Epistemology in Locke and Berkeley Essay Example for Free

Epistemology in Locke and Berkeley Essay Even though Locke seems to posit a mind-independent world founded on matter, on closer examination it will be found that he does so grudgingly. Berkeley, on the other hand considers the notion as unnecessary, and indeed evil. With a proper examination of the two philosophies they will found to be identical in substance, and they only differ in their moral orientation regarding the notion of matter. Locke’s path would appear to lead to materialism, while Berkeley’s to spiritualism. I argue, however, that Locke is not really promoting materialism. On the other hand, Berkeley’s stance might be the road to quietism, instead of true spirituality. On balance, I would favor Locke. Both philosophers are Empiricists, therefore claim that all knowledge is derived from sense experience alone. The real target against whom this philosophy is directed are the Rationalists, following Descartes, who contended that the mind is possessed of innate knowledge, which is discovered through the application of reason as applied to the sensory data of experience. Descartes numbered substance as three – the soul capable of thought, the non-thinking material world, and God. Excluding God as the unknowable entity, the Cartesians grappled with mind and matter duality, confident that both could be understood as agents interacting with each other. However all efforts in this direction ended in pantheism, where God is invoked as the necessary and indispensable agent of mind and matter interaction. Locke’s philosophy is primarily aimed at overcoming Cartesian duality, and the same can be said of Berkeley’s. Locke focuses his attack on the Cartesian mind with its innate ideas. Berkeley, on the other hand, attacks the concept of mind-independent matter. Locke pictures the mind as a white piece of paper, on which experience writes all possible content, and that which we are able to describe as mind. Before the mind experiences the external material world it has no knowledge. This is made up of ideas, which is that formed when something impinges on our senses, coming from the object of perception. The actual process of transmission is inscrutable, though, which Locke is at pains to point out. The ideas are generally nothing like the object itself, and so the causation that is talked about, as the body being caue of the sense perception, is left shrouded. To make this point Locke shows that we form positive ideas from even the lack of causation. So that the absence of light is positively a shadow to us. Just like the names we give to objects are nothing like the objects themselves, so that most of the ideas that form in the mind bear â€Å"no more the likeness of something existing without us† (qtd. in Bowie, 251). With this provision out of the way, Locke goes on to claim that there are certain ideas which do bear resemblance to the object being observed. The ideas of extension, solidity, shape and motion are indeed said to reside in the object itself. These aspects of matter are intuited, and form what Locke terms primary qualities. This is why the ideas of shape, solidity and motion have such distinct and forceful presence in our mind. It is due to the fact that such ideas constitute the only information transmitted from matter itself to the mind. All other ideas, termed as secondary, are derived from the primary ones, and compounded from them in various ways. In this way color, taste, smell, texture etc are all secondary qualities. These ideas are characterized by their relative nature, so that no two observers are able to agree exactly on a quality like taste or color. At the same time they are not as distinct as are the simple ideas. The same food item can be sweet when tasted in health, and bitter when in fever. Again Locke takes care to point out that there is no necessary causation involved. The idea of blueness, along with the particular fragrance, that we get from holding a violet cannot be linked to the flower itself, so that it is â€Å"no more impossible to conceive that God should annex such ideas to such motions, with which they have no similitude† (Ibid 253). Berkeley insists that the relativistic argument must also apply to the primary qualities of Locke, so that there can be no agreement even regarding shape, size and motion. Different perspectives of the same event gives rise to different ideas, so that a large square building might appear to be small and rectangular when seen from a distance and a skewed perspective. Locke argues, however, that such differences can be â€Å"reasoned† away, by the use of geometry and knowledge of the observer’s position relative to the object of scrutiny. Because such correction is possible the mind can be said to have true knowledge regarding extension. Thus, the thesis of simple ideas, the crux of Locke’s epistemology, is restored. Against this, Berkeley would complain that there cannot be any distinction between primary and secondary sensations. He asks us to try to imagine, if we can, the shape of an object without color. And because we cannot our notion of extension is inseparable from the so-called secondary sensations. That which Locke claimed as distinct as an idea, is found out not to be really so. Shape, size and motion appear to us always associated with color, tone, texture, taste, mood, and so on, and the two categories of sensations cannot be clinically separated at all. And if it is the case that the secondary qualities are not in the object itself, but are framed by the mind that perceives it, then the same must be true for the primary qualities too (Ibid 256). Locke had dismissed Descartes’ materialism, and yet held on to the notion of matter by the slender thread of â€Å"primary qualities†. Berkeley overturns this too, so that there is nothing left with which to grasp on to a notion of matter as a mind-independent entity. He simply applies Occam’s razor to the preceding argument and concludes that, if God would impart to us our idea of extension, whether there be matter or not, then it is illogical to postulate the separate existence of matter, a thing that serves no function at all, and to do so would be tantamount to imputing that â€Å"God has created innumerable beings that are entirely useless, and serve to no manner of purpose† (Ibid 258). We know that this is an argument that Locke would have appreciated, because he himself uses Occam’s razor at many points in his own argument, for example, when he postulates that all experience is derived from only simple ideas. Berkeley is not saying, â€Å"Nothing exists.† The external world is indeed real, but as an idea in the mind of God, and maintained as such so that we are able to refer to an absolute fixity in nature. Existence is either as a spirit or as an idea. The spirit is that which perceives idea. Apart from our own existence we also perceive ideas. These too are said to have real existence. A table does not cease to exist just because we have left the room and there is none to observe it anymore. If it continues to exist, it must only be in some other mind, says Berkeley, and â€Å"consequently so long as they are not actually perceived by me, or do not exist in my mind or that of any other created spirit, they must either have no existence at all, or else subsist in the mind of some Eternal Spirit† (Ibid 255). As epistemology, Berkeley’s reasoning is irrefutable, except that it does not inspire active enquiry as does Locke’s. After a proper examination of the latter’s philosophy it will be found not to differ in essence from that of Berkeley, except in structure and the terminology used. But such a difference is not a minor one either. The distinction of primary ideas made by Locke found better expression in Kant, a century later, as the â€Å"synthetic a priori† ideas of the mind. The gist of Kant is that while practical reason does not deliver knowledge, it nevertheless presages the existence of â€Å"pure† reason, transcendent to practical reason, and the preserve of true knowledge. A further corollary to Kant’s philosophy is the categorical imperative, which stimulates action towards the moral path, which is the path dictated by pure reason, and also the road to true knowledge. It is easy to demonstrate that Locke’s postulate of a material sense perception is the counterpart to Kant’s postulate of practical reason. That such an idea does not deliver knowledge both Locke and Kant admit. But contained in the idea is the imperative to enquire and attain to true knowledge. This is what Locke means when he says: How short soever their knowledge may come of an universal or perfect comprehension of whatsoever is, it yet secures their great concernments, that they have light enough to lead them to the knowledge of their Maker, and the sight of their own duties. (27) This is the spirit of active enquiry that we find in Locke, but not in Berkeley. Indeed, the historical influence of Locke testifies to this claim completely. The German historian Oswald Spengler was not exaggerating when he said, â€Å"The Western Enlightenment is of English origin. The rationalism of the Continent comes wholly from Locke† (qtd. in Durant, 590). It is unfortunate, however, that Locke has come to be associated with materialism. Such a misunderstanding is due to a failure to comprehend fully the implications of his epistemology. This is why I favor Locke over Berkeley. Works Cited Bowie, G. Lee, Meredith W. Michaels and Robert C. Solomon. Twenty Questions: An Introduction to Philosophy. Wadsworth Publishing, 2006. Durant, Will and Ariel Durant. The Age of Louis XIV: A History of European Civilization in the Age of Pascal. New York: Simon and Schuster,1963. Locke, John. An Essay Concerning Humane Understanding. Bibliobazaar LLC, 2006.

Cost of Drug Abuse on Society Essay -- Drug Abuse, Substance Abuse

Drug abuse is a rampant problem in the United States. Drugs can be abused in a variety of different ways by people from every walk of life. Most of us have been affected by drug abuse either directly or indirectly. Drug abusers harm themselves, as well as their families and communities. Drug abuse takes an enormous toll on our society at many levels. The cost of drug abuse on our society is astronomical, not only financially but also personally, emotionally, socially and professionally. Drug abuse is the misuse or overdose of any medication or drug, including alcohol. Many people abuse drugs to deal with everyday life. â€Å"Although it is true that for most people the initial decision to take drugs is voluntary, over time the changes in the brain caused by repeated drug abuse can effect a person’s control and ability to make sound decisions, and at the same time send intense impulses to take drugs (Shannon 246)†. Many people, who abuse drugs, will develop a chronic condition called addiction. Once addicted, it is challenging for the drug abuser to stop abusing drugs. The cost of drug and alcohol recovery services can be expensive, not only to the recovering addict and their families, but also to society paying for services through government agencies. Drug addicts relapsing from their disease or those who are not interested in recovery cost society by involvement in crime, neglect, abuse and even death. Drugs being abused are classified under nine different categories: cocaine, hallucinogens, herion, inhalants, marijuana, pain relievers, sedatives, stimulants and tranquilizers. These drugs range from illegal, over-the-counter to prescription medications. â€Å"In 2007, an estimated 19.9 million Americans aged 12 or o... ...ddiction treatment, medical cost from overdoses, drug-related injuries and complications, time lost from work and social welfare programs (Grohsman). The cost of drug abuse on society applies to all Americans. Whether you are a drug abuser, family member, friend, co-worker or drug manufacturer to drug enforcement officer, we all have been affected by drug abuse. Works Cited Abbot, Ann. â€Å"Health Care Challenges Created by Substance Abuse: The Whole is Definitely Bigger than the Sum of Its Parts† Health & Social Work 27.3 (2002): 162, 4. MasterFile Premier. Web. 19 Nov 2011. Brennfleck Shannon, Joyce, ed. Drug Abuse SOURCEBOOK. Omnigraphics, Inc.,2010. Print. Grohsman, B. â€Å"Drug Addiction and Society.† Treatment Centers.net 23 May 2011. Web. 19 Nov. 2011. â€Å"Magnitude: Drug Abuse is Costly.† National Institute on Drug Abuse.n.d. Web. 19 Nov. 2011

Carbohydrates Lab Report Essay

Introduction Carbohydrates are essential in foods as an energy source (starch is the main source of human calories), a flavouring (simple sugars are usually sweet) and as a functional ingredient (sucrose allows ice cream to be soft in the freezer; xanthan gum thickens a low-fat salad dressing). Carbohydrates are a type of macronutrient found in many foods and beverages. Most carbohydrates are naturally occurring in plant-based foods, such as grains. Food manufacturers also add carbohydrates to processed foods in the form of starch or added sugar. As with all our approaches to food ingredients/constituents we will first examine the structure of carbohydrates and then try to elucidate how their structures allow them to function as they do. As their name suggests, carbohydrates basically made up from sugar and water, i.e. Cx(H2O)y, although this ratio is often not strictly true and occasionally other atoms may be present. The carbons are arranges in a chain (most often 5-6 atoms) functionalized with alcohol groups. The terminal carbon either carries either an aldehyde or a ketone functional group. Carbohydrates are classified based on size of base carbon  chain, number of sugar units, location of C=O and stereochemistry. Classifications of carbohydrate are monosaccharides, disaccharides, oligosaccharides, and polysaccharides. Monosaccharide is the smallest possible sugar unit. Examples include glucose, galactose or fructose. When we talk about blood sugar we are referring to glucose in the blood; glucose is a major source of energy for a cell. In human nutrition, galactose can be found most readily in milk and dairy products, while fructose is found mostly in vegetables and fruit. When monosaccharides merge together in linked groups they are known as polysaccharides. Disaccharide is two monosaccharide molecules bonded together. Polysaccharides are polymers. A simple compound is a monomer, while a complex compound is a polymer which is made of two or more monomers. Disaccharides are polysaccharides – â€Å"poly†¦Ã¢â‚¬  specifies any number higher than one, while â€Å"di†¦Ã¢â‚¬  specifies exactly two. Examples of disaccharides include lactose, maltose, and sucrose. If you bond one glucose molecule with a fructose molecule you get a sucrose molecule. Sucrose is found in table sugar, and is often formed as a result of photosynthesis (sunlight absorbed by chlorophyll reacting with other compounds in plants). If you bond one glucose molecule with a galactose molecule you get lactose, which is commonly found in milk. Starch, glycogen, dextran and cellulose are polysaccharides. Polysaccharides differ not only in the natural of their component monosaccharides but also in the length of their chains and in the amount of chain branching that occurs. Polysaccharides function as storage materials, structural components, or protective substances. Thus, starch ( which exists in two forms: amylose and amylopectin ), glycogen and other storage polysaccharides, as readily metabolizable food, provide energy reserves for cells. Chitin and cellulose provide strong support for the skeletons of arthropods and green plants, respectively. In this experiment those activity that had been carried out means to determine the carbohydrate class of an unknown by carrying out a series of chemical reactions with the unknown and known compounds in each class of carbohydrate such as the Molisch test (general CHO), Barfoed’s test (monosaccharides), Fehling’s test (reducing sugars), Benedict’s test (reducing sugars) and Iodine test (amylose). ACTIVITY 3.1, MOLISCH TEST: A GENERAL TEST FOR CARBOHYDRATES OBJECTIVE: To test the carbohydrate solution MATERIALS: 1 % of carbohydrate solutions( lactose, glucose, starch, sucrose, cellulose, fructose, apple and cabbage ), distilled water(as control tube), concentrated sulphuric acid, Molisch reagent. APPARATUS: Test tubes, test tube holder, dropper, 5ml pipette, glass rod, test tube rack, fume cupboard CAUTION: Molish reagent contains concentrated sulfuric acid , which is toxic and corrosive. It can cause severe burns. Prevent eye, skin clothing, and combustible material contact. Avoid ingesting the substance.If you spill any reagent or acid, immediately notify your laboratory instructor. NOTE: Do not place your thumb over the open end of a test tube when mixing its contents. Your laboratory instructor will suggest ways in which you can safely and thoroughly mix the contents of a test tube. PROCEDURES: 1. 2 ml of each of the 1% carbohydrate solutions that have been prepared is added into one set of labelled test tubes. 2. 2 drops of Molisch reagent are added to each test tube and is mixed well with a clean glass stirring rod. 3. The test tube is inclined. Then 3ml of concentrated sulphuric acid is added slowly and carefully down the side of the tube to form a layer below the sugar solution.( This step is performed inside the fume cupboard ). 4. The resulting solution did not been shook or mixed. 5. The change of the solution is observed and recorded. ( A purple ring at the interface is indicative of a carbohydrate ). 6. The test solutions containing Molisch reagent is discarded into the container provided by laboratory instructor. RESULT: DISCUSSION: Carbohydrates undergo dehydration reactions (loss of water) in the presence of concentrated sulfuric acid. Pentoses and hexoses form five member oxygen  containing rings on dehydration. The five member ring, known as furfural, further reacts with Molisch reagent to form colored compounds. Pentoses are then dehydrated to furfural, while hexoses are dehydrated to 5-hydroxymethylfurfural. Either of these aldehydes, if present, will condense with two molecules of naphthol to form a purple-colored product. A positive reaction is indicated by appearance of a purple ring at the interface between the acid and test layers. Monosaccharides give a rapid positive test. Glucose and fructose are monosaccharide. Disaccharides and polysaccharides react more slowly than monosaccharide. Sucrose and lactose are disaccharide which also gave purple color ring. Starch and cellulose gave slightly purple color because they are polysaccharides. Distilled water gave negative test because it is not carbohydrate. A large apple has around 28-31 grams of carbohydrate. Apple and cabbage contain carbohydrate so that they gave purple ring in this test. CONCLUSION: Glucose, lactose, fructose, sucrose, starch and cellulose all are carbohydrates which give positive test for Molisch test. A sample of distilled water is prepared and tested as the controlling sample. ACTIVITY 3.2, BARFOED’S TEST:A GENERAL TEST TO DISTINGUISH BETWEEN MONOSACCHARIDE AND DISACCHARIDES OBJECTIVE: To distinguish the given carbohydrate solutions as monosaccharides or disaccharides. MATERIALS: 1 % of carbohydrate solutions( lactose, glucose, starch, sucrose, cellulose, fructose), distilled water (as control tube), Barfoed’s reagent APPARATUS: Test tubes, test tube holder, 5 ml pipette, pipette filler, stop watch, water bath CAUTION : Barfoed’s reagent is corrosive and an irritant. If you spill any of the solution on yourself or on the bench, immediately notify your laboratory instructor. PROCEDURES 1. 5 ml of each of the carbohydrate solutions is added into one set of the  labelled test tubes. 2. 5 ml of Barfoed’s reagent is added to each test.  3. The contents of each tube are shook well. All the tubes are placed in an actively boiling water bath at the same time. 4. After the water starts boiling again, the solutions is heated for 3.5 min. ( Timing is important since a false positive test can be obtained for monosaccharides with disaccharide, if the disaccharides are heated for more than 3.5 min thereby breaking down ( hydrolyzing ) to monosaccharides ). 5. During this period, the tubes are observed closely and any change of clarity of the solutions is noted. ( A positive test for monosaccharides is the appearance of a red precipitate of Cu?O within 1 or 2 minutes, if no precipitate forms it indicates the presence of a disaccharide). RESULT: 1% CARBOHYDRATE SOLUTION FORMATION OF RED PRECIPITATE Fructose Yes Glucose Yes Cellulose No Lactose No Sucrose No Starch No Distilled water(as control tube) No DISCUSSION: Barfoed’s test distinguishes monosaccharides from disaccharides. Positive test for monosaccharides is the appearance of red precipitate (Cu2O) within 1-2 minutes. If no precipitate formed, indicates the presence of disaccharide. The red precipitate come from the reaction between the  reduction of copper (II) acetate to copper(I) oxide (Cu2O). RCHO + 2Cu2+ + 2H2O > RCOOH + Cu2Ov + 4H+ The aldehyde group of the monosaccharide which normally forms a cyclic hemiacetal is oxidized to the carboxylate. Glucose and fructose which are monosaccharides show positive result in this test. Reducing disaccharides undergo the same reaction, but do so at a slower rate. So, the timing to heat the sample is set to 3.5 minutes. However, the samples are heated no more than 3.5 minutes to prevent the disaccharide breaking down to monosaccharide. Lactose, sucrose, cellulose, starch and distilled water showed negative result in this test. CONCLUSION: Only monosaccharide will give an immediate red precipitate in Barfoed’s test that is glucose and fructose the other remaining solutions which are cellulose, lactose, sucrose, starch and distilled water do not show any changes. ACTIVITY 3.3 FEHLING TEST: FOR REDUCING OBJECTIVE: To distinguish the reducing sugars and non-reducing sugars MATERIALS: 1% of carbohydrate solutions ( glucose, fructose, cellulose, lactose, sucrose, starch ), distilled water(as control tube), Fehling solution A ( 69.28 grams copper (II) sulfate pentahydrate dissolved in 1 litre of distilled water), Fehling solution B ( 346 grams Rochelle salt ( potassium sodium tartrate tetrahydrate) and 120 grams sodium hydroxide in 1 litre of distilled water) APPARATUS: 5 ml pipette, test tubes, test tube holder, test tube rack, pipette filler, stop watch PROCEDURES: 1. 5 ml of carbohydrate solutions is added into one set of test tubes. 2. By using different glass pipettes, 5 ml of Fehling A and 5 ml of Fehling B are added into each test tubes. 3. The solution is heated in a boiling water bath for 5-10 minutes. 4. Red brick precipitate is formed for positive results. 5. Changes in test tubes are recorded. RESULT: Samples Result Lactose Positive-red brick precipitate Glucose Positive-red brick precipitate Fructose Positive-red brick precipitate Starch Negative-no changes Distilled water Negative-no changes Cellulose Negative-no changes Sucrose Negative-no changes DISCUSSION: Fehling’s solution is used to test for the presence of a reducing sugar. Fehling’s solution was based on the aldehyde or ketone groups in the sugar structures. A sugar is classified as a reducing sugar only if it has an open-chain form with an aldehyde group or a free hemiacetal group. the presence of aldehydes but not ketones is detected by reduction of the deep blue solution of copper(II) to a red precipitate of insoluble copper oxide. Fructose, glucose and lactose show positive result in this test. All monosaccharides are reducing sugars. Many disaccharides, like lactose, also have a reducing form, as one of the two units may have an open-chain form with an aldehyde group. However, sucrose, in which the anomeric carbons of the two units are linked together, are non-reducing disaccharides since neither of the rings is capable of opening. Polysaccharides (sugars with multiple chemical rings) are non-reducing sugars. Polysaccharides have closed structures, which use free atoms to bond together their multiple rings, and take a much longer time to be broken down. So, starch and cellulose which are polysaccharides have negative result in Fehling’s test. Distilled water is not reducing sugar also shows negative result. CONCLUSION: Fehling test is the common test which is used to determine the presence of reducing sugar. Fructose, lactose and glucose are reducing sugars which give brick red precipitate after the solutions are heated. ACTIVITY 3.4 BENEDICT’S TEST: FOR REDUCING OBJECTIVE: To test for reducing sugars MATERIALS: 1% of carbohydrate solutions ( glucose, fructose, cellulose, lactose, sucrose, starch ), 3M hydrochloric acid (HCl), Benedict’s reagent, distilled water APPARATUS: Test tubes, test tube holder, test tube rack, 5 ml pipette, pipette filler, dropper, stop watch, water bath PROCEDURES 1. 5 ml of Benedict’s reagent and 2 ml of carbohydrate are added to a test tube and each tube is shook thoroughly. 2. All the tubes are placed in a boiling water bath at the same time. The solutions are heated for 5-6 min. 3. Any changes in color, in the transparencies and in the formation and color of any precipitate are observed and recorded. 4. Later, 4 drops of 3M HCl are added to 5 ml of 1 % sucrose solution and is heated in the boiling water bath for 5 min. 5. 1 % starch solution is treated in the same way but the heating period was extended to 25-30 min. 6. 1-2 ml of each of solution is applied with Benedict’s test in the same manner as before. 7. The results are compared with those obtained without acid treatment. RESULT: Sugar solution Result of colour of the solution Starch Light blue Lactose Brick red precipitate are formed Fructose Brick red precipitate are formed Sucrose Light blue Cellulose Light blue + white precipitate Glucose Brick red precipitate are formed Distilled water Light blue Sucrose + HCI Brick red precipitate are formed Starch + HCI Light DISCUSSION: The Benedict’s test is used to detect the presence of reducing sugars (sugars with a free aldehyde or ketone group) such as glucose, fructose and lactose. All monosaccharides are reducing sugars; they all have a free reactive carbonyl group. Some disaccharides have exposed carbonyl groups and are also reducing sugars. Lactose which is disaccharides also called reducing sugar as it has the exposed carbonyl groups. Other disaccharides such as sucrose and starch are non-reducing sugars and will not react with Benedict’s solution. Benedict’s reagent is a mild oxidant with CuSO4, Cu (II) sulfate, as one of the reagents. In the presence of a reducing sugar, the blue solution of Cu (II) or Cu+2, is changed to a brick red/brown precipitate of Copper (I) or Cu+1 oxide,Cu2O. If there a small or large amount of the reducing sugar present, the color would range from green to brick red respectively. RCHO + 2Cu2+ + 4OH- > RCOOH + Cu2O + 2H2O Sucrose indirectly produces a posit ive result with Benedict’s reagent if heated with dilute hydrochloric acid prior to the test, although after this treatment it is no longer sucrose. The addition of  HCl hydrolysed the non-reducing sugar, as it split it up into its component monomers. The monomers are reducing sugars which gave the positive result on the second reducing sugar test. The acidic conditions and heat break the glycosidic bond in sucrose through hydrolysis. The products of sucrose decomposition are glucose and fructose, both of which can be detected by Benedict’s reagent, as described above. This same goes for starch. But since starch has larger component compare to sucrose so it took a longer time to hydrolyse. That the purpose of heat it in longer time compare to sucrose. Without the addition of acid to sucrose solution, starch solution, the test given is negative. The solutions remain clear blue after the addition of Benedict’s reagent and heating. Tap water is used only to show the example of negative result of Benedict’s test. Thus it will not show any changes compare to the carbohydrates. CONCLUSION: Benedict’s test is the common test which is used to determine the existence of reducing sugar. Fructose, lactose, and glucose are reducing sugars which give positive test. Starch and sucrose are non reducing sugars which give positive results after adding hydrochloric acid. ACTIVITY 3.6, IODINE TEST: FOR POLYSACCHARIDES OBJECTIVE: To test for polysaccharides MATERIALS: 0.01M iodine, 0.12M KI , 1% carbohydrate solutions (cellulose and starch) , distilled water APPARATUS: Test tubes, test tube rack , dropper. PROCEDURE: 1. Few drop of 0.01M iodine in 0.12M KI added to 1% starch and cellulose solutions. 2. Any changes to the colour are observed. RESULT: 1% CARBOHYDRATE SOLUTION COLOUR OBSERVED Starch Vivid blue Cellulose Yellowish brown DISCUSSION: Starch gives positive result in Iodine test as the color of solution change from yellow to dark blue. The immediate formation of a vivid blue color indicates amylose. Vivid blue coloration forms due to the polyiodide complex formed. Cellulose is derived from D-glucose units, which condensed through beta(1->4)-glycosidic bond. This give cellulose to be a straight polymer therefore, it can’t coil around iodine to produce blue colour as starch does. Only starch gives the color of vivid blue, this is because it contains amylase. The iodine molecules slip inside of the amylase coil. The amylose, or straight chain portion of starch, forms helices where iodine molecules assemble, forming a dark blue color. CONCLUSION: The Iodine test is used to test for the presence of starch. Starch is a type of polysaccharide carbohydrate which is made up of amylose and amylopectin. It is one of the main sources of carbohydrate and present naturally in plant. Amylose in starch form dark blue complex with iodine. ACTIVITY 2.2 SOLUBILITY AND DIGESTIBILITY TEST SOLUBILITY TEST OBJECTIVE: To test the solubility in hot water and digestion by amylase. MATERIALS: 5g of starch, 5g of cellulose, distilled water APPARATUS: Test tubes, test tube holder, glass rod, test tube rack, fume cupboard, 2 centrifuge tubes, analytical balance, cylinder, graduated pipette, pipette filler, 2 evaporator dishes. PROCEDURE: 1 5 g of starch is measured and put into a centrifuge tube;  2 40 ml of distilled of water is measured and poured into the same centrifuge  tube; 3 Step 1 to 2 is repeated by replacing the starch with cellulose; 4 Both of the tubes are heated: the tube containing starch is heated for about 2-3 minutes whereas the tube containing cellulose is heated for about 10 minutes; 5 After heating, both of the content of the tubes are allowed to cool down slightly; 6 The tubes are put into a centrifuge with 3500 rpm for 10 minutes; 7 Empty weight for both of the evaporator dishes is measured; 8 5 mL of the supernatant from both of the tubes is pipetted and poured into two separate evaporator dishes; 9 The evaporator dishes are left in the oven overnight 10 The weight of the evaporator dishes is measured again. 11 The solubility results are recorded and tabulated. RESULT: Solubility (%) = Weight of dried supernatant (g) Weight of the dried carbohydrates (g) For starch, solubility (%) = 0.0093g 50.0023g = 0.01860 % For cellulose, solubility (%) = 0.0010g 50.0027g = 0.002000 % Carbohydrates Weight of dry carbohydrates (gram) Weight of dried supernatant (gram) Solubility (%) Starch 50.0023g 24.8768g- 24.8675g= 0.0093g 0.01860 Cellulose 50.0027g 21.2150g- 21.2140g= 0.0010g 0.002000 DISCUSSION: In this activity, the solubility is defined as the percentage ratio of the weight of dried supernatant to the weight of the dry starch. Solubility can be interpreted as the amount of the dissolved compound that is present in the test solution. From the calculations done, we can see that starch, with a percentage of solubility at 0.01860 %, whereas cellulose have 0.002000 %. Starch and cellulose are two very similar polymers. In fact, they are both made from the same monomer, glucose, and have the same glucose-based repeat units. Since the sugar molecules contain the hydroxyl group or –OH, Thus it can form hydrogen bonds with water molecules, which makes it soluble in water, but only to a limited extent. However, the glucose units in starch are connected by alpha linkages while the glucose units in cellulose are connected by beta linkages. In starch, all the glucose repeat units are oriented in the same direction. But in cellulose, each succesive glucose unit is rotated 180 degrees around the axis of the polymer backbone chain, relative to the last repeat unit. Although cellulose contains hydroxyl groups too, but most of them are hydrogen-bonded to each other when the microfibrils stack together, which accounts for the strength of cellulose fibers. There’s less free hydroxyl groups that can hydrogen bond with water molecules, other than those hydroxyl groups that’s present at the end of each cellulose chain, which causes the cellulose to be less soluble in water when compared to starch. CONCLUSION: Although both starch and cellulose are complex carbohydrates, which have large molecular weight size, significantly reducing their affinity for water, but the hydroxyl groups that exist in the monomers itself actually contributes to their insignificant solubility. However, the solubility will increase when these complex carbohydrates are broken down into its monomers where the hydroxyl groups can form hydrogen bonds with other water molecules easily due to the reduced molecular weight and size that affects the affinity for water. DIGESTIBILITY TEST OBJECTIVE: To determine the digestibility of complex carbohydrates MATERIALS: Starch powder, cellulose powder, enzyme amylase, benedict’s solution, distilled water APPARATUS: 2 centrifuge tubes, measuring cylinder, analytical balance, pipette fillers, graduated pipettes, 2 droppers, 5 test tubes. PROCEDURE: 1 5 g of starch is measured and put into a centrifuge tube;  2 40 ml of distilled of water is measured and poured into the same centrifuge tube; 3 Step 1 to 2 is repeated by replacing the starch with cellulose; 4 Both of the tubes are heated: the tube containing starch is heated for about 2-3 minutes whereas the tube containing cellulose is heated for about 10 minutes; 5 After heating, both of the tubes are allowed to cool down slightly; 6 5 mL of starch is pipetted into a test tube;  7 Step 6 is repeated using a different test tube but a drop of amylase is dropped into it; 8 5 mL of cellulose is pipetted into a test tube; 9  Step 8 is repeated using a different test tube but a drop of amylase is dropped into it; 10 5 mL of distilled water is pipetted into the last test tube, and a drop of amylase is dropped into it; 11 20 drops of benedict’s solution is dropped into five of the test tubes; 12 Any changes occurred is recorded and tabulated. Result Samples Colours of the solutions Benedict’ s test 5 g of starch blue Negative 5 g of starch with amylase Brick red precipitate is formed Positive 5 g of cellulose blue Negative 5 g of cellulose with amylase blue Negative Distilled water with amylase Blue Negative DISCUSSION: Amylase is one of the many members of a class of enzyme, hydrolases, that catalyze the hydrolysis of starch into smaller carbohydrate molecules such as maltose (a molecule composed of two glucose molecules). Two categories of amylases, denoted alpha and beta, differ in the way they attack the bonds of the starch molecules. Alpha-amylase is widespread among living organisms. In the digestive systems of humans and many other mammals, an alpha-amylase called ptyalin is produced by the salivary glands, whereas pancreatic amylase is secreted by the pancreas into the small intestine. In the experiment, the test tube that contains only distilled water served as a control for this experiment. As for the test tubes that contain starch and cellulose without the amylase, they give a negative result for Benedict’s test, because for starch and cellulose, since both of them are complex carbohydrates, thus they have very few carbonyl groups which contribute to the compound’s reducing properties. Starch is a non-reducing sugar which shows negative result in the Benedict’s test. As for the test tube that contains starch and cellulose with the addition of a drop of enzyme, amylase, the test tube with starch gives a positive result, but not the test tube with cellulose. As we all know, enzyme amylase can only catalyzes the breakdown of starch into simpler sugars, but not cellulose. Cellulose only digested by cellulase enzyme. It is impossible for human digestive enzymes to break the glycosidic bond. Therefore, only the test tube containing starch treated with amylase gives a positive result for the Benedict’s test. CONCLUSION: Enzyme is a highly specific catalyst which can only converts a specific set of reactants into specific products. Amylase only hydrolyze the starch but not cellulose. From here, we can say that the human digestive system would not be able to digest the cellulose, because our digestive system only contains amylase, and not cellulose. Therefore in the perspective of a  human, we can conclude that the digestibility of starch is higher than cellulose, provided that the enzyme amylase is present.

Financial Analysis of Ladbrokes - Free Essay Example

Sample details Pages: 9 Words: 2563 Downloads: 4 Date added: 2017/06/26 Category Finance Essay Type Argumentative essay Level High school Did you like this example? Title: Financial Analysis of Ladbrokes 1) Ladbrokes is the worldà ¢Ã¢â€š ¬Ã¢â€ž ¢s leading fixed odds betting company. The company was established as a partnership in 1886[1]. The business listed on the London Stock Exchange in 1967. The company also diversified into hotel business by opening hotels and purchasing Hilton International Hotels in 1987. In 2006, Hilton International was sold to Hilton Group and now Ladbrokes plc focuses on betting business only. Ladbrokes reaches its customers through the following four core routes: 2,500 betting shops spread over UK, Ireland, Jersey and Belgium[2]; Website and telephone betting for European players; Casino à ¢Ã¢â€š ¬Ã¢â‚¬Å" Recent entrant; and Vernons Pools à ¢Ã¢â€š ¬Ã¢â‚¬Å" Football pool operator The business faces numerous competitors in different segments. They are few large operators of betting shops but Ladbrokes group is a well established leader. The most volatile business segment is the internet betting which was impacted by the change in US laws which made internet betting illegal and this action might be followed by other European countries. Football pool business is declining in its share and chances of its revival are less. The company faces following main risks: Don’t waste time! Our writers will create an original "Financial Analysis of Ladbrokes" essay for you Create order Internet betting. US has already made internet betting illegal. It is expected that some of the European countries are also thinking of making it illegal because ità ¢Ã¢â€š ¬Ã¢â€ž ¢s a loss to their tax revenues. Foreign exchange. As Ladbrokes plc has customers across Europe, strengthening of Pound against Euro will lower its revenues and profits in Pounds. Interest rate. Increase in interest rate will reduce profits in terms of higher interest payments and increase in expenses linked to retail price inflation like employees salaries. High losses in some championship due to adverse winning by clients. The latest full year accounts are available for the year ended 31 December 2005. Appendix I shows the summary financials. The profit and loss results compare the change in financials over the year from continued business only to give a better idea about future prospects and valuation. The revenue from continued operations increased by 13.6 % to  £11,505 million. EBITDA is low because winnings are distributed from revenues only. Profit after tax increased 2.5 % to  £196 million. The total number of outstanding ordinary shares is 628.13 million[3]. Ladbrokes share price is 452.25 pence[4] giving it a market value of  £2.84 billion. Ladbrokes share price has moved upwards significantly in the last four months on back of grant of new licences to open betting shops across Europe and good trading for the ten months ended 31 Oct 2006. Profits from the continuing operations increased by 5 % in the ten months period ended 31 Oct 2006[5]. With a 5 % increase in pro fits, the expected annual profits would be around  £210 million from the continuing operations. Market capitalisation of  £2.8 billion will result in price to earning ratio of 14. 2) Appendix II shows the different sources of finance for the year ended 31 December 2005. 52.3 % of assets are financed by liabilities and remaining by shareholders funds. Only 10.8 % of assets are financed by the current liabilities indicating more reliance on long-term liabilities. Ladbrokes had borrowings of  £1,285 million with most of that in non-current liabilities. But the company had  £926 million of cash and cash equivalent in terms of short-term investments. The net debt of Ladbrokes was only  £359 million. Gearing ratio = Net debt / (Net debt + Shareholders funds) = 359 / (359 + 2595) = 12.2 % Ladbrokes financial gearing is very less and with assets in terms of betting shops, there is not significant fear of bankruptcy. The current financi al gearing ratio would be different because of sale of hotel business which constituted a significant part of the assets. Appendix III shows the 5-year dividend history of Ladbrokes. Though there was no change in earning per share, the dividend was increased by 8 % in the year ended 31 December 2005. Even though the earnings per share dropped in years 2003 and 2002, dividend was maintained. Most of the managements donà ¢Ã¢â€š ¬Ã¢â€ž ¢t cut dividend immediately because it can give strong negative signals about future expectations. Even tough earnings increased rapidly in 2004, the dividend wasnà ¢Ã¢â€š ¬Ã¢â€ž ¢t increased by the same because of two likely reasons. First, previous dividend to earnings ratio was more than 1 and by keeping dividend growth low management had a chance to bring it below 1. Second, it may not be possible to grow earnings so fast in future and hence a smaller growth in dividend in future may again lead to negative share price reaction. Cost of capita l The effective interest rates for current and non-current borrowings were 1.07% and 5.80% respectively[6]. Weighted average cost of debt, Rd = 4.59%. Cost of equity capital = Re = Rf + Be*(Rm à ¢Ã¢â€š ¬Ã¢â‚¬Å" Rf) Risk-free rate, Rf = 4.88 %[7] (10-year yield on UK gilt) Expected market return, Rm = 12.5 % Beta = Be = 0.99, as calculated in question 4 Re = 4.88% + 0.99*(12.5% 4.88%) = 12.42% Cost of capital = R = Rd*(1-T)*D/(D+E) + Re*E/(D+E) Where E = Shareholders funds =  £2,595.2 million D = Debt =  £1,285.6 million T = Tax rate = 30% Cost of capital, R = 9.37% Appendix IV shows the working capital analysis. Current liabilities are more than covered by current assets. Also there is no change in quick ratio in the year ended 31 December 2005 because of no inventories in the betting business. Ladbrokes has nil debtor days in 2005 due to the nature of the business. Trade creditors are also very low. 3) Main type of mar ket efficiencies are as follows: Strong form of efficiency. Share prices reflect all information and so no excess returns can be generated. Semi-strong form efficiency. Share prices adjust quickly to publicly available new information. Weak-form efficiency. No excess returns can be earned by using investment strategies that are based on past movement in share prices. It however allows for excess gains based on the fundamental analysis. Stock Market Efficiency is important for listed firms where managers are different from owners. An efficient stock market means that the information is available to all concerned parties in timely manner so that no single party can make undue gains from it. This gives confidence to shareholders that they will not be taken for a ride by the management. To test SME, we find abnormal price movements and then check if any important announcement was made by the company on that day. Abnormal share price movements were the difference between the daily return on the share price and the expected daily normal return. Expected normal return is calculated by using beta of the share. If no news was announced on that day or after the close of previous day, then abnormal share price movement doesnà ¢Ã¢â€š ¬Ã¢â€ž ¢t reflect SME. An index with all companies in the market is very cumbersome to maintain. An index covering a broad range of companies representing various business sectors would g ive a good indication of the market movement. We have used FTSE 100 index as the benchmark index as all major companies are represented in it. Abnormal return = Share return à ¢Ã¢â€š ¬Ã¢â‚¬Å" Beta * FTSE return The top five absolute abnormal returns based on the above formula were observed on the following dates: 12 Jan 2007 à ¢Ã¢â€š ¬Ã¢â‚¬Å" Abnormal excess returns of 2.31% 20 Dec 2006 à ¢Ã¢â€š ¬Ã¢â‚¬Å" Abnormal excess returns of 2.39% 16 Nov 2006 Abnormal excess returns of -4.98% 24 Aug 2006 Abnormal excess returns of -3.63% 16 Jun 2006 Abnormal excess returns of -3.05% We looked at the à ¢Ã¢â€š ¬Ã‹Å"Financial Timesà ¢Ã¢â€š ¬Ã¢â€ž ¢ and à ¢Ã¢â€š ¬Ã‹Å"Investegateà ¢Ã¢â€š ¬Ã¢â€ž ¢ website for the articles. Financial Times website gives company news along with its analysis of the announcements. Investegate website gives all the regulatory announcements. 12 Jan 2007 No special announcement in Investegate website. Rumour of private equity interest in Ladbroke on Financial Times[8]. This shows that some people had more news than others and hence absence of market efficiency. 20 Dec 2006 No news on either Investegate or Financial Times and hence absence of market efficiency. 16 Nov 2006 Release of trading statement on 16 Nov 2006 showing 5 % growth in profits[9]. As markets move after new information and price incorporate news within the day, presence of semi-strong form of efficiency. 24 Aug 2006 Interim results for six months showing growth in profits by 12.3%[10]. Price incorporated most of the news on the same day; presenc e of semi-strong form of efficiency. 16 Jun 2006 No news released and hence excess returns do not support stock market efficiency. The above excess share price returns in Ladbrokes show that the market is a weak-form of efficiency in case of Ladbrokes. 4) Market risk, also known as the systematic risk, is the residual risk in the market that canà ¢Ã¢â€š ¬Ã¢â€ž ¢t be associated with any specific company. Market risk arises from the macro economic factors like GDP, change in inflation and movement in interest rates and affects all companies. Since market risk is the residual risk, it canà ¢Ã¢â€š ¬Ã¢â€ž ¢t be diversified by forming a portfolio of companies. Beta of a company is the measure of movement of its share price against the market movement. The movements of share price and market are captured by the returns in share prices and market index. For this study, we have assumed FTSE 100 index to represent the market as a whole. Academics suggest use of five yea r data for calculating beta of a company. But in case of Ladbrokes, such share movements are not available because it sold a large part of its business in early 2006 and it changed dramatically the risk profile of the company. Hence it would be incorrect to use the five year period in calculating beta. Post demerger of its hotel business, Ladbrokes plc shares were listed on 18 April 2006. We have used the month end share price and FTSE 100 index returns for calculating beta. The monthly returns of Ladbrokes share price are calculated by comparing the share price with the share price at the end of previous month. Same process is repeated for FTSE 100 index (see Appendix V). A graph is plotted with Ladbrokesà ¢Ã¢â€š ¬Ã¢â€ž ¢ share price returns are plotted on the Y-axis and FTSE 100 index returns are plotted on the X-axis. Linear regression is used to plot the least square line and the slope of the line gives beta. The slope of the line plotted using least square method gives beta . Regression analysis of share returns on index returns is also shown in Appendix V. Beta value = 0.98 The beta of 0.98 means that the share price of Ladbrokes changes in a very similar manner to the changes in the FTSE 100 index. Adjusted R square of 0.28 indicates that 28 % of the share price movement is because of market movement. The adjusted R square value is low because of two abnormal readings in the month of July 2006 and Jan 2007. Also since the period of analysis contains only 9 readings, the abnormal readings of July 2006 and Jan 2007 had a major impact on adjusted R square value. We also look at the ratio of monthly returns of Ladbrokesà ¢Ã¢â€š ¬Ã¢â€ž ¢s share price to the monthly returns of the FTSE 100 index. The beta is taken as the ratio of the monthly share returns to monthly index returns. Then we take the average of monthly betas to find out the beta for the period. Appendix VI shows the values of betas from May 2006 to January 2007. Beta value = -1.0 1 The value of beta from the above method is totally opposite to the value obtained using regression. This is because of two abnormal reading in July 2006 and January 2007. If we take out January 2007 reading from the above group and take the average from May 2006 to December 2007, beta is 1.01. This value is comparable to the value obtained in the regression analysis. We take average of the above two values à ¢Ã¢â€š ¬Ã¢â‚¬Å" 0.98 and 1.01 as the beta, 0.99, of Ladbrokes. 5) Portfolio effects There are two types of risks associated with every share. First is the systematic risk which is form the macro factors affecting any economy like GDP and movement in interest rates. All shares are affected by changes in above factors. Second is the specific risk which corresponds to the factors affecting only that particular share like change in competition, change in regulatory laws affecting the sector in which the company operates. Because all companies face systematic risk, it canà ¢Ã¢â€š ¬Ã¢â€ž ¢t be diversified. But different shares can face different movement in their share prices at certain time due to various specific risks. Portfolio effect tries to capture the correlation between different share prices. It may happen that some shares have negative correlation to the market and hence may balance the high volatility in earnings. A portfolio formed out of different asset classes or shares may reduce the volatility in price changes and increase the reward to risk ratio. 6) We now once again at the stock market efficiency. Since the idea of stock market efficiency was floated, many researches have been done. Academics have also pointed out to seasonal anomalies like January effect to counter market efficiency. Also studies show that stock returns are not only related to market returns but also to other factors like size of the firm, book value to market value ratio. The spread of ways to convey news to investors and rapid decrease in time taken to spread news has reduced the reaction time of market and made it more efficient. But still it is difficult to say that markets are strongly efficient. Even though laws to prevent insider trading have been enacted, still share prices show abnormal returns before important public announcements especially around mergers and acquisitions. Market inefficiencies are more prominent at individual company level than at the whole market level. 7) Ladbrokes is the leading fixed odds betting company with presence in both shops and online betting sector. Online betting faces uncertain future due to changes in laws in US and expected changes in some European countries too. Ladbrokes is well placed to take into account banning of internet by taking more business through its shops. Company is focused on betting now after selling its hotel business and has capacity to take on more debt for future expansion across Europe. Ladbrokes profits are growing and with a current price to earn ing ratio of 14, the share price looks decent value for a company looking to expand. Ladbrokes also have high amount of cash and cash equivalent following sale of hotel business which it can use for expansion. This along with more debt will allow Ladbrokes to expand without raising equity; a prospect for shareholders. BIBLIOGRAPHY AND REFERENCES Ladbrokes, Annual Report and Accounts 2005 https://www.ladbrokesplc.com/downloads/reports/hilton_annual_report2005.pdf, Date 18 Feb 2007 Appendix I à ¢Ã¢â€š ¬Ã¢â‚¬Å" Summary Financials Profit and Loss statement Balance Sheet Cash flow (Source: Ladbrokes, Annual Report and Accounts 2005) Appendix II à ¢Ã¢â€š ¬Ã¢â‚¬Å" Sources of finance (Source: Ladbrokes, Annual Report and Accounts 2005) Appendix III à ¢Ã¢â€š ¬Ã¢â‚¬Å" Dividend history (Source: Ladbrokes, Annual Report and Accounts 2005) Appendix IV à ¢Ã¢â€š ¬Ã¢â‚¬Å" Working capital analysis (Source: Ladbrokes, Annual Rep ort and Accounts 2005) Appendix V à ¢Ã¢â€š ¬Ã¢â‚¬Å" Beta calculations (Source: Ladbrokes share price https://uk.finance.yahoo.com/q/hp?s=LAD.L FTSE 100 index https://uk.finance.yahoo.com/q/hp?s=%5EFTSE) Graph of Ladbrokesà ¢Ã¢â€š ¬Ã¢â€ž ¢ monthly returns and FTSE 100 monthly returns Regression Analysis Appendix VI à ¢Ã¢â€š ¬Ã¢â‚¬Å" Second way of calculating beta (Source: Ladbrokes plc share price https://uk.finance.yahoo.com/q?s=ladm=Ld= FTSE 100 index https://uk.finance.yahoo.com/q/hp?s=%5EFTSE) [1] https://www.ladbrokesplc.com/index.php?id=1pid=1c, Date 18 Feb 2007 [2] https://www.ladbrokesplc.com/index.php?id=1pid=1c, Date 18 Feb 2007 [3] https://www.ladbrokesplc.com/index.php?id=2pid=2a, Date 18 Feb 2007 [4] https://uk.finance.yahoo.com/q?s=LAD.L, Date 18 Feb 2007 [5] https://www.ladbrokesplc.com/downloads/results/Final_trading_update.pdf, Date 18 Feb 2007 [6] Ladbrokes plc, Annual Report and Accounts 2005, Page 62. [7] https://specials.ft.com/siterefresh/stats/pdfs/tenyeargovbondspreads/SPR160207.pdf [8] https://search.ft.com/ftArticle?sortBy=gadatearticlequeryText=ladbrokesy=9aje=truex=11id=070113005647page=3 [9] https://www.investegate.co.uk/Article.aspx?id=200611160700391673M [10] https://www.investegate.co.uk/Article.aspx?id=200608240700360444I