Lady Macbeth the deed would have been unlikely to have taken place.   Another instance in which Macbeth seems weak and pitiable is at the banquet held in his honor.   Before the dinner party begins, Macbeth orders the assassination of his friend Banquo.

Focusing, Positioning and calculating the size of cells Essay

Exercise 1: Focusing, Positioning and calculating the size of cells Under the ‘Try This’ tab, complete the puzzles (P1- P6) presented to bring the items into focus. Use the check lists to make sure you have completed all steps Under the ‘Try This’ tab, complete the measurement puzzles (M1-M3) and write the answers here: M1 = __150___ micrometers at __10x__Objective Power (scale is 1 unit = __10_micrometers) M2 = __8.0____ micrometers at _100x_____Objective Power (scale is 1 unit = _1.0__micrometers) M3 = ___2.0__ micrometers at __100x____Objective Power (scale is 1 unit = _1.0__micrometers) Exercise 2: Viewing a typed letter ‘e’ with your scope. Obtain the slide with an ‘e’ on it from the slide selections. Place the ‘e’ slide right side up on the stage with the letter ‘e’ over the hole in the stage. Using the techniques described in the ‘getting started tour’, focus on the letter on the lowest objective power. What do you notice about the orientation of the letter as you look through the microscope? In other words, how does the ‘e’ position compare to how it looks on the slide when looking at the microscope? Upside down At the lowest power, what is the total magnification of the image? 16x Adjust the position of the slide so that a portion of the letter is in the center of the viewing field. Now, rotate the next higher objective in place. If the image is not clear, use only the fine tuning knob to adjust. At 10x, what is the total magnification of the image now? 40x At 40x, what is the total magnification of the image now?160x At 100x, what is the total magnifi cation of the image now?400x Exercise 3: Human cheek cells. Your cheeks are lined with very thin cells that can easily be removed for viewing under a microscope. These cells are called epithelial cells and they line the outside and inside of your body. Cells are small, but large enough to be viewed with a light microscope. The following procedure shows how you would obtain these cells. However, since this is a virtual lab, the cheek cells have already been collected and stained. They are stained with methylene blue to view some sub-cellular parts. This is the actual procedure, but please proceed to placing the cheek smear slide on your ‘virtual’ microscope and bringing into focus. 1. Gently scrape the inside of your cheek with a toothpick. 2. Using a circular pattern, spread some saliva in the middle of a slide. 3. Place a small drop of stain on the saliva smear. The less stain you use, the better the results will be! 4. Place a cover slip on the stained smear. Knowing the objective scale in Exercise 2, estimate and record the diameter of a single cheek cell in micrometers. Diameter = ___4__________ micrometers What power of objective lens did you use? 100 What was the total magnification?400

Eleanor Roosevelt Essay

And strength, courage and confidence she possessed. Forty-six years after Eleanor Roosevelt’s death yet she the former First Lady still remains an influential women in the world. She supported her husband’s political career. In fact, President Franklin Roosevelt often called his wife his â€Å"eyes and ears† (Bradgon, McCutchen, and Ritchie 776). Eleanor Roosevelt played a pivotal role in the Roosevelt administration especially when paralysis hit the president (776). She used this power to advocate for civil rights, especially for the women (Goodwin 1998). The was the first woman to become the voice of the ordinary people, she spoke in national conventions, held press conferences, lectured, and wrote a syndicated column (1998). She fought for the plight of the poor, the women, and the African Americans (777). She was a super woman, so to speak. Her fight for social justice was perhaps what Roosevelt is famed and revered for. She helped laid the cornerstone of the civil rights and women’s movement. It was her greatest achievement, one that the world will forever be grateful for. Eleanor Roosevelt was born October 11, 1884 to Elliott Roosevelt and Anna Hall (Caroli 2008). Although she came from an influential family (her uncle was Theodore Roosevelt), her life story did not start out smoothly (2008). Hers was what people would call a â€Å"dysfunctional family† (Tindall and Shi 1266). Her father was described was an alcoholic who got servant girl pregnant while her mother was said to be a â€Å"cold, self-absorbed socialite† (Tindall and Shi 1266). Despite this, Eleanor loved her parents deeply. However, tragedy struck the family. By age ten, both her parents died and Eleanor, together with her brother, was brought to be raised by relatives (Caroli 2008). Eleanor’s other brother had died a year before (2008). Eleanor was extremely close to her father and his death deeply affected the young girl (2008). The siblings were brought to their grandmother Mary Hall to become their guardian (Black 2008). An introvert, Eleanor was sent to Allenswood, a girls’ boarding school by age 15 (Caroli 2008). Under the wing of Mademoiselle Marie Souvestre, Eleanor’s intellectual curiosity was awakened. Souvestre was a confident woman who was a staunch believer in the liberal causes (Black 2008). In Eleanor’s three years at Allenswood, she forged friendship not just with Souvestre but with young girls her age; she learned language, literature and history; expressed her opinions on political events; and discovered Europe in summers (2008). She was, to say the least, transformed into a â€Å"tall, willowy, outgoing woman† (Tindall and Shi 1266). In 1902, Eleanor went back to New York for her â€Å"coming out† into society (Caroli 2008). Following her family’s tradition, she immersed herself into social responsibilities, enlisting with the National Consumers League and the Junior League for the Promotion of Settlement Movements (Black 2008). She also volunteered to teach at the College Settlement on Rivington Street (2008). Her endeavors soon reached the attention of the New York reform group (2008). One summer, on a train ride to Tivoli, she bumped into her fifth cousin Franklin Delano Roosevelt (Black 2008). A secret courtship began and on November 22, 1903, the two became engaged (2008). The two were different. Eleanor was often described as a serious person, someone of â€Å"high ideals and principles† while Franklin was a confident man, who grew with love and affection from his family (Tindall and Shi 1267). Franklin’s mother, Sara was against the relationship and tried in vain to separate the two. On March 17, 1905, Eleanor and Franklin were married in New York (2008). The wedding, wherein President Theodore Roosevelt gave the bride away, was on the front page of the New York Times (2008). In a span of 10 years, Eleanor gave birth to six children, one of whom died after birth (Caroli 2008). In 1911, Franklin won a seat in the New York senate and the family relocated to Albany (Black 2008). Eleanor looked forward to moving out, especially since in their old home, her mother-in-law was constantly breathing down her neck. She was said to comment that the move ignited her desire to become independent and be an individual (2008). As Franklin started to carve his political career, Eleanor took on the role of a political wife- gracing formal parties and â€Å"making social calls† (2008). When World War I broke in 1917, Eleanor found herself returning to volunteer work. She spent her free time helping the Navy- Marine Corps Relief Society and the Red Cross (Caroli 2008). Her unwavering commitment opened another door in her life- that of being able to be of service to others. For some time, she was in the shadow of her political husband. The War ignited her desire to pursue other plans outside her husband. It helped boost her confidence. Ruby Black, Eleanor’s friend, once commented that the war became her first work â€Å"outside her family† (Black 2008). But this awakening of sorts was dampened when Eleanor found that her husband was involved romantically with another woman, Lucy Mercer. Mercer was Eleanor’s social secretary (Caroli 2008). This caused a dent in the couple’s relationship and Eleanor suggested to have a divorce, which Franklin refused (2008). Franklin ended the relationship with Mercer and tried to patch things with Eleanor. Though they continued on with the marriage, it was said that they remained affectionate but no longer intimate (2008). In 1921, Franklin fell ill with polio and was paralyzed (Tindall and Shi 1267). Despite what had happened in their relationship, Eleanor did not leave her husband. She helped him in his career, attending political gatherings and speaking on his behalf (1267). According to their daughter Anna, polio was instrumental in bringing their parents together (1267). While Eleanor supported her husband, she started to carve her own name. She became active with the Women’s Trade Union League and the Democratic Party of the New York state (Caroli 2008). As Chair of the League of Women Voters Legislative Affairs Committee, Eleanor read the Congressional Record, talked with members of Congress and the State Assembly and presented a report on a monthly basis (Black 2008). She was especially interested in non-legislative issues like primary reform, voter registration and party identification (2008). Eleanor also wrote for the Women’s Democratic News (2008). Three years after, Eleanor was part of a group whose purpose was to inform women on participating in political and social issues. As board member of the bi-partisan Women’s City Club, Eleanor led the City Planning Department, tackling issues such as housing and transportation, child labor, and the distribution of birth control information on married people (Black 2008). She also taught at a school (2008). When Franklin was elected governor, Eleanor divided her time equally, ensuring that she pursued her personal interest and that of being a governor’s wife. When the Governor’s inner circle had disagreements with Eleanor’s League of Women Voters, Eleanor acted as arbitrator (Black 2008). Her political grace, no doubt, was shaping up. Following Franklin’s successful crack at the presidential election, the now First Lady continued with her passion. With her own staff, Eleanor carried on with her causes. She had press conferences with women correspondents, something she was keen on. She also talked to her husband about employing women in his cabinet (Tindall and Shi 1268). In fact, she backed the successful appointment of France Perkins as Secretary of Labor (Caroli 2008). Like the First Lady, Perkins was an advocate of minimum wage and maximum hour laws, child-labor restrictions and other reforms (Bradgon, McCutchen, and Ritchie 776). Eleanor was not afraid to speak her mind, even if it meant carping on her husband’s plan regarding unemployment insurance (Caroli 2008). In 1936, she started her own daily syndicated newspaper column â€Å"My Day† (2008). This was her channel for expressions her opinion publicly. While some greeted her write-up with criticisms, many people admired her for taking interest in their plight. She often tackled child welfare, racial minorities, housing reform and women equality (2008). Following her husband’s death in 1945, President Harry Truman her to the US delegation in the United Nations (UN) (Caroli 2008). She was responsible for the drafting and adoption of the Universal Declaration of Human Rights (UDHR) (2008). The UDHR was approved on Dec. 10, 1948 at a U. N meeting in Paris, for which the former First Lady received a standing ovation from the delegates (Gardner 1988). The UDHR is deemed the touchstone of human rights (1988). It is also used to measure the performance of UN entities and NGOs (1988). Likewise, the UDHR continued to serve as inspiration for other human rights treaties in Europe and Latin American (1988). Based on the American Bill or Rights, the British Magna Carta, and the French Declaration of the Rights of the Man, the UDHD comprises a preamble and 30 articles on basic rights and freedoms (1988). When John F. Kennedy became president, she appointed Eleanor as chair of the Commission on the Status of Women (Caroli 2008). She continued to work and fought for the underprivileged. Even at her age, Eleanor travelled the globe to conduct meetings with world leaders (2008). She also did not stop writing books and articles. In 1962, she contacted a rare form of tuberculosis and succumbed. She was buried at Hyde Park. Works Cited Black, Allida. â€Å"Anna Eleanor Roosevelt. † The Eleanor Roosevelt Papers Project. Jan. 31, 2008. May 7, 2008 < http://www. gwu. edu/~erpapers/>. Bragdon, Henry, Samuel McCutchen and Donald Ritchie. History of a Free Nation. Ohio: McGraw-Hill, 1996. Caroli, Betty. â€Å"Eleanor Roosevelt. † Britannica. com. 2008. May 7, 2008 . Gardner, Richard. â€Å"Eleanor Roosevelt’s Legacy: Human Rights. † Dec. 10, 1988. May 7, 2008 . Goodwin, Doris. â€Å"Leaders and Revolutionaries. † TIME. com April 13, 1998. May 7, 2008 . Lewis, Jone. â€Å"Eleanor Roosevelt Quotes. † Womenhistory. about. com 2008 May 7, 2008 . Tindall, George and David Shi. America A Narrative History 5th ed. USA:W. W. Norton and Company, 1999.