Current Issues in Finance Essay Example | Topics and Well Written Essays - 3500 words

Current Issues in Finance - Essay Example As the paper highlights not to miss mentioning is the news of UK Prudential closing $35.5B takeover bid of AIG Asian due to pressure from the shareholders to lower the bid asking rate by $30B. Market was not in favor of clinching the deal, as after cancelling the deal, Prudential’s shares rose by 6.3% on Tuesday. At the same time, the ending of the takeover bid was a blow to the AIG efforts to pay back the loan of $132 billion to the Treasury from the proceeds of the sale to Prudential, which was taken to save the AIG from collapsing from the financial crisis in 2008. This discussion outlines that there could be a number of reasons attributed to a merger or acquisition wherein payment is made through stock. Companies are acquired with the aim of safer income streams, as cost of debt could be very high and banks won’t be forthcoming with the offer of reduced rate of interests. Mergers where price/earning ratio (P/E) is very high are not welcomed because of the fear of loss of income over share price. If a company’s stocks are an all-time high, in stead of paying cash it offers its new stock shares. But sometimes it becomes all the more difficult for the buyer company to evaluate the target company as the stock price of the target company rises due to the possibility of merger bid. Answers to the above questions can be reached at by analysing the cases of acquisitions and mergers in the literature in the recent past on the financial and valuation aspects of such acquisitions and mergers. There could be number of motives behind an acqui sition. Diversification in a different line of business has been an aim to be achieved through acquisition.

Culture Wear Essay Example | Topics and Well Written Essays - 500 words

Culture Wear - Essay Example The only misconception that the westerners and probably some of the Muslims are also carrying is that the covering of hair is not related to the culture aspects (Human Rights News, 2005). It is more of a religious obligation that every Muslim woman should follow. This head covering is also prescribed by the law of Christianity for women as well and the nuns follow it too. In the same way, other artifacts which have religious obligation for some of the sects of Islam or any other religion for that matter, are also of religious importance and cannot degrade the assimilation of one individual in a different culture. This misconception is in the minds of the people that following these rituals, behaviors or artifacts can hinder the evolution of an individual in a different culture. The religious values remain the same for those who know the importance of those values; the way of integrating them into their newly adopted culture is the real task for that individual. This kind of behavior usually results in the modification of the new culture in accordance with the rules and regulations of an individual's religion. An example ne