Study On Internal And External Sources Of Finance Finance Essay - Free Essay Example

Sample details Pages: 6 Words: 1749 Downloads: 4 Date added: 2017/06/26 Category Business Essay Type Research paper Did you like this example? Finance is essential for business operations development and expansion finance is core limiting factor for most businesses and it is crucial for business to manage their financial resources properly. Finance is available to a business from variety of sources from both internal and external. It is also essential for business to choose most appropriate source of finance to its several needs as different sources have its own benefits and costs. Don’t waste time! Our writers will create an original "Study On Internal And External Sources Of Finance Finance Essay" essay for you Create order Sources of finance can be classified based on a number of factors they can be classified as Internal and External factors Short Term and Long Term or Equity and Debt which would be easy to classify the sources as internal and external. Internal Sources of Finance: Internal sources of finance are the funds which are available promptly within the organisation. It consists of Personal Savings Retained Profits Working Capital Sale of fixed assets Personal savings: The amount of personal money of an owner or partner or share holder of business may execute anything at his administration when the business seeks to borrow the personal money of investor for a financial business needs this source of finance is known as personal savings. Retained Profits: Retained profits are undistributed profits of a company. Not all the profits made by a company are distributed as dividends to its shareholders. The remainder of finance is saved by the business as a backup in tim es of financial needs and maybe used later for a companys development or expansion retained profits are valuable at no cost source of finance. Working Capital: Working capital refers the sum of money that a business uses its daily activities. Working capital is the difference of current assets and current liabilities (working capital = current assets current liabilities). Proper working capital management is also vital as it also a source of finance for a business. Current Assets: Current assets are also known as cash equivalents because they are easily convertible to cash. Current assets consist of Stock, Debtors prepayments, Bank and Cash these assets are used up, sold or keep changing in short run. Stock: This refers to the stock of goods available to the business for sale at given time. It is very important to maintain the right amount of stock of goods for a business. If stock levels are too high it means that too much of money is being held up in the form of st ock and if stock levels are too high it means that too much of money is being held up in the form of stock and if stock levels are too low the business will lose possible opportunities of higher sales. Debtors: Debtors is a type of business in which customers building up on the trade having been bought the businesss goods or service on credit. If a business has cash flow problems it can maintain a low level of debtors by encouraging the debtors to pay as early as possible. Prepayments: These are the expenses paid in advance the payment is being made even before the payment occurs is a prepayment. Bank and cash: Bank is the cash held in banks and cash is money held by business in the form of cash. Having too much of money in the form of cash is also not good for a business since it can use that money to invest and earn a return but however a business should have healthy current ratio(Current Assets : Current Liabilities) of 2:1 Current Liabilities: Current Liabilities are short-term debts that are in immediate need of settlement. Some examples of current liabilities creditors accruals proposed dividends within a year. Creditors: also known as trade creditors. Trade creditors are Suppliers from whom the business purchased goods on credit. Paying the creditors as soon as possible will ease cash flow requirements for a business. Accruals are the expenses owed by the business. Dividends proposed are the dividends payable for the year that is not yet paid. Tax owing is the sum of money owing as tax  [i] External sources of finance: Sources of finance that are not internal sources of finance are external sources of finance. External sources of finance are from sources that are outside the business. External sources of finance can either be: Ownership capital or Non-ownership capital Ownership capital: Ownership capital is the money invested in the business by the owners themselves. It can be the capital funding by own ers and partners or it can also be share bought by the shareholders of a company. There are mainly two main types of shares. They are: Ordinary shares Preference shares Ordinary shares: Ordinary shares also known as equity shares are a unit of investment in a company. Ordinary shareholders have the privilege of receiving a part of company profits via dividends which is based on the value of shares held by the shareholder and the profit made for the year by the company. They also have the right to vote at general meetings of the company. Companies can issue ordinary shares in order to raise finance for long-term financial needs. Preference shares: Preference shares are another type of shares. Preference shareholders receive a fixed rate of dividends before the ordinary shareholders are paid. Preference shareholders do not have the right to vote at general meetings of the company. Preference shares are also an ownership capital source of finance. There are several ty pes of preference shares. Some of them are Cumulative preference share, Redeemable preference share, Participating preference share and Convertible preference share. Cumulative preference shares if a company is in a loss making situation and is unable to pay dividends for one year then the dividend for that year will be paid the next year along with next years dividends. Redeemable preference shares these preference shares can be bought back by the company at a later date. Normally the date of redemption is usually agreed. Participating preference shares give the benefit of additional dividends to its shareholders above the fixed rate of dividends they receive. The additional dividend is usually paid in proportion to ordinary dividends declared. Convertible preference shares convertible preference shareholders have the option of converting their preference shares to ordinary shares. Non-ownership capital: Unlike ownership capital, non-ownership capital does not allow the lender to participate in profit-sharing or to influence how the business is run. The main obligations of non-ownership capital are to pay back the borrowed sum of money and interest. Different types of non-ownership capital: Debentures Bank overdraft Loan Hire-purchase Lease Grant Venture capital Factoring Invoice discounting Debentures: Debentures are issued in order to raise debt capital. Debenture holders are not owners but long-term creditors of the company. Debenture holders receive a fixed rate of interest annually whether the company makes a profit or loss. Debentures are issued only for a time period and thus the company must pay the amount back to the debenture holders at the end of the agreed period. Debentures can be secured, unsecured, fixed or floating. Secured debentures are debentures that are secured against an asset. They are also called mortgage debentures. Unsecured debentures these debentures do not have an asse t as collateral. Fixed debentures have a fixed rate of interest. Floating debentures do not have fixed rate of interest and are not tied to any specific asset. Bearer debentures these debentures are easily transferable. Registered debentures are not easily transferable and legal procedures have to be followed in case of a transfer. Convertible debentures can be converted to stock at the end of the debenture repayment date. DIFFERENCES BETWEEN LONG/MEDIUM TERM AND SHORT TERM SOURCES: Introduction: Finance sources may be internal or external but they may also be short medium or long term Short Term: Short term Finances the business up to 1 year Medium Term: Medium term finances the business up to 5 years Long Term: Long term finances the business more than 5 years Short Medium and long term Sources: Long Term Medium Term Short Term Personal Resources Personal Resources Personal Resources Ordinary Share Capital Bank Loan Bank Loan Bank Overdraft . ii Long term Sources: Long Term Sources generally refer to those requirements of funds which are for a period exceeding 5-10 years. All investments in plant, machinery, land, buildings, etc., are considered as long term financial needs. Funds required to finance permanent or hard core working capital should also be procured from long term sources. Medium term Sources: Medium Term refers to those funds which are required for a period exceeding one year but not exceeding 5 years. For example, if a company resorts to extensive publicity and advertisement campaign then such type of expenses may be written off over a period of 3 to 5 years. These are called deferred revenue expenses and funds required for them are classified in the category of medium term financial needs. Sometimes long term requirements, for which long term cannot be arranged immediately, may be met from medium term sources and thus the demand of medium term financial needs are generated. As and when th e desired long term funds are made available, medium term loans taken earlier may be paid off. Short term financial Sources: Short Term Sources takes place to finance in current assets such as stock, debtors, cash, etc. Investment in these assets is known as meeting of working capital requirements of the concern. Firms require working capital to employ fixed assets gainfully. The requirement of working capital depends upon a number of factors which may differ from industry to industry and from company to company in the same industry. The main characteristic of short term financial needs is that they arise for a short period of time not exceeding the accounting period, i.e., one year. The basic principle for meeting the short term financial needs of a concern is that such needs should be met from short term sources, and for medium term financial needs from medium term sources and long term financial needs from long term sources. Accordingly, the method of raising funds is to be decided with reference to the period for which funds are required. Basically, there are two sources of raising funds for any business enterprise. Viz., owners capital and borrowed capital. The owners capital is used for meeting long term financial needs and it primarily comes from share capital and retained earnings. Borrowed capital for all the other types of requirement can be raised from different sources such as debentures, public deposits; loans form financial institutions and commercial banks, etc.

Mythology in Oedipus Rex Essay examples - 4094 Words

Mythology in Oedipus Rex In â€Å"The Oedipus Legend† Bernard M. W. Knox talks of the advantages accruing to Sophocles as a user of myths in his dramas: The myths he used gave to his plays, without any effort on his part, some of those larger dimensions of authority which the modern dramatist must create out of nothing if his play is to be more than a passing entertainment. The myths had the authority of history, for myth is in one of its aspects the only history of an age that kept no records. . . . the myths served as typical patterns of the conduct of man and the manifestation of the gods (85). This essay seeks to explore the life of the flawed mythological person, Oedipus, as protagonist of†¦show more content†¦The epic was most probably put into writing early in the seventh century before the present era. . . . â€Å"And I saw the mother of Oedipodes, fair Epicste, who wrought a monstrous deed in ignorance of mind in that she wedded her own son, and he, when he had slain his own father, wedded her, and straightway the gods made these things known among men. . . .She made fast a noose on high from a lofty beam, overpowered by her sorrow.† (Bowra 33). From this we can deduce that the myth used by Sophocles in Oedipus Rex had to be older than the seventh century BC because Homer employed it at that time. C. M. Bowra in â€Å"Sophocles’ Use of Mythology† gives the rationale behind the Attic dramatists’ preference for myths in their plays: Myth provided the framework of drama, which illustrated in a highly concrete and cogent way some important crisis or problem, and that is why Greek tragedy can be called symbolical. The old stories are indeed told again for their own sake, and there is no lack of dramatic tension and human interest, but they also exemplify some far-reaching problem, which is admirably presented in this individual shape(31). The Homeric myth provides the story of the fall of a man from prosperity to adversity. Sophocles takes the myth and dramatizes it in such a way that every word and action makes an impact on theShow MoreRelated Mythology in Oedipus Rex Essays3980 Words   |  16 PagesMythology in Oedipus Rex  Ã‚  Ã‚  Ã‚        Ã‚  Ã‚   E. T. Owen in â€Å"Drama in Sophocles’ Oedipus Tyrannus† comments on the mythological beginnings of Oedipus Rex:    Professor Goodell says: â€Å"Given an old myth to be dramatized, Sophocles’ primary question was, ‘Just what sort of people were they, must they have been, who naturally did and suffered what the tales say they did and suffered?† That was his method of analysis (38).    The Greek Sophoclean tragedy Oedipus Rex is based on a myth fromRead MoreGreek Mythology And Mythology Of The Iliad, Oedipus Rex And Others1294 Words   |  6 Pagesbeen shaped by mythology and religion. The impacts of ancient cultures in particular are felt worldwide through a variety of mediums. Others have referenced ancient cultures for a long time, in hopes of better understanding them. Examples of this have been seen throughout the world, especially in Greek culture. The ancient Greeks had a rich culture, which they used often in their works; examples of this are seen in the Iliad, Oedipus Rex and others. The existence of Greek mythology and narrativesRead MoreOedipus The King, Fate And Destiny1201 Words   |  5 PagesSophocles is the author of the famous play, â€Å"Oedipus the King†. In case you did not know, Sophocles is from Greece. In Greek mythology there are three goddesses who preside over the birth and life of humans. Each person s destiny was thought of a s a thread spun, measured, and cut by the three Fates, Clotho, Lachesis, and Atropos. In the story â€Å"Oedipus the King† fate and destiny was the main theme. On Google the definition of destiny is the events that will necessarily happen to a particular personRead MoreThe Tragic Hero of Oedipus Rex Essay1383 Words   |  6 PagesThe Tragic Hero of Oedipus Rex According to the ancient Greeks and Aristotle the hero is a person who possesses superior qualities of mind and body, and who proves his superiority by doing great deeds of valor, strength, or intellect. In Sophocles Oedipus Rex the main character Oedipus possesses these characteristics of a true hero, which in turn lead to his self-destruction. In the beginning of the play Oedipuss great intellect is made known by the chorus who see him as someone who hasRead MoreOedipus and Christianity Essay652 Words   |  3 Pagesdeal in the story Oedipus Rex. Even though the gods knew what he was going to do, he still had the free will to do so. This is quite similar to the beliefs of the Christian religion. Christians are accustomed to the idea that God is all knowing, yet we as humans have the gift of free will and that makes us responsible for our own actions. It seems to be similar in the tale of Oedipus Rex and in Greek mythology as a whole. The ideas of this story within the bounds of Greek mythology seem to coincideRead More tragoed The Tragic Figure of Oedipus the King (Oedipus Rex)923 Words   |  4 PagesThe Tragic Figure of Oedipus Rex  Ã‚     Ã‚   Sophocles is perhaps one of the greatest tragedians ever. Sophocles said that a man should never consider himself fortunate unless he can look back on his life and remember that life without pain. For Oedipus Rex, looking back is impossible to do without pain. This pain stems from his prideful life. Oedipus is aware that he alone is responsible for his actions. Oedipus freely chooses to pursue and accept his own lifes destruction. Even though fate victimizesRead MoreOedipus Rex, by Sophocles822 Words   |  4 Pagesrelates to Oedipus’s situation from Oedipus Rex by Sophocles. Sophocles‘ Oedipus Rex tells the story of a monarch named Oedipus whowho becomes the unfortunate victim of circumstances beyond his control. In Oedipus Rex, Oedipus‘ downfall is not a result of excessive hubris or his actions, but rather his parents’ disgraceful actions and uncontrollable aspects of fate. Oedipus’ parents actions and decisions are a major element in Oedipus’ tragic downfall. Before Oedipus is born, Laius and Jocasta, theRead More The Role of Teiresias in Sophocles Oedipus Rex Essay1410 Words   |  6 PagesSophoclesOedipus Rex (the King) Teiresias uses his psychic abilities to foreshadow the anguish and destruction that Oedipus will encounter after he learns the truths of his life. Teiresias is also responsible for further developing the theme of blindness by using his own physical blindness to reveal to Oedipus his mental blindness. Lastly, Teiresias is ultimately responsible for imposing dramatic irony because of his great knowledge of the truth of Oedipus. In the play, Oedipus Rex, by SophoclesRead MoreT. S. 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As Jocasta recounts to Oedipus:    An oracle Once came to Laius (I will not say Twas from the Delphic god himself, but from His ministers)

Contemporary Issues in Accounting for Conceptual Framework

Question: Write about theContemporary Issues in Accounting for Conceptual Framework. Answer: Introduction Conceptual accounting framework is developed for making the accounting information more useful by providing standard guidelines and procedures for developing the financial statements. It has been developed by IASB (International Accounting Standards Board) for developing a uniform process of presenting the financial information to the end-users. The framework has helped the IASB in developing standard accounting rules and procedures to improve the quality of financial information disclosed by the entities worldwide. As such, AASB (Australian Accounting Standards Board) is also directing the entities listed on ASX to develop their financial reports as per the principles and characteristics of conceptual accounting framework (Mazhambe, 2014). In this context, the present report is developed for examining the compliance of a selected entity listed on ASX with the framework of conceptual accounting. The business entity selected for this is Casales,Com, an online automotive company of Aus tralia involved in purchasing and selling of cars and motorcycles listed on ASX. General Purpose of Conceptual Framework Met by the Selected Company The main objective of developing financial reports as per the standard framework is to disclose the financial information that facilitates the investors to make decisions whether to invest in the stock of a particular business entity or not. The financial statements should be able to provide an estimate of the future profitability position of an entity through predicting its future net cash flow position. The future growth and development prospects of an entity can also be analyzed through examining the efficiency of the management and the governing board in carrying out their responsibilities (Rezaee, 2003). The annual report analysis of Carsales.Com that company has adequately disclosed all the required financial information for decision-making to end-users in its financial reports. The company has developed and presented its consolidated financial statement as per the AASB standards and the conceptual accounting framework as stated in its notes to financial reports section of the annual report (Van der Meulen, Gaeremynck, and Willekens, 2007). The financial statements have provided the value of all the financial elements such as assets, liabilities and equity and also stated the accounting methods and rules applied for measurement of their value. The financial report has also provided separately the performance of each business segment of the company so that investors can easily gain understanding of its highest performing area (Soderstrom and Sun, 2007). The company has appointed a competent leadership team for carrying out its operational activities as depicted in the annual report. The annual report ahs adequately disclosed the key roles and responsibilities of the leadership team of the company. In addition to this, the key financial performance required by the investors for investment decisions as presented clearly in the directors report of the company. Therefore, it can be said that the company has adequately met the general purpose of conceptual accounting framework for developing financial reports (Carsales Com Ltd: Annual Report, 2017). Usefulness of the Financial Reports as per the Requirements of the Target Audience The target audience is the end-users of the financial reports developed by a reporting entity such as investors, creditors and lenders. They need to analyze the current and past financial information provided by an entity so that they can predict the future growth position on its basis (Tarca, 2004). The financial report of Carsales. Com can be stated to be developed as per the needs and requirements of the end-users. The key financial highlights are presented in the starting of the annual report of the company along with its cumulative annual growth rate. The report is presented in a simplified format having a systematic flow of information so that it can easily understand by the end-users. The company has incorporated the use of accrual accounting practices for reporting the impact of the financial transactions occurred on the economic resources in the period in which it occurred as per the principle of conceptual accounting framework. The use of accrual accounting has helped in as sessing accurately the past and future ability of the company in generating net cash flows (Rezaee, 2003). The impact of the changes in the market conditions on the financial information of the company by reflecting their impact on the market price and interest rates have also been sufficiently explained in its financial report. The consolidated financial statements are prepared in compliance with the standard accounting framework and principles as stated in the auditors report. This ensures that financial information disclosed is free from any material errors and can be used in decision-making process of the end-users (Carsales Com Ltd: Annual Report, 2017). Recognition Criteria The application of the standard framework of conceptual accounting requires companies to clearly state the measurement and recognition criteria used for reporting the value of different elements of the financial statements. The different financial elements are identified and recognized during the process of preparation of financial reports by business companies only when they are expected to provide some future economic benefits as per the standard framework of IASB (Psaros and Trotman, 2004). Carsales. Com has sufficiently explained and stated the identification and recognition criteria used for reporting the values of financial elements. For example, the recognition and measurement criteria used for reporting the revenue is at the fair value for its major business activities such as advertising, goods sale, finance, dividends, RD rebate. The expenses are recognized in the profit and loss and the past services are identified and measured through the use of straight-line basis. It has also classified the investments in major categories of financial assets at fair value, loans, receivables and held-to-maturity investments. The borrowings of the company are also recognized and measured at the fair value that is overall transaction cost incurred. The difference between the proceeds and the redemption amount is reported in the profit and loss over the accounting period through the use of interest method. The income tax expense or revenue for the accounting period is recognized through the use of applicable income tax rate. The cash and cash equivalents are reported and measured at their value of maturity or less when the assets are readily converted to cash (Carsales Com Ltd: Annual Report, 2017). Fundamental Qualitative Characteristics Used by the Company in Financial Reporting The conceptual accounting framework has provided that fundamental qualitative characteristics of financial reporting are relevance and faithful presentation. The financial information for meeting the criteria of relevancy need to have a confirmatory and predictive value in order to make a difference in the decision-making process of the end-users (Maines and Wahlen, 2006). Carsales.com as per these characteristics of framework has provided both confirmatory and predictive value of financial elements in its financial reports. The confirmatory of different elements are stated in the financial statements whereas the accounting estimates and assumption used for measuring the predictive value of the financial elements are also disclosed in the report. For example, the assumptions used by the company for determining the recoverable amount of CGUs and income tax is disclosed in its annul report that can be depicted as follows: The second qualitative characteristics of conceptual accounting framework is faithful presentation that is the information provided in the financial statement by a reporting entity should be free from any error and complete in all respects (McDaniel, Martin and Maines, 2002). The company financial information can be regarded as faithfully presented on the basis of the auditors report. The company has carried out its auditing and the auditors statements have disclosed that its financial information is free from any material error and complete in all respects (Carsales Com Ltd: Annual Report, 2017). Enhancing Qualitative Characteristics Used by the Company in Financial Reporting The financial information should be comparable, verifiable, understandable and timely as per the enhancing characteristics of the financial reporting stated in the conceptual accounting framework. As per the comparability characteristic, the information presented in the financial statements for the current year can be compared with that of the previous year for depicting the percentage increase or decrease in the financial performance (Gerber, Gerber and Van der Merwe, 2014). It can be depicted from the financial statements of the company as follows: The company in accordance with the verifiability characteristic of financial reporting has provided the quantitative information in its financial statements that can be measured and verified. The investor can assess the verifiability of the financial information through the use of ratio analyses with the help of quantitative value stated of different elements in the financial information. The different ratios such as profitability, liquidity, efficiency can be used for verifying whether the information presented is accurate or not (Gore and Zimmerman, 2007). The company reports its financial information on an annual basis ensuring that it is latest and available to the end-users in time. It has also provided all the information in the notes to financial statements section that ensures it is understandable to the end-users (Carsales Com Ltd: Annual Report, 2017). Recommendations It is recommended to the company on the basis of the overall analysis that it should adequately met the fundamental and enhancing qualitative characteristics of financial reporting as provided in the conceptual accounting framework. The company should adequately disclose all the accounting policies and practices used for evaluation of different financial elements in its notes to financial statements section. The accounting policies and practices adopted should be as per the AASB standards and any change in the accounting policies must be disclosed in the financial reports for meeting the qualitative characteristics of financial reporting. Conclusion It can be stated form the overall discussion held in the report that Carsales. Com effectively complies with all the principles of conceptual accounting framework. It has met the varying needs and requirements of the target audience through providing the financial information as per the qualitative characteristics of the standard framework of accounting developed by the IASB. References Carsales Com Ltd. 2017. Annual Report. [Online]. Available at: https://shareholder.carsales.com.au/FormBuilder/_Resource/_module/NwbnH0pKFk-uPGxM7cmTrw/docs/reports/annual/Annual_Report_2017.pdf [Accessed on: 17 April 2018]. Conceptual Framework. 2017. IFRS Foundation. [Online]. Available at: https://www.frascanada.ca/international-financial-reporting-standards/resources/unaccompanied-ifrss/item71833.pdf [Accessed on: 17 April 2018]. Gerber, M. C., Gerber, A. J., and Van der Merwe, A. J. 2014. An Analysis of Fundamental Concepts in the Conceptual Framework Using Ontology Technologies. South African Journal of Economic Management Sciences 17 (4), pp. 396411. Gore, R., and Zimmerman, D. 2007. Building the Foundations of Financial Reporting: The Conceptual Framework. The CPA Journal 77(8), pp. 3034. Maines, L. and Wahlen, J. 2006. The Nature of Accounting Information Reliability: Inferences from Archival and Experimental Research. Accounting Horizons 20(4), pp. 399- 425. Mazhambe, Z. 2014. Review of International Accounting Standards Board (IASB) Proposed New Conceptual Framework.Journal of Modern Accounting and Auditing10 (8), pp. 835-845. McDaniel, L., Martin, R. and Maines, L. 2002. Evaluating Financial Reporting Quality: the Effects of Financial Expertise vs. Financial Literacy. The Accounting Review 77, pp.139-167. Psaros, J. and Trotman, K. 2004. The Impact of the Type of Accounting Standards on Preparers Judgments. Abacus 40(1), pp. 76-93. Rezaee, Z. 2003. High-quality financial reporting: The six-legged stool. Strategic Finance 84(8), pp.26-30. Soderstrom, N. and Sun, K. 2007. IFRS Adoption and Accounting Quality: A Review. European Accounting Review 16(4), pp. 675-702. Tarca, A. 2004. International Convergence of Accounting Practices: Choosing between IAS and US GAAP. Journal of International Financial Management and Accounting 15(1), pp. 60-91. Van der Meulen, S., Gaeremynck, A. and Willekens, M. 2007. Attribute differences between U.S. GAAP and IFRS earnings: An exploratory study. The international Journal of Accounting 42, pp.123-142.

Motivation Towards Achieving Set Targets †Myassignmenthelp.Com

Question: Discuss About The Motivation Towards Achieving Set Targets? Answer: Introducation Teacher feedback has always been part of learning since it provides a teacher-student relationship necessary for better subject understanding and effective learning. However, teachers and students view, and value this feedback from a different perspective and thus, it is vital for both parties to understand and accommodate the diversities that may exist. This paper discusses how both, students and teachers value feedback. Feedback refers to comments regarding the evaluation of an individuals effort on a particular given task. This feedback could be in the form of appreciation of the good work, key points for improvements, advice and weaknesses and strengths evaluation, among others. Feedback is an important link that lies between learning and teaching process. It is always delivered through means such as oral responses, grades, comments that are in written form, grades or notes. Teachers value feedback since they believe that it helps students get an insight of the subjects they are teaching as well as providing guidance on how to improve their learning. Furthermore, feedback provides the basis for assessment of the progress of the learning process through evaluation of the student levels of understanding. Students on the other side, value feedback since it provides encouragement, a platform for academic interaction and a guide towards achieving their success. How Teachers and Students Value Feedback Teachers regard feedback as a tool which can increase engagement as well as performance on tasks (Hattie Timperley, 2007). Feedbacks which are goal-oriented creates focus and motivation towards achieving the set targets. Teachers utilize every opportunity to interact with students through feedbacks, and also, in creating good relationships. Teachers, through feedbacks, can track the individual students performance and progress, and subsequently, offer the necessary personalized support that aids the students in attaining their targets. On the other hand, Spiller (2009) argues that teachers at some point do not value feedback at all. They argue that, in most cases, even after they have given out feedback on error correction, most of the students never improve or correct in their subsequent assignments or tasks. Teachers argue that students only concentrate on the marks they obtain, but they disregard the comments which are crucial in correcting their mistakes and improving their perf ormance. Also, teachers value feedback by creating opportunities for students to disclose their weaknesses or showcase their levels of understanding on particular topics through class discussions (Plank, Dixon Ward, 2014). Tutors pose thoughtful questions which help students in critically analyzing the situations and consequently coming up with solutions. Also, teachers value feedback by conducting regular assessments and providing immediate support after the evaluation (Hattie Timperley, 2007). The lecturer immediately offers definitions of complex terms, provide proper interpretations and explanations of key terms. Tutors demonstrate to their students on the expected responses to provide and how to present. After providing the necessary feedback, teachers follow up on the progress and level of understanding of individual students by providing a follow-up assessment. Students, on the other hand, acknowledge feedback for some reasons which include that argument that, when they give feedback, teachers offer support on areas that cause confusions. Through active feedbacks, teachers can provide clarifications on certain misunderstandings or confusions that always lead to unnecessary failure on their part (Plank, Dixon Ward, 2014). Most of the students get confused by minor issues, such as statements, theories or even formulas which may seem similar or complex to understand and apply in providing solutions. When a tutor steps in, students believe that they get more clarifications that will help them understand the concepts in question. Teachers also, better means and various ways of approaching the solution, this helps students to choose their own suitable approaches which makes learning simple and interesting. Students value immediate feedbacks, such as instant error correction during new topic introduction which increases the rates of content acquisition, making teachers work simple in the subsequent teachings (Hattie Timperley, 2007). Students are always happy when teachers reach out immediately to offer some corrections to the assessments. Spiller (2009), agrees on this, whereby she notes that students complain whenever there are any late corrections. When feedbacks are delayed, it becomes irrelevant to students, such that if similar questions were to be raised, then no improvements would be recorded. Also, the manner in which feedback is administered is crucial to students. According to Hattie (2007), negative feedback is a powerful tool which teachers should carefully use since it can be effective, and at the same time may be detrimental to students. Students prefer that negative feedback is given at a personal level, in this case, a student will be motivated and likely, positive res ults will be observed. Negative feedback on students with low self-efficacy will be probably detrimental since it forms a basis for demotivation and students may become demoralized. Positive feedback, on the other hand, brings motivation to students, which is evident in their desire to achieve more success than what they did previously. To students, feedback acts as a guide and platform to achieving better results (Rowe, 2011). Feedback is a basis of deeper learning which helps the students in understanding the course materials and other concepts in the topics covered in the classroom. Feedback gives them insights on what needs to be done for one to record an improvement from the previous scores. It also evaluates their progress by citing their weaknesses, strengths and also their potentials regarding achievements. Students get proper guidance on how to handle the tasks such as standards or requirements needed to perform well on a particular topic or subject. Also, feedback provides a means of achieving active participation in the process of learning. Students get personal interaction with their lecturers. The mutual participations between students and teachers boosts learning since it creates better understanding through arguments and clarifications from the tutor. Conclusion hrough feedback, students together with their teachers build a mutual relationship which is beneficial to; students since it boost their social and academic development, and teachers as it helps them to plan on how to provide quality learning process. Feedback provides clarifications to students on particular tasks which cause misunderstandings. When providing feedback, teachers should consider giving them on time to enable students to trace their mistakes immediately, also, immediate response boosts understanding of the new knowledge acquired. When feedback delays, students find it irrelevant and shows laxity in revising what has already become stale. Providing lengthy or wordy feedback is not all that is required, but a relevant one is needed for students to receive and digest. Feedback is always a basis of success since it largely dictates the results of students. Quality, appropriate and timely feedback yields good results to students who are evident in the performance of the fut ure assignments and examinations. Therefore, feedback is important to both teachers and students since it complements, boosts and gives direction to teaching and learning process. Teachers can quickly assess the performance and progress of learning process and adjust accordingly. Students, on the other hand, gets an opportunity to obtain clarifications and necessary guidelines to follow to achieve excellence in their studies. References Coe, R., Aloisi, C., Higgins, S., Major, L. E. (2014). What makes great teaching. Review of the underpinning research. Durham University: UK. Hattie, J., Timperley, H. (2007). The power of feedback. Review of educational research, 77(1), 81-112. Plank, C., Dixon, H., Ward, G. (2014). Student Voices about the Role Feedback Plays in the Enhancement of Their Learning. Australian Journal of Teacher Education, 39(9), n9. Spiller, D. (2009). Assessment: Feedback to promote student learning. Manuscript submitted for publication, The University of Waikato, The University of Waikato, Hamilton, New Zealand. Rowe, A. (2011). The personal dimension in teaching: why students value feedback. International Journal of Educational Management, 25(4), 343-360.