Teaching A Diverse Population Essay Example for Free

Teaching A Diverse Population Essay Diversity within the American classroom makes the process of teaching and learning a growing challenge.   The faces of todays students are becoming increasingly dissimilar. Schools are faced with the challenge of integrating the cultures and ethnicities of American based curriculum and students from a variety of cultures and ethnicities. Each of these students brings different culturally based rules, expectations, value systems, and educational needs to the learning environment. Facing the challenge of educating these increasingly culturally and ethnically diverse learners begins not only with a change in the management, pedagogy, and instructional delivery system, but also with a change in designers, trainers, or teachers. Research indicates that most mainstream cultural educators automatically view the world exclusively from their own viewpoints, which serves as a reference against which all others should be evaluated. This process has been commonplace in the classroom.   This results in an unwarranted belief that ones own way of doing things is best and that ones own group is markedly superior to another. â€Å"Generally speaking, this type of person is the one who neither understands nor accepts the culturally different learners values, their motives, the rewards that are meaningful to them, their locus of control, their linguistic systems, their learning styles, and their cognitive styles.† (Zhang, 2001)   This is a person who may, upon entering or creating a learning environment, do so with cultural orientations and expectations that reflect his/her own cultural values and expectations.   This can create an environment that perpetuates the predominant culture and shuts out others learners. Zhang identified talking points to enable an educational system evaluate their ability to meet the needs of minority or diverse students.   These questions include: (1) What form of educational system is most familiar to the students? (2) What kind of learning environment is most customary to these students?   In some cultures, for example, teachers are revered individuals who teach sacred truth. The task of the students is to absorb knowledge, and they seldom disagree with the teacher. In the programs designed for these particular students, we can put more fundamental basic skills for them to memorize. (3) How do the cultural backgrounds of the students influence their uses and views of time? Americans uses and views of time reflect cultural biases that alter their educational processes.   In contrast to the American clock-oriented value, some cultures are not conditioned to use every moment in a productive, task-oriented manner.   Classrooms may not be able to design curriculum in a strictly time-controlled system. Some students may need more time. (4) What kind of relationship is most natural for these students to have with the teachers? The teacher-student relationship is culturally mandated. (5) What rewards are attractive to these students? Rewards and reinforcement for learning differ in effectiveness across cultures. Some cultures teach their children different reward systems.   For instance, verbal praise, which is viewed by most teachers as a reward, is not perceived as such by children of some minority groups. (6) How can the program use some slang? American classrooms are structured on standard English, but some minority students feel more comfortable learning in a rather informal setting. The use of some slang in the program may improve learning achievement. (7) What about the students cognitive styles? American schools favor the abstract, conceptual style. Studies have shown that some cultural groups develop different cognitive styles. Some theorists express the view that culturally different children are often judged as incompetent, whereas in reality, it is their individual performance, not their competence, which is deficient. The gap between competence and performance is attributed to inappropriate situation cues inappropriate because they fail to stimulate the child into action. Mathematics requires more abstract, conceptual ability. Some minority students develop their cognitive style with concrete, objective base. Therefore situated learning environment supported by most of constructivism theorists is a good choice.   (Zhang, 2001)   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Zhang offers the following criteria to evaluate a good culturally balanced curriculum: 1)   Materials are respectful of cultural, ethnic, sexual, and/or religious diversity. 2) A balance of historical perspectives is represented that recognizes the complexity underlying historical events, especially wars, and politics. 3) Gender inclusiveness is evident. 4) A balanced perspective on the values and contributions of diverse cultures is represented. 5) Images and icons are sensitive to cultural taboos and customs. 6) An ethical perspective is presented that maintains that cultural practices should be respected unless they violate principles of basic humanity. 7) Ethnic groups are represented in ways that reflect the diversity within these groups. 8) A balance of different cultures and societies is represented in images or texts. 9) Ethnic groups are represented in ways that reflect accurately their overall contributions to society. 10) Ethnic pluralism based upon respect for differences are held forth as the ideal approach to societal development. Teachers are well aware of the demographic trends in todays schools indicating that the student population is becoming more ethnically, culturally, and racially diverse.   Curriculum development and teachers are challenged to provide meaningful, relevant, and motivating educational interventions to all learners. Instruction must be responsive to the needs of these new learners, who often have backgrounds different from our own. This pluralistic focus, which requires us to accommodate diversity in the education process, must start with our own cultural   sensitivity.   This requires being able to view the world from the standpoint of a culture other than ones own.   For educators, this means accepting as valid the culturally different learners values, their motives, rewards that are meaningful to them, their locus of control, their linguistic systems, their learning styles, and their cognitive styles. Incorporating these issues into program designs, valuing this diversity and seeing it as an asset to meaningful and effective instruction are key components for relevant instructional design. Deep Teaching   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Angela Rickford, while assessing the progress of reading skills among culturally diverse classrooms, found that there still exists inequities with the system and the instruction methods of teachers.   Rickford identified six sound principles, which formulate her theory on deep teaching, which is defined as â€Å"a teachers ability to communicate and impart stated concepts, curriculum content and lesson objectives to a class of students with enjoyment, clarity, understanding, and the permanent acquisition of new knowledge by those students even if they are academically challenged.† The six principles identified in deep teaching are: 1) student engagement, 2) learner participation, 3) repetition and reinforcement, 4) high expectations, 5) sound pedagogy and 6) conceptual understanding. Student engagement: In order to educate our children successfully, we should first seek to discover where their interests lie, and then teach to those interests. Contemporary educators believe that a curriculum that incorporates real-world connections and applications will engage learners. Real-life work is meaningful to students, and effective as it allows the student to apply what they are learning.   Rickford promoted culturally relevant literature for teaching ethnically diverse studentsliterature containing themes, ideas, and issues that are consonant with their lived experiences, and with which they could readily identify. Learner Participation:   The second element of learner participation forms a natural pairing with student engagement. In the classroom, the reading teacher must be a facilitator of knowledge, and a guide and coworker. The current educational emphasis is on learning strategies such as partner reading, shared reading, homogeneous and heterogeneous grouping, authentic assessment and interactive reading comprehension techniques (predicting, visualizing, questioning, and self-monitoring), and on communication and interaction. These techniques are designed to foster a participatory, pro-active, hands-on approach to student learning. Repetition and Reinforcement:   Practice it until you can get it without thinking. It should be automatic.   It should become part of the individual. Expectations:   The issue of low expectations continues limit the progress made by minorities in todays classrooms in both direct and indirect ways. It has been well documented that low expectations are endemic in the mechanism of schooling that supports low-achieving students, and the trend is further manifested in fundamental measures of excellence such as teacher quality, teaching pedagogy, classroom management, and curricular selection.   The direct impact of low expectations on the part of classroom teachers has a cumulative effect on students. One of social psychologys most profound contributions to education has been the finding that teacher expectations can affect both childrens intellectual growth and their academic achievement.   High expectations should be the prevailing standard for all students. Sound Teaching and Conceptual Understanding:   Sound teaching pedagogy is the principle upon which the successful transfer of knowledge from teacher to student depends, while conceptual understanding is what the student gains when that knowledge has been successfully transferred. Sound teaching pedagogy and conceptual understanding are the hallmarks of effective teachers. Research has shown further that teacher knowledge and expertise are directly and systematically related to student growth and achievement. Multicultural Strategies Coleman Hamm identified multicultural strategies (integration, fusion, and alternation) that involve a desire to relate positively to individuals from multiple cultural groups, and are characterized by positive attitudes toward ones own and other groups, a moderate to high degree of facility with the roles and values of multiple groups, and a belief that members of different cultures can successfully form positive relationships. Although integration, fusion, and alternation strategies differ with respect to the specific knowledge, beliefs, and skills that guide them, each is based on a belief that cultural boundaries can and should be implemented successfully without compromise to either culture and are believed to motivate behavior to further integration. A common experience in ethnically diverse schools is to collaborate in a group format on academic tasks with peers who are from ones own, as well as from other ethnic groups.   Using a multicultural strategy, students would interact with all members of the learning group, taking steps to ensure that group members of all ethnic backgrounds are respected and are involved with the project. Learning as a Social and Cultural Process   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Given that research has demonstrated the under-performing of minority students within the Western classroom, perhpas learning is primarily a social and cultural process.   This is not to diminish the role of the individual; however, individual thinking is strongly influenced by cultural assumptions and beliefs.   Because all communities do not think, believe, or learn in identical ways, there may still be much, that is confusing to or misunderstood by children with   language, culture, and socioeconomic differences. Teachers must be willing to learn not only who their students are but also who they, themselves, are as cultural beings and how that strongly affects their teaching.   (Pransky Bailey, 2002)   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Pransky and Bailey identified a four step process for teachers to implement in the classroom to increase effectiveness: Step 1. Awareness. A teacher notices a breakdown in communication or an inability (or unwillingness) of a student or group of students to perform adequately on an academic task. Step 2. Inquiry. The teacher examines the nature of the lesson and begins to identify cultural assumptions that may negatively affect at-risk students. Step 3. Reconceptualization. With this new information, the teacher reconceptualizes his or her perspective on the students, lesson, curriculum, or school culture. Step 4. Lesson. A lesson is revisited, revised, or restructured, and ones instructional decisions change based on that new conception. What is learned through this process expands the awareness of the teacher, and effectively increases teaching skills.   As one develops more awareness, knowledge, and experience with a cultural perspective on learning, one is better able to reconceptualize and then redirect or refocus ones teaching within the flow of the lesson. This might be termed real-time inquiry. In real-time inquiry, especially, it is important to engage in dialogue with students to try to discover the understandings they have of the lesson task or interaction. (Pransky Bailey, 2002) Teaching Science in a Diverse Classroom Houtz Watson evaluated teacher performance in the science classroom and identified the following needs in order to meet the needs of diverse students: They must recognize what is required in learning tasks such as vocabulary knowledge, the ability to make inferences, and the ability to work independently. They also should know their students strengths and weaknesses. Once these tasks are accomplished, the educator must determine the reason for the mismatch between a students abilities and the task requirements of the lesson Culturally and linguistically diverse (CLD) students may be at risk of performing poorly in science if they lack the linguistic, the cognitive, the social, and the emotional behaviors required by science learning.   Because the behavior, culture, and language of CLD students may be different from those involved in the task requirements, these students may experience difficulty completing science projects.   Teachers need to identify the discrepancy between task demands and student ability and then modify to their lesson plans accordingly. By understanding the process of acquiring a second language and a second culture and the cognitive, linguistic, emotional, and social demands involved in the process, science teachers can incorporate instructional conditions that attend to the students needs. Science teachers can use numerous instructional strategies to accommodate CLD learners without weakening the curriculum.   Contextualization allows students to draw from personal experiences and build on their prior knowledge to learn the new scientific concept. Teachers can group individualize the process by structuring questions that encourage students to think about their own personal experience as it relates to the topic or content to be learned. The use of contextualized instruction provides CLD students the support they need for understanding the lesson by visually representing the information through experiments, pictures, graphic organizers, and charts. Contextualization allows teachers to (a) consider their students language proficiency levels of vocabulary control and (b) highlight specific text information. Analogies and examples that are culturally relevant may also be used to help students understand scientific concepts.   Analogies show the similarities between a new concept and a familiar concept, making the new concept more meaningful to the student. Analogies can assist in diminishing the cognitive and linguistic requirements of the task. Cognitive modeling and demonstration are especially beneficial for CLD students because these strategies increase understanding by providing concrete, step-by-step procedures that lessen the cognitive, linguistic, and social requirements of the task.   (Houtz Watson, 2002) A Learner Centered Approach   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   An essential factor for a learner-centered approach is placing the learning characteristics of all learners under close scrutiny with emphasis on low-performing learners.   The focus in a learner-centered approach is on individual learners heredity, experiences, perspectives, backgrounds, talents, interests, capacities, and needs.   A learner-centered approach is defined as clarifying what is needed to create positive learning contexts, in order to increase the likelihood that more students will experience success.   The culture of the learning context is as important to learning as the content and the methods used.   (Brown, 2003) In the learner-centered environment, classroom teachers share narratives about students interaction with content and methodology. Teachers participate in professional development to learn how to differentiate instruction. Differentiation is a way of thinking about teaching and learning that is based on a set of beliefs that students who are the same age may differ in their readiness to learn, their interests, their styles of learning, their experiences, and their life circumstances.   The differences in students are significant enough to make a major impact on what students need to learn, the pace at which they need to learn it, and the support they need from teachers and others to learn it. Differentiated instruction meets the needs of diverse student populations by combining   student needs with a focus on content, process, and learning profiles.   The learner-centered approach, focuses on content knowledge and design flexibility to allow learners to construct their learning. Learner needs and characteristics take precedence over knowledge of facts and skills; the emphasis is on engaging learners in learning for understanding and thinking, to help them build their own interpretations. Creating Equitable Classroom Climates Kelly outlines recommendations that include creating a mixed set of expectations for all students in order to reduce the participation inequity altogether. These expectations focus on being able to identify each individuals area or areas of strength and expertise. In order to create this new set of expectations,   teachers must convince students of three things: (a) the cooperative task requires many different intellectual abilities, (b) no one will have all of these abilities and, (c) everyone will have some of these abilities.   Kelly believes that teachers who teach and model equitable classroom culture will probably be more likely to convince students to behave more equitably to their peers.   (Kelly, 2002) This method of implementing change by using a multiple-abilities approach and assigning competence to low-status groups, teachers will limit the impact of high expectations for high-status learners and low-expectations for low-status learners, and create a mixed set of expectations for everyone. This approach should reduce the differences in participation noted previously in high- and low-status students.   Kelly identifies the key factor to success in the latter intervention is recognition, a truthful evaluation by the teacher of the low-status student showing him/her as being strong in a specific, relevant area. Conclusion Diversity in the classroom and the challenges faced by teachers to meet the needs of minority students has been studied and debated for more than twenty years.   Progress in the identification of strategies has been made, but implementation is likely to be slow, as the revision of curriculum is a costly and time consuming project. The strategies outlined in this paper are not dependent on the revision of curriculum however, and may provide for ease of implementation.   One focus of these strategies is to assess each student, understand who they are, based on their culture, and direct your teaching methods accordingly.   Further, teachers must identify their own cultural beliefs and how those may prejudice their teaching methods.   Including students in the process of learning, modifying the process, and outlining the challenges will be beneficial to the learning of all. References Brown, K. L. (2003). From Teacher-Centered to Learner-Centered Curriculum: Improving Learning in Diverse Classrooms. Education, 124(1), 49+. Retrieved May 19, 2006, from Questia database: http://www.questia.com/PM.qst?a=od=5002018664 Hamm, J. V., Coleman, H. L. (2001). African American and White Adolescents Strategies for Managing Cultural Diversity in Predominantly White High Schools. Journal of Youth and Adolescence, 30(3), 281. Retrieved May 19, 2006, from Questia database: http://www.questia.com/PM.qst?a=od=5001037737 Kelly, C. A. (2002). Creating Equitable Classroom Climates: An Investigation of Classroom Strategies in Mathematics and Science Instruction for Developing Preservice Teachers Use of Democratic Social Values. Child Study Journal, 32(1), 39+. Retrieved May 19, 2006, from Questia database: http://www.questia.com/PM.qst?a=od=5000659006 Mitchell, B. M., Salsbury, R. E. (1996). Multicultural Education: An International Guide to Research, Policies, and Programs. Westport, CT: Greenwood Press. Retrieved May 19, 2006, from Questia database: http://www.questia.com/PM.qst?a=od=26227378 OByrne, B. (2001). Needed: A Compass to Navigate the Multilingual English Classroom. Journal of Adolescent Adult Literacy, 44(5), 440. Retrieved May 19, 2006, from Questia database: http://www.questia.com/PM.qst?a=od=5000100580 Pransky, K., Bailey, F. (2002). To Meet Your Students Where They Are, First You Have to Find Them: Working with Culturally and Linguistically Diverse At-Risk Students Research Has Shown How Attention to Cultural Mismatch May Be a Key to Equitable School Achievement. This Article Presents a Series of Case Study Vignettes to Assist Practicing Teachers. The Reading Teacher, 56(4), 370+. Retrieved May 19, 2006, from Questia database: http://www.questia.com/PM.qst?a=od=5000600644 Rickford, A. E. (2005). Everything I Needed to Know about Teaching I Learned from My Children: Six Deep Teaching Principles for Todays Reading Teachers. Reading Improvement, 42(2), 112+. Retrieved May 19, 2006, from Questia database: http://www.questia.com/PM.qst?a=od=5010994248 Watson, S. M., Houtz, L. E. (2002). Teaching Science: Meeting the Academic Needs of Culturally and Linguistically Diverse Students. Intervention in School Clinic, 37(5), 267+. Retrieved May 19, 2006, from Questia database: http://www.questia.com/PM.qst?a=od=5000755185 Zhang, J. X. (2001). Cultural Diversity in Instructional Design. International Journal of Instructional Media, 28(3), 299. Retrieved May 19, 2006, from Questia database: http://www.questia.com/PM.qst?a=od=5001037930

Florida State and the Future of Gay Adoption Essay -- Journalism Journ

Florida state law currently bans lesbians and gay men from adopting children. The American Civil Liberties Union (ACLU) is attempting to get a case before the Supreme Court that could overturn the law. The ban on gay adoption has been in place since 1977, when the state legislature almost unanimously condoned restriction of the rights of its gay citizens. Legislation on the issue was sparked by Anita Bryant's "Save Our Children" campaign, which raged through Florida and even beyond spreading myths about homosexuality and linking homosexuality to pedophilia. At the time of its inception, Senator Curtis Peterson, one of its primary supporters, spoke to the law's true purpose: "The problem in Florida has been that homosexuals are surfacing to such an extent that they're beginning to aggravate the ordinary folks. We're trying to send them a message, telling them:  ¡Ã‚ ®We're really tired of you. We wish you'd go back into the closet" (1). The state's attitude, while becoming more equally divided on the issue, has not changed significantly enough to overturn the law. An appeal was made to a three-person appeals panel, which upheld the law. A request for reconsideration of the decision made to the federal Court of Appeals for the 11th Circuit, which encompasses the geographic area of Florida, Georgia and Mississippi, was denied. This denial has allowed the ACLU to bring the case before the Supreme Court for consideration. Perhaps most indicative of the law's blatantly homophobic basis is the fact that the state has no restrictions on using gays and lesbians to relieve the burden on the foster care system. The state frequently uses gay couples to provide homes for disabled and terminally ill children, but refuses to recognize that thi... ...ion, it will shape the framework in which we discuss the issue of gay adoption. This is true. We must recognize the fearful power of one to appoint these decision makers without a sufficiently balanced congress- it is the ability to embody political rhetoric within a judicial structure. Rhetoric itself may and does sway public opinion, but its embodiment is the ability to set precedents which may be applied in broad-sweeping generalities, rather than the specifics of a single law. Internet Sources: 1)ACLU, Background information on the specific case in Florida. 2)Let Him Stay, Specifically devoted to the Croteau-Lofton case giving detailed information on the family, laws and legislation affecting the case. 3)Human Rights Campaign, State-by-state information on both current and pending legislation on a wide range of issues affecting the LGBT community.

Internal External Strategies Essay

Tradeoffs between an internal and external growth strategy goes together in an organization. The internal organization which focuses on the internal growth of the firm look upon the comforts for the internal people and the facilities are provided internally for the employees. The employees are boosted up and they are encouraged from giving them bonus, over time etc. the internal growth of an organization helps it to groom itself completely but this sets a backward area. The internal growth comprises on the employees moral, the expansion of the organization, more opportunities are overwhelmed for the employees and they are trained in such a manner that they become sharp and confident and boast them in an orderly manner. As a result only the internal growth is focused and the external has to go through a tough time as the only focus becomes the internal growth and the cost is ignored. The production cost gets higher and the demand is affected which leads to a decrease in the sale of goods in the market (Clare & Stutely, 1995). On the other hand when the external growth is focused the budget and the cost are kept in view and the people are mainly focused on the output in the market. Cost cutting is observed and this even leads to the suspension of employees from their job. The cost of the product is kept in view and then decisions are taken to avoid any kind of disturbance in the demand of the product. This creates misconception among the employees and the owners and a huge gap is created among relations. Employees are not focused and not considered for increment. These are the tradeoffs between external and internal growth strategy (Triant, 2006). In international strategy external growth is focused as it is more profitable for them. In international trade only the cost and the demand is focused. Profit is only the motive of the international traders and therefore external trade strategy is the best approach.

Financial Ratios For Pace Ltd With Calculations Finance Essay - Free Essay Example

Sample details Pages: 6 Words: 1668 Downloads: 5 Date added: 2017/06/26 Category Finance Essay Type Analytical essay Did you like this example? Introduction: Jill Dempsey and Mike Greaves started Pace Leisurewear Ltd five year ago. Pace Leisurewear are a manufacture and designer of leisure and casual clothes which aimed younger and higher-income group people. After lots of planning, they integrated product design and development with the sales and marketing. Don’t waste time! Our writers will create an original "Financial Ratios For Pace Ltd With Calculations Finance Essay" essay for you Create order Clothes range are designed by young and team led by Jane Barker which attracted many buyers and then orders converted by marketing team led by Jill Dempsey. Companys sales started increasing after economy coming out of recession with new exports markets in France and Switzerland. Mike and Jill invested in Pace Leisurewear from their life time savings and major contribution or largest shareholder is Keeble Estates Ltd, owned by Keeble brother, David and John Keeble. The board of directors of Pace Leisurewear Ltd are Jill Dempsey, Mike Geaves, Jane Berker, David Keeble and John Keeble. Problems with Pace Leisurewear Ltd: According to draft accounts from auditors, company profit has doubled; however, the companys cash situation is poor because they have invested a lot on additional plant and after selling old machines they didnt get anything plus expenses includes pound; 2.8 million for depreciation itself. The main problem which is Pace Leisurewear going to face is reduction of bank overdraft by half in next 6 months. Cash situation of company is very poor and they need large injection of funds in order to fulfil Arena orders and sort out companys liquidity problem. Keeble brother already rejected the offer to introduce another major share holder in company because this may dilute Keeble brothers influence. Financial ratios: In order to monitor business performance, accounting ratios plays important role in interpreting financial information about company. The more you know about how business is performing, more it will be easier to make informed decisions about how to manage growth in business. These ratios include following details, like, sales, purchases and payment made to employees etc. Used to see how business is doing. We need to analyse these details in order to forecast and compare with competitors. Below are the ratios for Pace Leisurewear ltd with calculation: Liquidity Ratio: A business is considered to be solvent when it can pay its debts whenever they become due. This means it can pay its suppliers properly by having enough working capital. There are two key ratios that help us determining business solvency: Current Ratio Quick Ratio Current Assets include Stock, Trade debtors, other debtors and cash according to balance sheet as on 2008. Current liabilities include trade creditors, other creditors, taxation, dividends and bank over drafts according to balance sheet as on 2008. Current assets includes short term assets or receivable and current liabilities implies short term liabilities which is payable in one year. Current assets for year before last totalled as 4356 (000) and last year as 9974 (000) and current liabilities totalled for year before last as 2482 (000) and for last year as 8844 (000), Ideally, current ratio should be 2: 1 which shows business has enough current assets to pay current liabilities. Current ratio for year before last is 1.8:1 which shows company has enough liquidity to pay his debts, however, current year ratio stating 1:1 which increases concern about the Pace Leisurewear ltd ability to pay its short term debts. Quick ratio or acid-test ratio measures liquidity more accurate than current ratio because it does not includes value of stock in current assets. Stock takes time to get converted into cash with payment terms typically standing more than 30 days. In order to calculate quick ratio, we need to remove stock from current assets. Ideal quick ratio should be 1:1, Company year before last quick ratio was 0.8:1 which is somehow acceptable, however, current year quick ratio comes to 0.5:1 which shows company is going to face serious problem with liquidity. Stock totalled for year before last was 2418(000) and for last year was 5820 (000), stock figure shows, companys frequently doubled its stock. Profitability ratios: We can measure business is profitable with the help of Profit and loss statement, but in order to put profit into prospective, whether, profit is growing in proportion to the size of business or business is profitable in his sector etc. Below are the profitability ratios of Pace Leisurewear Ltd. Return on Capital employed: ROCE shows companys profitability percentage on profit before interest and tax over capital employed. Higher the ROCE higher the companys profitability. Year before last ROCE was approx. 20% which increased to 29% in last year because Profit before tax and interest was doubled as compare to year before last, however, at the same time company also increased their fixed assets and current assets to 14470 (000) and 9974 (000). Thats why theres in only 9% increase in ROCE otherwise ROCE figure would be 40%. Return on Equity: ROE measures the return on the funds of the owners and equity shows the total investment of the owners of the firm. ROE for year before last was 18% and last year is 33%, which is almost doubles from year before last. Higher the ROE higher the return for share holders. Net profit after tax and preference dividend increased more than double which shows company earning good return from shareholders equity. Gross profit margin: Gross profit margin or operating profit margin shows the percentage of amount remaining after paying cost of sales. Companys gross profit increased by approx. 65% from 6510(000) to 10792(000) over sales which increased by approx. 60% from 14006(000) to 22410(000). Gross profit margin for year before last was 46% which increased to 48% in last year. The major factor which affected gross profit margin was cost of sales because cost of sales increased by 55% from year before last to last year. Net profit margin: This shows relationship between net profit and sales and its widely used ratio in business. Ideally, it should be higher or keep on increasing over year. It shows business net profitability. Net profit margin for year before last was 15% which increased to 21% in last year. Profit after tax increased by 134% over previous which is a very good sign for business future prospective. Asset management/ Efficiency Ratio: Efficiency ratios helps to figure out how efficiently business using its assets. There are many different types of ratios which help us to measure efficiency of business. Stock turnover ratio: This ratio shows the number of days that on average money is tied up in stocks. Year before last stock turnover was 118 days which increased to 183 days in last year. Large turnover days, worst for the business because the money is not available to use anywhere else and money got freeze with stock. Stock is the part of working capital and its important to quickly convert stock into cash to avoid liquidity problem. Debtors turnover ratio in days: This ratio shows, how quickly and efficiently business is collecting its debts. Shorter the period better and longer period more chance for bad debts. Year before last debtor turnover was 42 days (approx) which increase to 61 days (approx) in last year, this shows more time money will be held with debtors. Creditors turnover ratio in days: The creditors turnover shows, in how many days business is paying its debts. Creditor turnover days should be always greater than debtors turnover days. Longer creditors turnover days good for the business because business holding creditors money for a long time. If we compare creditor and debtors turnover days for year before last, this shows company is collecting debts from debtors in 42 days and paying to creditors in 59 days and in last year, debtor turnover is 61 days and creditor turnover is 82 days (approx) which is quite good for the business. Borrowing ratio: Gearing ratio: Gearing ratio measures of financial leverage which demonstrate the degree to which business activities are funded by owner fund versus creditor funds. Year before last gearing ratio was 34% which shows company is less geared as they have loans of 3600 (000) over equity, however, in last year, gearing ratio increases to 42% which shows company is highly geared as compare to previous year. Company increased the loan amount by 83% (approx) which is 6600 (000). Higher the loans, the more interest company will have to pay and this may affect company capacity to pay dividends. Cash operating cycle: Cash operating cycle helps business in finding average time between purchases of inventory and receiving cash from sales. Cash operating cycle helps in analysing companys liquidity problem. According to the year before last cash operating cycle, its shows business takes 101 days to convert purchases into sales and in cash. Last year cycle increases to 162 days, this states in order to generate cash, company need to wait for long 162 days. Plan of action: After analysing ratio for last two year, I found that company is soon going to face difficulties with liquidity. Bank already going to reduce over draft by half in next six months and this will make situation worst. Company need to consider in areas which require attention. Company is highly profitable, still company not able to finding investors. Company may look for investors who can invest in the company in exchange of high returns. Company can encourage customers and suppliers to make investment in the company; however, this may create interference in business by customer and suppliers in future policies. Company need to bring someone with financial background or expertise to take control over firm financing and investing activities. Company has invested a lot in fixed assets during last year, this shows company is growing rapidly without considering liquidity problem. Company need to control its growth and should more concern on orders to be fulfilled. Converting stock in cash is best possible short term solution, according to efficiency ratios, large number of stock turnover days affecting company cash conversion cycle which increased by 60% (approx) last year. Conversion of stock will reduce cash conversion cycle and thus increase cash inflow in company. Due to large amount of stock, quick ratio also affected badly. Try to get payment from debtors more rapidly and took a hold over creditors payment. Examine assets which are not required and thus sell them off in order to generate cash in business. Company can go forward to cancel proposed dividend for a particular year in order to maintain liquidity.