Pushing Boundaries in Film and Literature

Pushing Boundaries in Film and Literature Assessment Task: Identify and discuss how literature and film are tools of transgression in Tropic of Cancer (novel), Lolita (novel) and Modern Times (film). To discover the complete horizon of a societys symbolic values, it is also necessary to map out its transgressions, interrogate its deviants, discern phenomena of rejection and refusal, and circumscribe the silent mouths that unlock upon underlying knowledge and implicit. ~Marcel Detienne, Dionysos Slain (cited in Oberoi 1992, p.363) Pushing boundaries have always been a major concern in art, whether it is literature, film, music, or painting. This paper will focus on two of the major art forms which are literature and film. They are used by two of the greatest authors of the twentieth century, Vladimir Nabokov and Henry Miller, and one of the most significant figures in the film industry, Charlie Chaplin, as tools of transgression that interrogate the boundaries and constraints created by society. According to Julian Wolfreys (2008, pp.1-3) transgression is the very pulse that constitutes our identities. Transgression is the act of breaking a law, committing a crime or sin, doing something illegal, or otherwise acting in some manner proscribed by the various forms or institutions of Law in societies, whether secular or religious, all of which have histories and which themselves are mutable, self-translating. Additionally, Wolfreys explains that the transgressive actions or attitudes of a character can frequently be worked out not through the characters identity solely, but also in the form (or let us call it identity) of the literary text in question. In Vladimir Nabokovs novel Lolita and Henry Millers Tropic of Cancer, sexuality is used as a tool of transgression to challenge the limits of socially accepted convention. In Charlie Chaplins film Modern Times, the industrialization is used to emphasize the danger that modern technology brings upon people by transforming them into working units, and that machinery is used solely for profit. The conflation of Millers sexually saturated novel, Nabokovs seductive composition, and Chaplins instigative film form the perfect study object to explore the nature of transgression, which is perceived in both novels and the film not as intentionally morally corrupt, but as an opposition to social convention. The tools used by Miller, Nabokov, and Chaplin, in order to convey their visions, are the language and the power of imagery. In Lolita (1955), the readers are tempted, seduced, and simultaneously threatened by Humberts manipulation and aesthetic transcendence where he has only words to play with (Nabokov 1980, p.32). Humberts story is a confession composed of words that are able to seduce the reader in the same way as he seduces Lolita. The threat of Humberts words is that, unconsciously, the reader may fall for his confession which, as Vanity Fair (LA Times 1998) argues, is the only convincing love story of our century. Moreover, the readers can take part in the novels action through its imagery when Humbert invites them to participate in the scene (Nabokov, p.56) where he is about to seduce his nymphet. Lolita nonchalantly places her legs across Humberts lap while showing him an image of a surrealist painter relaxing, supine, on a beach, and near him, likewise supine, a plaster replica of Venus di Milo, half-buried in sand (p.58). As Humbert perceives everything through the lens of art, including and esp ecially his Lolita, she can be associated with Venus di Milo who is Humberts ideal of beauty; not as a mature woman though, but as a young girl whom Humbert loves so much that he desires her sexually. Karshan (Boyle Evans 2008, p.98) argues that Lolita exposes the sinister potential of the cult of the child in post-Romantic art: that it protects children by making them lovable, but by making them too lovable risks making them desirable, and so places them in danger. While Lolita sits in his lap, Humbert cannot resist the urge to masturbate, himself admitting that he was in a state of excitement bordering on insanity (Nabokov, p.58). Although no explicit language was used to portray the actual scene, it should not be forgotten that the reason of Humberts delicious distention (p.59) is a twelve year old girl. Humberts assertion that he had done nothing to her [Lolita] [and that] Lolita had been safety solipsized (p.59), moreover, that nothing could prevent him from repeating the scene, comes in direct opposition to Karshans observations that children who fall prey to adults pervert desires, are in great danger. Wolfreys (p.14) points out that the novels, plays or films seek to work through the paradox that one transgresses because ones survival is threatened by what, to many, is convention or normative behavior. That which is considered to be an important feature of the nature of transgression is the way in which it affirms the limitlessness into which it leaps (Foucault 1977, p.35), in this instance, of seducing the reader and the viewer where, if [they] do not watch out, the real murderer may turn out to be, to [their] disgust, artistic originality (Nabokov 1980, p.311). In Lolita, originality is the one that annihilate convention therefore artistic originality can be referred to as destroyer of convention. AlthoughHumbert is a murderer and a paedophile who, besides words, uses also physical violence to subjugate Lolita: In fact [I] hurt her rather badly (ibid, p.203), and rapes her countless times, he is identified with artistic originality. Through originality and artistic innovation, Humbert succeeds to project his techniques of rhetorical seduction not only on Lolita, but on the reader too: I faked interest by bringing my head so close that [Lolitas] hair touched my temple and her arm brushed my cheek as she wiped her lips with her wrist (p.57). The affiliation of originality with criminality can be seen as a tool of transgression. Furthermore, the reader is invited to raise ethical questions, though, at the same time they are rejected through parody in the same way as physical comedy is used and parodised in Humberts struggle to open the pharmacys door: [à ¢Ã¢â€š ¬Ã‚ ¦] in front of the first drugstore, I saw with what melody of relief! Lolitas fair bicycle waiting for her. I pushed instead of pulling, pulled, pushed, pulled, and entered (p.204), as well as romanticism and romantic love is: [à ¢Ã¢â€š ¬Ã‚ ¦] my Lolita [à ¢Ã¢â€š ¬Ã‚ ¦] stretched towards me two bare arms, raised one knee: Carry me upstairs, please. I feel sort of romantic tonight (pp.205-206). The role reversal of the seducer it actually blindfolds Humbert into following Lolitas machinations for their second journey. In this scene, Lolita is empowered hence she transforms into a twelve year old girl-temptress and thus putting an entirely new spin on the nightmare of child rape (Winchell 2002, p.329). At this stage, Lolita holds complete power not only over Humberts lustful body, but over his imagination too. In his mad love for Lolita, Humbert, a thirty-seven year old adult does not realize that not the role that she played in the school play has trained her into certain affectations, but Humbert himself and her longing to escape from him. Millers Tropic of Cancer (1934)breaks with the English literary tradition (Shapiro 1961, p.xii), its tools of transgression being the obscene language as well as the imagery used to portray the chronicle of a man who is happy (p.xi), who reaches his aspiration of becoming an artist. The novel is considered an important milestone in the development of the autobiographical novel (Shute 2002, online) from the point of view that the artist who, through the power of graphic descriptions, can shock and push the reader out of the literary complacency (ibid). Frequently, at a first glance, the ideas presented in the novel may seem trivial: We have evolved a new cosmogony of literature, Boris and I. It is to be a new Bible-The Last Book. [à ¢Ã¢â€š ¬Ã‚ ¦] After us not another book (Miller 1961, p.26), though through a close reading the depth of their meaning have a tremendous impact with a new sort of understanding. The suggestion that a whole new world could be created through the power of t he written word signifies the idea of an apocalypse and the rebirth of the world itself. As Foucault (1977, p.30) argues, Profanation in a world which no longer recognizes any positive meaning in the sacred-is this not more or less what we may call transgression? The creation of a new Bible which instigates to rape, to murder (Miller 1961, p.27) may appear as a criminal offense to the humanity itself, though it is rather a direct affront to the contemporary way of life. Miller does not write about the world, Miller is showing the world as it exists (Bursey 2015, p.164). The sacred was and still is considered to be that which the profane should not reach. On the whole, sacred is associated with religion, therefore sacredness [à ¢Ã¢â€š ¬Ã‚ ¦] denotes religiosity (Jenks 2003, p.29). However, in a world where the form of the sacred has become more diluted thus less recognisable, transgression as the nature of the social reaction is just a mere attempt to restore the common values and n ormative constraints. In Tropic of Cancer it is more than obvious that obscenity which most often connotes excess, violence and transgression (Mavor cited in Mey 2007, p.5) is used as a violation of the aforementioned normative constraints, thus obscenity can be seen as a violation of the societal boundaries. In Tropic of Cancer Miller reveals and implies sexual purity not as real eroticism rather he divulges sexuality just as it is: a bone in [his] prick six inches long [to] ream out every wrinkle in [Tanias] cunt (Miller 1961, p.5). Throughout the novel Miller does not try to conceal the events that take place in his life, contrariwise he writes his real life experiences of how he walks the streets, how he tries to find money, food, how he meets his friends, how he sleeps with whores, and even getting an erection looking at the dumb statues (p.16). Millers literature juggles on a string between sexuality and civilization, his literature it transgresses the limits of decency and it takes the freedom to s ay that which is considered to be taboo. Society does not allow openly expressed sexuality through words, as such expression of freedom might undermine the societys authority and thus societys structure itself. Although there have always been huge controversy on the sexual topics of Tropic of Cancer, the relationship of its author with the traditions of literature and art cannot be denied. The development of the artist is one the novels major themes, thus art is implied as being the artists way of living, and if sex and sexuality smoothes the artists path to fulfilling his destiny, then so be it, Nabokovs (p.257) words that sex is but the ancilla of art might be the a reasonable solution when trying to understand Millers world. Modern Times (1936), with the foreword: A story of industry of individual enterprise ~ humanity crusading in the pursuit of happiness (min. 1.07) is considered to be a comedic masterpiece written and directed by Charlie Chaplin. Although it is a fusion of slapstick, which is comedy based on deliberately clumsy actions and humorously embarrassing events:slapstick humour (Oxford Dictionaries), and satire, the film deals with major themes that encompass the turmoil of the 1930s American society, such as The American Dream, the effects of the Great Depression, mechanization and mass production, anarchy and rebellion, poverty, food, and hunger. By 1936Chaplin was already well known for his film directing, some of his most important films are The Kid (1921), The Gold Rush (1925), City Lights (1931), though Modern Times is Chaplins first overtly political film with dangerously meaningful (Nugent 1936) intertitles and imagery. Chaplin is using intertitles, the sound being substituted by the exaggerated character of the gesture and the reliance on miming that leads to an emphasis on acting. The opening scene of the film is showing a flock of white sheep being guided by an unseen force (min. 1.20) towards an unseen location, with a single black sheep among them symbolising The Tramp, the anarchist of the society who resents control. The scene is complemented by the marching music that leads to the next scene of the film showing a mass of people going to work (min. 1.30), driven by the same unseen force. The metaphor implemented by the association of people with domesticated animals that obey their master has a great impact on viewers, its statement being that people are controlled by industrialization and mechanization therefore they must accept, obey, and let themselves be controlled by the ruler, and that is the minority of the system that creates the rules. On the concept that, in order to provide for a living, humanity is forced to adjust to mechanization and machines, in the same way the tyranny of the technology is forcing people to become robotic machines themselves. The theme of mechanization that enslaves the man is emphasised in the first section of the film where the workers are being monitored (min. 2.39) by the President of the Electro Steel Corp. factory through giant monitors. Furthermore, the people must work at a pace imposed by nothing else than a machine, though the one who commands the speeding up of the working pace is the factorys Director: Section five, speed her up! 401 (min. 2.59). The working scene is filled with comedy, though when The Tramps tool gets stuck on a nut he cannot manage to release it on time, thus his coworker, by mistake, hits The Tramps hand with the hammer. At this point the whole working process must be stopped, the supervisor intervenes, and when The Tramp reports his bulky colleague, the latte r kicks him as a punishment. It is worth mentioning that The Tramp does not show any fear, contrariwise he hits his colleague back (min. 4.35), his gesture signifying him fighting not only his coworker, but the whole system too. Once again the Director orders the speeding up of the working pace (min. 4.46) which results in The Tramp having a sort of a breakdown and begins to screw everything he sees, from the secretarys skirt buttons to even the comic scene when he chases a woman who has buttons on her dress, on the street (min. 16.15). Bibliography Primary sources: Modern Times,1936 [film]. Directed by Charlie CHAPLIN. USA: United Artists MILLER, H., 1961. Tropic of Cancer. USA: Grove Press, Inc. NABOKOV, V., 1980. Lolita. England: Clays Ltd. Secondary sources: BURSEY, J., 2015. Cartography of the Obscene. In: DECKER, M. J. and I. MÄNNISTE, eds. Henry Miller: New Perspectives. (p.164). New York: Bloomsbury Publishing Inc. [online] [viewed: 27 Dec 16]. Available from: https://books.google.co.uk FOUCAULT, M., 1977. A Preface to Transgression. In: FOUCAULT, M., eds. Language, Counter-Memory, Practice: Selected Essays and Interviews. (p.30). USA: Cornell University Press. [online] [viewed: 22 Dec 16]. Available from: https://books.google.co.uk JENKS, C., 2003. Transgression. (p.29). London: Routledge KARSHAN, T., 2008. Vladimir Nabokovs Lolita and Free Play. In: BOYLE, E. and A.-M. EVANS, eds. Reading America: New Perspectives on the American Novel. (p.98). Newcastle: Cambridge Scholars Publishing. [online] [viewed: 22 Dec 16]. Available from: https://books.google.co.uk MEY, K., 2007. Art and Obscenity. (p.5). London: Tauris Co. Ltd. [online library] [viewed: 02 Jan 17]. Available from: http://site.ebrary.com/lib/solent/reader.action?docID=10178014ppg=11 OBEROI, H., 1992. Popular Saints, Goddesses, and Village Sacred Sites: Rereading Sikh Experience in the Nineteenth Century. JSTOR (p.363). USA: The University of Chicago Press. [online] [viewed: 19 Dec 16]. Available from: https://www.jstor.org/stable/1062800?seq=1#page_scan_tab_contents ONLINE OXFORD DICTIONARIES. [viewed: 3 Jan 17]. Available at: https://en.oxforddictionaries.com/definition/slapstick WOLFREYS, J., 2008. Transgression: Identity, Space, Time. New York: Palgrave Macmillan. [online] [viewed: 19 Dec 16]. Available from: https://books.google.co.uk/books Online articles: NUGENT, F. S., 1936. Heralding the Return, After and Undue Absence, of Charlie Chaplin in Modern Times. The New York Times. [online] [viewed: 3 Jan 17]. Available from: http://www.nytimes.com/movie/review?res=9403E3DE153FEE3BBC4E53DFB466838D629EDE SHATTUCK, R., 1998. The Alibi of Art: What Baudelaire, Nabokov and Quentin Tarantino Have in Common. Los Angeles Times, (p.4). [online] [viewed: 20 Dec 16]. Available from: http://articles.latimes.com/1998/apr/26/books/bk-42992/4

Control and college students Essay

Locus of control refers to an individual’s perception about the underlying main causes of events in his or her life either in general or in specific are such as health or academics. This basically implies our thoughts control our actions, when this executive function of thinking is realized it positively affects our beliefs, motivation and academic performance. It can be internal where a person believes that they control themselves or external that they are controlled by their environment, some higher power or other people control them. If a person has an internal locus of control, that person attributes his success to his efforts and abilities. The development of locus of control stems from family, culture and the past experiences that leads to rewards. Most internals come from families that focused on efforts, education and responsibility. On the other hand eternal come from families of low social economic status where there is a lack of life control. Developing an external locus of control is an adaptive response to living in prolonged circumstances without control. Research has shown that people are likely to develop internal locus of control if they life in family environments characterized by warmth, protection and nurturance. It may not a surprise that people who have faced trauma or are living with right now have external locus of control. Locus of control influences the life of an individual in all aspects academically, socially and also financially. These are the determinants of the quality of life. Locus of control and college students Academically, a person who expects to pass will be motivated to learn; will seek in formation and likely to have good study habits and a positive academic attitude. A person with an external locus of control attributes his success to luck or fate and makes less effort to learn. He will experience anxiety because he believes he is not in control of his life. The students with an internal locus of control have better adjustments to college in term of academic achievement and social adjustment. This is caused by a strong inner being and the understanding that he has an upper hand in his life. They are able to live with people from all walks of life because they know what can affect them is the decisions they themselves make. They are not subject to the ideas of the multitudes they are able to put a clear distinction between what they want in life and what the society dictates to them (Njus & Brockway, 1999). A study found that college students with a high internal locus of control did well in distance learning. They enjoy learning situations that require a certain amount of independence from the learner. They are able to put effort in their studies because they believe they can make it no matter the situations they face. This inner drive and self confidence in these students motivates them to do even better though they have to work extra hard (Dille & Mezack, 1991). For students with an internal locus of control, they must attribute their success to their efforts. They have to develop an individualized learning plan that includes their goals and how to achieve them. It also contains a time frame and the outcome they expect. On the other hand students with an external locus control, they were likely to withdraw from their courses. They are also correlated with failure though it may not be very significant. These students need a lot of encouragement and guidance from the tutors. This makes their success a matter of combined efforts with the reluctance of the tutor these students face difficulties in finding success which is highly affected and threatened (Pugliese, 1994). Female college students are more inclined to take responsibility for failure. Male students tend to attribute their failure to external or unstable causes while the female attributes their failure to internal causes which appears to be an over simplification. Female students are fond of blaming themselves on issues of failure more compared to male students. This has been known to cause stress during exams and a lot of tension which affects their performance negatively. Male students have been found to associate their failure to lack of efforts more as compared to female students. Locus of control is highly associated with stress levels, emotional resilience and need for achievement. Locus of control cannot be separated from the ability to be embarrassed. Differences in embarrassment are highly determined by the locus of control. Embarrassment is a form of social anxiety that occurs when a person’s public identity in a particular situation is threatened. The individuals possessing an internal locus of control have a higher embarassability than those with an external locus. The individuals with internal locus of control take everything that happens to them upon themselves hence their failures are points of much embarrassments (Robinson 1991). Deeming control over events in ones life may not led to a superior lifestyle. When an individual tries to change a situation that is unchangeable it causes frustration, disappointment, and depression. When the forces from outside takes the control of behavior consequences, the most realistic and healthy approach is an external orientation (Hock, 2001). In the light of this matter people with an internal locus of control will feel they control the events that occur in their live. It is possible that the responsibility of controlling what happens will turn to guilt when undesirable situations arise. This will cause this individuals play there games cool and also be very careful with the decisions they make for the fear of being embarrassed (Hock, 2001). The students with an internal locus of control have high levels of personal responsibilities and are likely to experience many changes of interest. This will be due to fear of failure because mostly they never come in to terms with failure. As long as these individuals are internally motivated and convinced that whatever they want to engage in will make their ego or self esteem increase they will go for it. Out of a research it was found that internal locus of control positively relates to confidence, behavior intent and actual behavior concerning weight loss. If these individuals believe that smoking would their weight prohibiting weight gain, appetite change, and reduced weight they would opt to go for it (Holt, Clark, and Kreutzer, 2001). The internal focus of control and the family structure it also appears to be reasonable to believe that career goals and reasonable behavior are signs of adjustment. There is a reasoning that students who become leaders might aspire to more prestigious careers that might further testify to their psychological and social adjustment. The purpose of the study was also to address the question of the variables that are related to the leadership behavior which seems to clearly signify the adjustment. There was an assessment of independent and combined esteem of self esteem of focus control carrier goals leadership behavior and family structure. Those students who were identified being high in leadership potential seemed to be higher in self esteem. Had internal focus of control and would have more carrier aspirations and would have two biological parent family compared to those who had an external focus of control (Haworth & Iso-Ahola, 1997). Almost every college or university claims that their campus has a drinking problem. More police may be released during the evening hours so as to discourage drinking among students. Programs are implemented trying to teach students about safe ways to drink alcohol and to recognize alcohol related problems. In all these situations the campus and the students try to reduce the behavior of drinking. When discussing norms one should differentiate between descriptive norms and the inductive norms. The descriptive norms describe actual behavior e. g. the behavior of drinking alcoholic beverages. An inductive norm would represent approval of the drinking behavior. In 2003 Borsari and Bosari had conducted meta-analysis concerning the effects of inductive norms along with the normative norms in relation to drinking behaviors in college and any other discrepancies, which involves the differences in beliefs between self and judgments of others (Haworth & Iso-Ahola, 1997). Someone with an internal locus of control will most likely believe in working to be a good person so that they can reach a higher spiritual state. It has been seen that college students with high level of religiosity also have high academic achievements and are mostly those with in internal locus of control. Believing in the faith influences everyday life and perception of being a good student which has great implications to locus of control. External locus of control has been described as individuals attributing life events to luck, fate or external forces. In deed external locus of control has been found to correlate with belief in superstitious phenomena. Locus of control, optimism and self esteem are good indicators of well being. People with high internal locus of control tend to be happier and able to deal with life difficulties in a healthier way. People with low self esteem will tend to explain any success they have by attributing it to luck rather than their own abilities. While those with high self esteem will associate it to qualities within themselves. It can be attributed with the fact that they make decisions and they are ready to pay the cost for the consequences. The students with an internal locus of control are able to adjust to changes and can modify their way of life to suit the current environment to prevent the environment from dictating the outcome of their efforts. People with internal locus of control spend much time focusing in the positive things and can take risk to self disclosure. They will always appear confident and persuasive; they are very out spoken and have a lot of influence to the rest of the students. Their ideal seems always superior and they will force them into actions. They are more innovative in efforts to attain more fame out of their achievements. They are risk takers in all fields that can make them acquire fame and priority. They are focused and mostly have a very liberal way of life. They plan ahead mostly they appear stress free but they are highly affected by things fame and excellence but not other aspects of life (Haworth. John & Iso-Ahola. S (1997). Students with an external locus of control, because of locating their control outside themselves, those students with external locus control feel that they have less control over their fate. These college students tend to be more stressed and are prone to clinical depression. With internals they exhibit two essential characteristics which are the high achievement motivation and low-directedness. This basis of the locus of control was proposed by Rotter in 1966 (Baum, 1997). Rotter’s undimensionality has been challenged by Levension who argued that different dimensions of locus of control like the belief that events in ones life are self-determined are chance based and organized by others. Locus of control has impact upon smoking behavior among college students. A study indicated that, smokers who tend to resume smoking after are among college students who have external locus of control. Those students who persistently avoid cigarettes believe that they have a great power of control over their lives compared to those who resume smoking (Baum, 1997). Disability among the students can be associated to development of external locus of control. This is accelerated by impairment, where it affects individual’s ability to cope with daily activities. This implies those able to handle their daily activities can develop internal locus of control. Acknowledgement of their conditions and contentment with what the can achieve in their conditions builds an internal locus of control. This increases with appreciation and encouragement from the entire society. Locus of control has a lot of influences on sexual behaviors of college students. Individuals with external locus of control are more likely to involve themselves sin more risky sexual practices. Conclusion Academically, a person who expects to pass will be motivated to learn; will seek in formation and likely to have good study habits and a positive academic attitude. A person with an external locus of control attributes his success to luck or fate and makes less effort to learn. He will experience anxiety because he believes he is not in control of his life. The students with an internal locus of control have better adjustments to college in term of academic achievement and social adjustment. This is cause by a strong inner being and the understanding that he has an upper hand in his life. They are able to live with people from all walks of life because they know what can affect them is the decisions they themselves make (Viorst, 1999). Reference: Baum Andrew (1997): Cambridge Handbook of Psychology, Health and Medicine; ISBN 0521436869, Cambridge University Press. Dille, B. & Mezack, M. (1991): Identifying predictors of high risk among community college telecourse students. American Journal of Distance Education 5 (1), 24-35. Haworth. John & Iso-Ahola. S (1997): Work, Leisure and Well-being; ISBN 0415017033, Routledge. Hock, H. R. (2001): Forty Studies that Changed Psychology (4th ed). New Jersey: Prentice Hall. Holt, C. L. , Clark, E. M. , & Kreuter, M. W. (2001): Weight locus of control and weightrelated attitudes and behaviors in an overweight population. Addictive Behaviors, 26, 329-340. Njus, D. M. & Brockway, J. H. (1999): Perceptions of competence and locus of control for positive and negative outcomes. Personality and Individual Differences 26, 531-548. Pugliese, R. R. (1994): Telecourse persistence and psychological variables. American Journal of Distance Education, 8 [3], 22-39. Robinson, J. P. (1991): Measure of Personality and Social Psychological Attitudes. San Diego: Academic Press Viorst Judith (1999): Imperfect Control: Our Lifelong Struggles with Power and Surrender; ISBN 0684848147, Simon & Schuster.

Financial Analysis of Oil Marketing Companies

?ANALYSIS OF OIL AND GAS MARKETING SECTOR- AN OVERVEW OF ITS GROWTH OVER THE LAST FIVE YEARS (2001 – 2005) AUTHOR: Akhlaq Ahmad Enroll No. 111031-004 Cell no: 03215008455 BBA-6 (Morning) SUPERVISOR: Mr. Musbashir Sadiq Bahria Institute of Management & Computer Sciences, Bahria University Shangrila Road, Sector E-8, Islamabad ABSTRACT Pakistan’s economy is undergoing significant structural changes since 1999-2000. The real GDP growth is accelerating over the last five years. Over the next five years, 7-8 percent growth is targeted to be sustained, which will demand a huge rise in the energy use. The energy sector in Pakistan comprises of oil, natural gas, power (hydro and nuclear) and coal. The oil and gas sector has a lot of potential in Pakistan. Pakistan is classified as low priority by foreign investors because of the unstable economic and political situation. However, efforts are being made by the Government to promote investment in the oil and gas sector, by various incentives such as liberal granting of exploration licenses, restructuring and reform of the oil and gas sectors, deregulation of prices, and privatization of selected assets. The reform has enhanced transparency, making decision makers aware of the various The objective of this thesis is to analyze whether the Oil and Gas sector in Pakistan has really progressed and whether there are better opportunities for investment and growth in this sector now than there were in the past. For the purpose of determining the trend of growth in the Oil and Gas Sector, four Oil and Gas Marketing Companies (O&GMC) were selected and their financial data analyzed over a period of five years (2001 – 2005). Financial data relevant to the sample companies was gathered from published accounts of the companies, in their annual reports. This data was condensed and summed up for the four companies and presented in tables and then used for analysis. The results were held to be representative of the entire Oil Marketing Sector and seem to show a marked trend of growth in the financial indicators reveal that there has been a marked improvement in the growth of this industry. ACKNOWLEDGMENT First of all I am very much thankful to ALLAH ALMIGHTY, who gave me strength & power to complete this task efficiently & effectively. I am also very much thankful to my parents who gave me the basic knowledge of how to read & write, who also prayed for me every time, especially in the hour of need & trouble. Thanks to my most prestigious Supervisor Mr. Mubashir Sadik for providing me guidelines for each & every aspect. Thanks to Mr. Abdul Ahad Maud and Mr. Faisal Subhan who were very cooperative and considerate during the whole period of data collection. I am also very grateful to all those who helped me & gave me up-to-date information or any other information regarding this analysis while completing this task. Thank you in anticipation. DADICATION TO MY LOVING PARENTS TABLE OF CONTENTS ABSTRACTi ACKNOWLEDGMENTiii DADICATIONiv TABLE OF CONTENTSv LIST OF TABLESvi LIST OF FIGURESix CHAPTER 11 INTRODUCTION1 Broad Problem Area/Background1 Rationale5 Problem Statement6 Objectives of the study7 Research Questions8 Limitations9 CHAPTER 210 LITERATURE REVIEW10 CHAPTER 315 METHOD15 Procedure17 CHAPTER 421 RESULTS AND DISCUSSION21 CHAPTER 566 CONCLUSION AND RECOMMENDATION66 Conclusion66 Recommendations 68 GLOSSARY 69 REFERENCES73 LIST OF TABLES Table 4. 1: Pakistan State Oil Company Limited Balance Sheets (2001-2005)21 Table 4. : Pakistan State Oil Company Limited Income Statements (2001-2005)22 Table 4. 3: Pakistan State Oil Company Limited Vertical Common Size of Balance Sheets (2001-2005)23 Table 4. 4: Pakistan State Oil Company Limited Vertical Common Size of Income statement (2001-2005)24 Table 4. 5: Pakistan State Oil Company Limited Horizontal Common Size of Balance Sheets (2001-2005)25 Table 4. 6: Pakistan State Oil Co mpany Limited Horizontal Common Size of Income statement (2001-2005)27 Table 4. 7: Shell Pakistan Limited Balance Sheets (2001-2005)28 Table 4. : Shell Pakistan Limited Income Statements (2001-2005)29 Table 4. 9: Shell Pakistan Limited Vertical Common Size of Balance Sheets (2001-2005)30 Table 4. 10: Shell Pakistan Limited Vertical Common Size of Income Statements (2001-2005)31 Table 4. 11: Shell Pakistan Limited Horizontal Common Size of Balance Sheets (2001-2005)32 Table 4. 12: Shell Pakistan Limited Horizontal Common Size of Income Statements (2001-2005)34 Table 4. 13: Sui Northern Gas Pipelines Limited Balance Sheets (2001-2005)35 Table 4. 14: Sui Northern Gas Pipelines Limited Income Statements (2001-2005)36 Table 4. 5: Sui Northern Gas Pipelines Limited Vertical Common Size of Balance Sheets (2001-2005)37 Table 4. 16: Sui Northern Gas Pipelines Limited Vertical Common Size of Income Statements (2001-2005)38 Table 4. 17: Sui Northern Gas Pipelines Limited Horizontal Common Size of Balance Sheets (2001-2005)39 Table 4. 18: Sui Northern Gas Pipelines Limited Horizontal Common Size of Income Statements (2001-2005)40 Table 4. 19: Sui Southern Gas Company Balance Sheets (2001-2005)41 Table 4. 20: Sui Southern Gas Company Income Statements (2001-2005)42 Table 4. 1: Sui Southern Gas Company Vertical Common Size of Balance Sheets (2001-2005)43 Table 4. 22: Sui Southern Gas Company Vertical Common Size of Income Statements (2001-2005)44 Table 4. 23: Sui Southern Gas Company Horizontal Common Size of Balance Sheets (2001-2005)45 Table 4. 24: Sui Southern Gas Company Horizontal Common Size of Income Statements (2001-2005)46 Table 4. 25: Oil and Gas Marketing Sector Consolidated Balance Sheets (PSO, Shell, SNGPL, SSGC) (2001-2005)47 Table 4. 26: Oil and Gas Marketing Sector Consolidated Income Statement (PSO, Shell, SNGPL, SSGC) (2001-2005)48 Table 4. 7: Oil and Gas Marketing Sector Vertical Common Size of Balance Sheet (PSO, Shell, SNGPL, SSGC) (2001-2005)49 Table 4 . 28: Oil and Gas Marketing Sector Vertical Common Size of Income Statement (PSO, Shell, SNGPL, SSGC) (2001-2005)51 Table 4. 29: Oil and Gas Marketing Sector Horizontal Common Size of Consolidated Balance Sheet (PSO, Shell, SNGPL, SSGC) (2001-2005)52 Table 4. 30: Oil and Gas Marketing Sector Horizontal Common Size of Consolidated Income Statement (PSO, Shell, SNGPL, SSGC) (2001-2005)53 Table 4. 31: Important figures to be used in the calculating the ratios54 Table 4. 2: Ratios for measuring the Liquidity of the sector 55 Table 4. 33: Ratios for measuring the Long Term Debt Paying Ability57 Table 4. 34: Ratios for measuring the profitability of the sector59 Table 4. 35: Ratios of the measurement of the market value of the sector63 LIST OF FIGURES Figure 4. 1: Ratios for measuring the Long Term Debt Paying Ability55 Figure 4. 2: Ratios for measuring the Long Term Debt Paying Ability57 Figure 4. 3: Ratios for measuring the Long Term Debt Paying Ability59 Figure 4. 4: Ratios for measuri ng the Long Term Debt Paying Ability61 Figure 4. : Ratios for measuring the Long Term Debt Paying Ability63 Figure 4. 6: Graphs to specify the growth of the oil & gas marketing companies65 CHAPTER 1 INTRODUCTION Broad Problem Area/Background It is universally recognized that energy is one of the most important inputs for economic growth and national development. The consumption of energy is one of the critical indicators of the level of development of any country. Developed countries use more energy per unit of economic output and far more energy per capita than developing countries. Economic growth is the key to this situation and for economic growth we need energy. Pakistan’s economy is undergoing significant structural changes since 1999-2000. The real GDP growth is accelerating over the last five years. Over the next five years, 7-8 percent growth is targeted to be sustained, which will demand a huge rise in the energy use. The energy sector in Pakistan comprises of oil, natural gas, power (hydro and nuclear) and coal. The total primary energy supplies measured in terms of oil equivalent (toe) stood at 50. million tonnes in 2003-04. Oil and gas account for almost 80% of the energy sector of Pakistan with oil and gas being 29. 9 percent and 49. 7 percent respectively. In order to measure the growth of the energy sector the best proxy might be to evaluate the performance of the oil marketing companies. As these are the companies which are not only selling the oil based products which meet the major needs of the energy in Pakistan but also these companies are dealing in the recently made popular Compressed Natural Gas. As this Oil and Gas sector represents more than 80% of the energy consumed in Pakistan so the companies which are dealing with the marketing of these fuels need to be assessed for their financial performance and results in the past few years. If these companies are showing growth we might assume that the energy sector is growing and the economy is on the right path. The first gas field was discovered in at Sui in 1952 and provides the basis for Pakistan's extensive gas network. Pakistan imports crude oil (it only produces 17% to 20% of what it needs), however is self sufficient in natural gas. Of the companies that are being researched in the present study, Pakistan State Oil Company Limited (PSOCL) and Shell Pakistan are the main planks in the oil industry. Sui Northern Gas Pipelines Limited (SNGPL) and Sui Southern Gas Company (SSGC), distributes major portion of the natural gas. Pakistan declared 1997-98 an â€Å"Oil and Gas Year†. As a result of offering incentives to potential investors, including foreign companies, some $2. 5 billion of investment was attracted. Oil and Gas Consumption Figures? Oil Consumption (In tones): 1999-00 2000-01 2001-02 2002-03 2003-04 17,768,000 17,648,000 16,950,000 6,542,000 13,421,000 Gas Consumption 2003 ( In mmcft): 1999-00 2000-01 2001-02 2002-03 2003-04 712,001 768,068 872,604 872,264 1,051,418 Consumption of oil and gas has been fairly steady throughout the 1990s with the gas consumption increasing at a rate of 4. 9 percent while the oil consumption increasing at a slightly reduced rate of 2. 5 percent. Until 1999, the govern ment tightly controlled the oil and gas industries of Pakistan. No decision could be made without referring to the higher authorities, and when decisions were made, they were often based on political as opposed to economic considerations. Since early 2000, an ambitious pro-market reform program is being implemented, and gradually, the straightjacket under which the industry used to operate is being dismantled. As a result, the sector has changed dramatically over the last five years, and Pakistan now leads South Asia in sector reform (Economic Survey of Pakistan, 2004-05). The government actions have focused on promoting private investments in the upstream, deregulating most of the market for petroleum products, establishing a regulatory agency for the gas sector, and introducing market-related price caps for petroleum products. The government’s long term goal is to create a competitive, efficiently-run, financially smooth, and a largely privatized oil and gas sector providing supplies to a large share of population. It is important to note that a structural shift is taking place since 2000-01. The last five years have seen a positive trend towards greater gas consumption and a negative trend in the petroleum products consumption. Substantial progress has been made in the restructuring and reform of the oil and gas sectors, deregulation of prices, and privatization of selected assets. The reform has enhanced transparency, making decision makers aware of the various aspects of the business. Rationale Oil and Gas is an important sector in Pakistan economy and it largely affects the GDP of Pakistan, therefore there is a great emphasis on exploration and marketing. The consumption of Oil was 16. 45 million tonnes in 2002-3 and consumption of gas was 872,264 million cubic feet. The acceleration in growth of energy consumption is not surprising when seen against a 15. 4 percent growth in large scale manufacturing and an 8. 5 percent growth in real GDP. Higher consumption of energy simply reflects the rising of economic activity in a country. Oil and natural gas are an integral part of the everyday life. Not only do they make the economy move, they heat and cool our homes and provide electricity. A large number of products are made from oil and gas, including plastics, life-saving medications, art silk, cosmetics, and many other items you may use daily. Even from Strateg ic point and defense view point Pakistan is dependent on oil and gas. Problem Statement Oil and gas sector of Pakistan has changed dramatically over the last five years and Pakistan now leads South Asia in sector reform. The endeavors made to increase the oil and gas supplies need to be analyzed and companies encouraged. With this premise in mind four, Oil and Gas marketing companies have been selected to analyze their financial performance that would also indicate their success. Objectives of the study The objective of research study is to analyze the growth and development of the Oil and Gas Marketing Sector in Pakistan. Currently according to the Board of Investment of Pakistan there are 26 (local and international) companies operating in upstream, 7 downstream companies, and 4 refineries. The focus of this analysis is on the progress of downstream companies that are based in Pakistan. Four leading downstream companies have been selected and their financial performance studied for a period of five years from 2001 to 2005 to see whether these companies are financially stronger and what their rate of growth is and to determine reasons behind the growth. Research Questions 1. What is the importance of Oil and Gas sector in Pakistan economy? 2. What is the growth scenario of Oil and Gas Marketing companies in Pakistan? 3. What is the financial performance of the selected Oil and Gas marketing companies during the research period (2001-2005)? 4. What conclusions can be drawn about the industry based on the financial performance of the selected companies? Limitations Limitations: This research study has certain limitations that are not easy for the researcher to overcome at this level. The general level of inflation has not been adjusted for. Overall prices of oil have increased due to unavoidable natural phenomenon like war in Iraq and Hurricane Katrina. The profitability of the oil marketing companies could be due to increase in prices of petroleum and it may not be the true measure of their financial performance. Some secondary data was not easily available and was very difficult to obtain. As the research work was given to the researcher during the semester so the time constraint played its role. Despite time constraint, the researcher has conducted a comprehensive research. The limited experience in the research field is also a matter of consideration. This is the first study that goes to researcher’s credit. Hence, the researcher does not possess any experience in the field. CHAPTER 2 LITERATURE REVIEW The firm itself and outside providers of capital- creditors and investors –all undertake financial statement analysis. The type of analysis varies according to the specific interests of the party involved. Trade creditors (suppliers’ owed money for goods and services) are primarily interested in the liquidity of a firm. Their claims are short term, and the ability to pay these claims quickly is best judged by an analysis of firm’s liquidity. The claims of bond bondholders, on the other hand are long-term. Accordingly, bondholders are more interested in the cash flow ability of the firm to service debt over a long period of time. They may evaluate this ability by analyzing the capital structure of the firm, the major sources and uses and uses of funds, the firm’s profitability over time, and projections of future profitability over time, and projections of future profitability. The purpose of financial statement analysis is to examine past and current financial data so that a company's performance and financial position can be evaluated and future risks and potential can be estimated. Financial statement analysis can yield valuable information about trends and relationships, the quality of a company's earnings, and the strengths and weaknesses of its financial position (Woelfel, 1989). Investors in a company’s common stock are principally concerned with present and expected future earnings as well as with the stability of these earnings about a trend line. As a result, investors usually focus on analyzing profitability. They would also be concerned with the firm’s financial condition insofar as it affects the ability of the firm to pay dividends and avoid bankruptcy. Internally, management also employs financial analysis for the purpose of internal control and to better provide what capital suppliers seek in financial condition and performance from the firm. From an internal control stand point, management needs to undertake financial analysis in order to plan and control effectively. To plan for the future, the financial manager must assess the firm’s present financial position and evaluates opportunities in relation to this current position. With respect to internal control, the financial manager is particularly concerned with the return on investment provided by various assets of the company and in the efficiency of asset management. Finally, to bargain effectively for outside funds, the financial manager needs to be attuned to all aspects of financial analysis that outside suppliers of capital use in evaluating the firm (Horne & Wachowicz, 2001). Financial analysis of a company should include an examination of the financial statements of the company, including notes to the financial statements, and the auditor's report. The auditor's report will state whether the financial statements have been audited in accordance with generally accepted auditing standards. The report also indicates whether the statements fairly present the company's financial position, results of operations, and changes in financial position in accordance with generally accepted accounting principles. Notes to the financial statements are often more meaningful than the data found within the body of the statements. The notes explain the accounting policies of the company and usually provide detailed explanations of how those policies were applied along with supporting details. Analysts often compare the financial statements of one company with other companies in the same industry and with the industry in which the company operates as well as with prior year statements of the company being analyzed (Foster, 1999). Comparative financial statements provide analysts with significant information about trends and relationships over two or more years. Comparative statements are more significant for evaluating a company than are single-year statements. The analysis of financial data employs various techniques to emphasize the comparative and relative importance of the data presented and to evaluate the position of the firm. These techniques include ratio analysis, common size analysis, study of difference in components of financial statements among industries, review of descriptive material, and comparisons of result with other types of data. The information derived from these types of analyses should be blended to determine overall position. No one type of analysis supports overall findings or serves all types of users. Financial statement analysis is a judgmental process. One of the primary objectives is identification of major changes (turning points) in trends, amounts and relationships and investigation of the reasons underlying those changes. Often, a turning point may signal an early warning of a significant shift in the future success or failure of the business. The judgment process can be improved by experience and by the use of analytical tools. The components of financial statements, specially the balance sheet and the income statements, will vary by type of industry (Gibson, 1998). Economies — all economies — run on energy. Energy is needed to produce food and manufacture goods, power machines and appliances, transport raw materials and finished products, and provide heat and light. The more energy available to a society, the better its prospects for sustained growth; when energy supplies dwindle, economies grind to a halt and the affected populations suffer (Klare, 2005). Since World War II, economic growth around the world has been fueled largely by abundant supplies of hydrocarbons — that is, by petroleum and natural gas. Since 1950, worldwide oil consumption has grown eightfold, from approximately 10 to 80 million barrels per day; gas consumption, which began from a smaller base, has grown even more dramatically. Oil and gas will account for 65% of world energy in 2025, a larger share than at present; and because no other source of energy is currently available to replace them, the future health of the global economy rests on our ability to produce and consume more and more of these hydrocarbons (U. S Department of Energy, 2004). Petroleum refers to crude oil and natural gas or simply oil and gas, found in petroleum reservoirs generally thousands of feet below the surface. Exploratory wells are drilled to discover petroleum wells, while development wells are drilled to produce a portion of previously discovered oil and gas. Estimated volumes of recoverable gas within the reservoir are called oil and gas reserves (Brock, Jennings & Feiten, 1990). The oil and gas sector or the petroleum industry has the following four major segments: 1. Exploration and Production r E&P where oil and gas companies explore for underground reservoirs, and produce the discovered oil and gas using drilled wells. This thesis focuses on this sector of the oil and gas industry. 2. Hydrocarbon processing which includes oil refineries and gas processing plants. 3. Transport, Distribution and Storage by which petroleum is moved from the producing well areas to crude oil refineries and gas processing plants. Oil is moved by pipeline, truck , barge or tanker and Natural gas is moved by pipeline. 4. Retail/Marketing which ultimately markets in various ways the refined products. CHAPTER 3 METHOD Sample For the sample selection of four marketing companies, out of the population of 7 companies listed in the KSE, the criteria used were: 1. Share Capital of the company 2. Sales Revenue 3. Distribution data of the companies Based on these criteria the four companies selected that are operating in Pakistan were the following: Pakistan State Oil Company Limited (PSOCL) Pakistan State Oil Company Limited (PSOCL) is the market leader in Pakistan having 73% of the share of Black Oil Market and around 59% of the share of White Oil market. It is engaged in the import, storage, distribution and marketing of various petroleum products including Fuel oil, HSD, Jet Oil, petro-chemicals, LPG and CNG. Shell Pakistan Limited (SPL) The Shell brand name enjoys a 100-year history in this part of the world, dating back to 1899. Shell Pakistan has been taking a keen interest in expanding recently which shows the confidence in the economic growth and progress in the oil and gas sector. Shell is at present controlling approximately 30% share of the white oil products presently and during the last financial year the Capital Expenditure amounted to Rs 1. billion. Sui Northern Gas Pipelines Limited (SNGPL) Sui Northern Gas Pipelines Limited (SNGPL, is the largest integrated gas company serving more than 2 million consumers in North Central Pakistan through an extensive network in Punjab and NWFP. The Company has over 41 years of experience in operation and maintenance of high-pressure gas transmission and distribution systems. It has a lso expanded its activities to undertake the planning, designing and construction of pipelines, both for itself and other organizations. SNGPL operates in that region of the nation which has a rapidly growing demand for natural gas and power generation due to significant industrial development. Sui Southern Gas Company (SSGC) Sui Southern Gas Company (SSGC) is Pakistan's leading integrated gas Company. The company is engaged in the business of transmission and distribution of natural gas besides construction of high pressure transmission and low pressure distribution systems SSGCL transmission system extends from Sui in Balochistan to Karachi in Sindh comprising over 2780 KM of high pressure pipeline ranging from 12 – 24†³ in diameter. The distribution activities covering over 650 towns in the Sindh and Balochistan are organized through its regional offices. An average of about 234,553 million cubic feet (MMCFD) gas was sold in 2001-2002 to over 1. 7 million industrial, commercial and domestic consumers in these regions through a distribution network of over 22,890 Km. Type of Study This study aims to analyze the financial statements of oil and gas marketing companies and then generalize the result for the whole industry. Thus due to the purpose of the study it is classifies as descriptive study. Procedure Base Year and Period of Analysis For the analysis, 2001 has been taken as the base year, and the performance in the next five years has been compared with the base year. Analysis Methods The analysis of financial data uses various methods to evaluate the relative importance of the data that was presented in financial statements of a firm. The methods used in the analysis of the marketing sector of Pakistan are a blend of Ratio analysis Common size analysis Ratio Analysis The following ratios were used on the composite data of five years: 1. Liquidity Ratios related to the liquidity of short term assets and short term debt paying ability were Working Capital Current Ratio Sales to Working Capital 2. Profitability Ratios measure the ability of a firm to generate earnings. The ratios used were: Total Asset Turnover Operating Income Margin Return on Total Equity Return on Investment Gross Profit Margin Net Profit Margin 3. Debt Ratios that measure the long term debt paying ability of the firm used were: Debt Ratio Debt to Equity Ratio Fixed charge coverage 4. Market Value Ratios that measure the return that is being given to the stockholders were: Earning per share Dividend per share Dividend Payout These financial ratios were calculated for each of the years from 2001 to 2005 and then plotted to see the general trend. They were then studied to identify various turning points in the trends, and to see the underlying reasons behind the changes in trends that were occurring. Common Size Analysis A common size analysis expresses comparisons in percentages. For the financial data there was -Horizontal and vertical analysis of the following balance sheet items, using 2001 as a base year (horizontal) and total assets as base (vertical): Fixed asset Capital work in progress Long term investments Current assets Reserves & surplus Equity and liabilities were shown as a percentage of total liabilities. -Horizontal and vertical analysis of the following Profit and Loss items with 2001 as a base year (horizontal) and Net Sales as base (vertical): Financial Charges Operating expense Gross Profits Taxes Profit before Tax CHAPTER 4 RESULTS AND DISCUSSION Table 4. 1: Pakistan State Oil Company Limited Balance Sheets (2001-2005) Table 4. 2: Pakistan State Oil Company Limited Income Statements (2001-2005) 2001 2002 2003 2004 2005 Sales (Net) 43305. 67 133136. 52 172445. 77 161537. 98 212503. 65 Cost of Sales 136933. 58 126359. 13 163490. 58 152346. 86 198757. 32 Gross Profit 6372. 09 6777. 39 8955. 19 9191. 12 13746. 33 Operating Expenses 2367. 97 2210. 69 2750. 26 4223. 43 5443. 58 Operating Profit 4004. 12 4566. 7 6204. 93 4967. 69 8302. 75 Financial Charges 778. 7 979. 22 274. 78 189. 08 370. 7 Other income 225. 94 1549. 77 279. 17 1484 . 36 1294. 34 Profit Before Taxation 3451. 36 5137. 25 6209. 32 6262. 97 9226. 39 Taxation 1200 1949 2179 2181 2183 Profit After Taxation 2251. 36 3188. 25 4030. 32 4081. 97 7043. 39 Table 4. : Pakistan State Oil Company Limited Vertical Common Size of Balance Sheets (2001-2005) 2001 2002 2003 2004 2005 Current Assets 81. 44% 74. 84% 69. 41% 74. 60% 78. 22% Fixed Assets (Gross) 21. 99% 24. 10% 29. 01% 25. 40% 21. 78% Depreciation 11. 02% 11. 90% 13. 96% 12. 51% 12. 08% Fixed Assets (Net) 10. 97% 12. 21% 15. 05% 12. 89% 9. 70% Capital work in Progress 2. 28% 2. 72% 3. 53% 2. 76% 2. 39% Long Term Investment & Deposits 5. 32% 10. 23% 12. 01% 9. 75% 9. 69% Total Assets 100. 00% 100. 00% 100. 00% 100. 00% 100. 00% Current Liabilities 63. 63% 62. 39% 55. 40% 59. 72% 62. 92% Deferred Taxation 0. 00% . 44% 1. 15% 1. 33% 1. 21% Long Term Liabilities 3. 82% 1. 85% 3. 05% 2. 53% 2. 63% Total Liabilities 67. 45% 65. 69% 59. 60% 63. 58% 66. 76% Paid-Up Capital 4. 74% 4. 36% 5. 30% 4. 04% 3. 29% Reserves & Surplus 27. 80% 29. 96% 35. 09% 32. 38% 29. 95% Total Liabilities & Capital 100. 00% 100. 00% 100. 00% 100. 00% 100. 00% Analysis: The vertical common size of the B/S of PSO shows that the current as well as fixed assets are pretty much the same and there is major improvement in long term investment & deposits while on the liability side again the current and long term liabilities are pretty much constant. The reserves & surplus have been increasing with the passage of time. Table 4. 4: Pakistan State Oil Company Limited Vertical Common Size of Income statement (2001-2005) 2001 2002 2003 2004 2005 Sales (Net) 100. 00% 100. 00% 100. 00% 100. 00% 100. 00% Cost of Sales 95. 55% 94. 91% 94. 81% 94. 31% 93. 53% Gross Profit 4. 45% 5. 09% 5. 19% 5. 69% 6. 47% Operating Expenses 1. 65% 1. 66% 1. 59% 2. 61% 2. 56% Operating Profit 2. 79% 3. 43% 3. 60% 3. 08% 3. 91% Financial Charges 0. 54% 0. 74% 0. 16% 0. 12% 0. 17% Other income 0. 16% 1. 16% 0. 16% 0. 92% 0. 61% Profit Before Taxation 2. 41% 3. 86% 3. 60% 3. 88% 4. 34% Taxation 0. 84% 1. 46% 1. 26% 1. 35% 1. 03% Profit After Taxation 1. 57% 2. 39% 2. 34% 2. 53% 3. 31% Analysis: The detailed analysis of the I/S of PSO shows that the oil marketing company has been able to slightly reduce its cost of sales which has resulted in a significant increase in the gross profit while the operating profit has also shown an increase as the operating expenses have increased but in a lesser proportion. The financial charges have been drastically cut down due to a better financial performance. There has been a marked improvement in the other income which shows that the company has increased its sources of income and all this has resulted in higher profits. Table 4. 5: Pakistan State Oil Company Limited Horizontal Common Size of Balance Sheets (2001-2005) 2001 2002 2003 2004 2005 Current Assets 100% -0. 001% -8. 54% 28. 90% 65. 98% Fixed Assets (Gross) 100% 19. 269% 41. 53% 62. 56% 71. 13% Depreciation 100% 17. 468% 35. 91% 59. 74% 89. 36% Fixed Assets (Net) 100% 21. 078% 47. 18% 65. 40% 52. 81% Capital work in Progress 100% 30. 150% 66. 47% 70. 52% 81. 58% Long Term Investment & Deposits 100% 109. 346% 142. 40% 158. 6% 214. 84% Total Assets 100% 8. 811% 7. 30% 40. 72% 72. 81% Current Liabilities 100% 6. 701% -6. 57% 32. 08% 70. 88% Deferred Taxation 100% 47200% 37250% 56425% 63018% Long Term Liabilities 100% -47. 371% -14. 53% -7. 05% 18. 70% Total Liabilities 100% 5. 958% -5. 19% 32. 63% 71. 02% Financed By Paid-Up Capital 100% 0. 000% 20. 00% 20. 00% 20. 00% Reserves & S urplus 100% 17. 237% 35. 44% 63. 87% 86. 15% Total Liabilities & Capital 100% 8. 811% 7. 30% 40. 72% 72. 81% Analysis: The horizontal common size of the B/S of PSO significantly tells that the current assets have increased substantially mainly due to the increase in sales. Another important aspect to note is the great deal of increase in the long term investments which is due to various new projects that have been undertaken and this shows that the company is expanding. The increase in current liabilities is mainly due to the increase in credit sales and also because a significant portion of long term loans has been converted into current portion while the increase in long term liabilities is mainly due to the increase in employee benefits which again shows that the company has been doing very well. Another good indicator of the good performance is the increase in the reserves & surplus section of the B/S. Table 4. 6: Pakistan State Oil Company Limited Horizontal Common Size of Income statement (2001-2005) 2001 2002 2003 2004 2005 Sales (Net) 100% -7. 096% 20. 33% 12. 72% 48. 29% Cost of Sales 100% -7. 722% 19. 39% 11. 26% 45. 15% Gross Profit 100% 6. 361% 40. 54% 44. 24% 115. 73% Operating Expenses 100% -6. 642% 16. 14% 78. 36% 129. 88% Operating Profit 100% 14. 050% 54. 96% 24. 06% 107. 36% Financial Charges 100% 25. 751% -64. 71% -75. 72% -52. 40% Other income 100% 585. 921% 23. 56% 556. 97% 472. 87% Profit Before Taxation 100% 48. 847% 79. 91% 81. 46% 167. 33% Taxation 100% 62. 417% 81. 58% 81. 75% 81. 92% Profit After Taxation 100% 41. 614% 79. 02% 81. 31% 212. 85% Analysis: The horizontal common size of the I/S clearly indicates the drastic improvement in the sales which is almost around 50% while due to a lesser increase in the cost of sales the gross profit is up by over 115%. The financial charges have been reduced to more than 50% and a huge increase in other sources of income has led to higher profit before taxation. Table 4. 7: Shell Pakistan Limited Balance Sheets (2001-2005) 2001 2002 2003 2004 2005 Current Assets 6470. 64 7145. 22 6149. 68 7912. 63 12725. 13 Fixed Assets (Gross) 6027. 49 6705. 37 7554. 29 8708. 5 9569. 78 Accumulated Depreciation 2189. 29 2738. 78 3290. 57 3852. 84 4532. 53 Fixed Assets (Net) 3838. 20 3966. 59 4263. 72 4855. 21 5037. 25 Capital Work in Progress 464. 52 534. 61 564. 44 544. 07 582. 38 Long Term Investment & Deposits 1294. 68 186. 27 1998. 93 2032. 22 1988. 13 Total Assets 12068. 04 11832. 69 12976. 77 15344. 13 20332. 89 Liabilities Current L iabilities 6470. 65 5934. 76 7029. 83 9042. 39 11951. 06 Long Term Liabilities 66. 84 47. 51 77. 86 43. 49 48. 22 Deferred Taxation 141 29. 24 17. 26 126. 42 20. 74 Financed By Paid-Up Capital 350. 66 350. 66 350. 66 350. 66 350. 66 Reserves & Surplus 038. 89 5470. 52 5501. 16 5781. 87 7962. 21 Total Liabilities & Equity 12068. 04 11832. 69 12976. 77 15344. 13 20332. 89 Table 4. 8: Shell Pakistan Limited Income Statements (2001-2005) 2001 2002 2003 2004 2005 Sales (Net) 65725. 15 69042. 05 77822. 82 79180. 35 98526. 62 Cost of Sales 61628. 48 64164. 23 72049. 47 72973. 11 89684. 58 Gross Profit 4096. 67 4877. 82 5773. 35 6207. 24 8842. 04 Operating Expenses 2486. 67 3292. 92 3794. 36 3806. 01 4609. 77 Operating Profit 1610. 00 1584. 90 1978. 99 2401. 23 4232. 27 Financial Charges 50. 27 46. 76 51. 48 224. 33 596. 55 Other Income 191. 72 154. 46 110. 32 12. 02 22. 33 Profit Before Taxation 1630. 45 1572. 44 1899. 91 2188. 92 3658. 05 Taxation 574. 42 509. 62 644. 91 680. 91 1197. 19 Profit After Taxation 1056. 03 1062. 81 1255. 00 1508. 01 2460. 86 Table 4. 9: Shell Pakistan Limited Vertical Common Size of Balance Sheets (2001-2005) 2001 2002 2003 2004 2005 Current Assets 53. 62% 60. 39% 47. 39% 51. 57% 62. 58% Fixed Assets (Gross) 49. 95% 56. 67% 58. 21% 56. 75% 47. 07% Accumulated Depreciation 18. 14% 23. 15% 25. 36% 25. 11% 22. 29% Fixed Assets (Net) 31. 80% 33. 52% 32. 86% 31. 64% 24. 77% Capital Work in Progress 3. 85% 4. 52% 4. 35% 3. 55% 2. 86% Long Term Investment & Deposits 0. 73% 1. 57% 15. 40% 13. 24% 9. 78% Total Assets 100. 00% 100. 00% 100. 00% 100. 00% 100. 00% Current Liabilities 53. 62% 50. 16% 54. 17% 58. 93% 58. 78% Long Term Liabilities 0. 55% 0. 40% 0. 60% 0. 28% 0. 24% Deferred Taxation 1. 17% 0. 25% 0. 13% 0. 82% 0. 10% Financed By Paid-Up Capital 2. 91% 2. 96% 2. 70% 2. 29% 1. 72% Reserves & Surplus 41. 75% 46. 23% 42. 39% 37. 68% 39. 16% Total Liabilities & Equity 100. 00% 100. 00% 100. 00% 100. 00% 100. 00% Analysis: Vertical common size of the B/S of Shell Pakistan shows that the company has been pretty much maintaining its proportion of all the assets, liabilities

Tinker Vs. Des Moines - 1399 Words

Case Name: Tinker vs. Des Moines (1969) Facts of the case: In December of 1965, a group of Des Moines students held a meeting at 16-year-old Christopher Eckhardt’s house to plan a public showing of their support for a truce in the Vietnam war. They came to the decision that they would wear black armbands during the holiday season and fast on December 16 as well as New Year’s Eve. When the principals of the Des Moines school learned about the plan, they met on December 14 to create a policy stating that any student wearing an armband would be asked to remove it, and would be suspended if they refused to do so. On December 16, Mary Beth Tinker and Christopher Eckhardt wore their armbands to school and were consequently sent home. The next day, John Tinker did the same thing, and was also suspended. The students did not come back to school until after New Year’s Day, the planned end of the protest. Lower court verdict: The 3 teenagers ended up filing a Civil Rights lawsuit in federal court through their fathers, asking the court to issue an injunction that would bar the school system from further disciplining students in the same situation as well nominal damages. The district court sided with the school board, deciding that the school’s fear of this protest causing disruptions of school discipline was within reason. The Eight Circuit Court of Appeals upheld this ruling on an evenly divided vote. The students ended up bringing their case to the Supreme Court after that.Show MoreRelatedTinker Vs. Des Moines Essay1516 Words   |  7 PagesAmerican troops from Vietnam (Vietnam War History).† A case that is known in history forever â€Å"Tinker v. Des Moines† case was a very good example of anti-war protest and was proven to be an example of freedom of speech. Tinker v. Des Moines case involves two main students. Others students were also involved. The two main student’s names were â€Å"John and Mary Beth Tinker (Landmark Cases).† They were from Des Moines, Iowa and this case took place between the years 1965-1969 (Landmark Cases).† The problemRead MoreThe Tinker Vs. Des Moines Case1498 Words   |  6 Pagesteenagers endure the same issues in their lives. The Tinker vs. Des Moines case helped determined and interpret legal rights of young citizens for the first time. A group of students made a decision to wear black armbands to school to support a peace establishing agreement during the Vietnam War. As a result, the participating students; Mary Beth Tinker, Christopher Eckhardt, and John Tinker got suspended for their actions (Tinker v. Des Moines Independent Community School District).The school outlawedRead MoreTinker Vs. Des Moines861 Words   |  4 PagesDann Harvey Villanueva English 11 Sem 1 1.3.9 Tinker vs. Des Moines December of 1965, a group of adults and a few students of Des Moines Independent Community School District including John Tinker, Mary Beth and their friend Eckhard gathered to show they disfavor towards American involvement in the Vietnam war. Few students decided to wear black armbands to express their objections to the hostilities in Vietnam. The three Tinker students among with their friends were suspended for wearing theRead MoreAnalysis Of Tinker Vs. Des Moines, And Bethel V. Fraser905 Words   |  4 Pagesbe said. Both court cases: Tinker v. Des Moines, and Bethel v. Fraser involved the confusion and misunderstanding of this first amendment. â€Å"In December, 1969, a group of students in Des Moines held a meeting in the home of Christopher Eckhardt to plan a public showing of their support for a truce in the Vietnam War.†1 These students decided to wear black armbands to show their support. These students included: John F. Tinker, Hope Tinker, Mary Beth Tinker, Paul Tinker, and Christopher Eckhardt.Read MoreCase Study: Tinker vs. Des Moines795 Words   |  3 PagesCase Study: Tinker v. Des Moines The Vietnam War was, and still is, a highly controversial subject within American history and politics. Thousands of Americans took to the streets to show their discontent for the nations actions abroad. It was during this time that Tinker v. Des Moines took place, forever changing the way the nation viewed free speech. The case of Tinker v. Des Moines revolved around Americans discontent for the actions the country was taking overseas in Vietnam. In 1965Read MoreProtecting Life, Liberty, and Property in the Bill of Rights848 Words   |  4 Pagesletters that do no threat. The court case that involved amendment one is Tinker vs. Des Moines in 1964. Mary Beth Tinker and her brother wore black armbands to memorialize the Vietnam War. The principle, Des Moines suspened both of them because they refused to take them off. The court case was sent to the Supreme court because Des Moine interfered with Tinker’s right of freedom of speech. The ruling was seven to two in Tinkers favor. The Supreme court stated that students should not shed their constitutionalRead MoreBill of rights Essay955 Words   |  4 Pagesletters that do no threat. The court case that involved amendment one is Tinker vs. Des Moines in 1964. Mary Beth Tinker and her brother wore black armbands to memorialize the Vietnam War . The principle, Des Moines suspened both of them because they refused to take them off. The court case was sent to the Supreme court because Des Moine interfered with Tinker’s right of freedom of speech. The ruling was seven to two in Tinkers favor. The Supreme court stated that students should not shed their constitutionalRead MoreThe United States Constitution Is The Backbone Of Our Country1861 Words   |  8 Pagesschool, they are not unrestricted. The Tinker v. Des Moines Independent Community School District case was a groundbreaking case that helped set the guidelines for First Amendment rights in public schools. It is a case that has provided a backbone for dozens of other cases throughout the years. While the case ultimately upheld the 1st Amendment rights of students, it was a victory for everyone involved in public schools. Case In the case of Tinker v. Des Moines Independent Community School DistrictRead MoreSupreme Court Cases, Thematic Essay861 Words   |  4 PagesUnited States Constitution are interpreted. Two cases in particular that expanded constitutional liberties is the case of Engel vs. Vitale (1962) and the case of Tinker vs. Des Moines School District (1969). Not only did both of these cases expand constitutional liberties in general, they more specifically, expanded rights within the school system. In the case of Engel vs. Vitale, the main topic dealt with prayer at school. The New York State board of regents composed a non-denominational prayerRead MoreShould Students Who Engage in Cyberbullying, Even Off Campus Face Sanctions at School?991 Words   |  4 Pagesthis issue is that while it may begin off campus it can easily cause problems at school. When it does, principals can act based on the disruption that occurs to the school’s program. But, based on the decision of the US Supreme Court in Tinker vs. Des Moines (1969) you can only act when student speech causes a substantial disruption to school activities. Administrators may not restrict speech just because they disagree with the student or find what they are saying it offensive. If the speech