KARACHI UNIVERSITY HAS DECIDED TO TAKE SUPPLIMENTARY EXAMS OF DEGREE CLASSES

Pakistan include two rookies in Twenty20 squad

Pakistan have included two uncapped players,Mohammad Aamer and Shahzaib Hasan, in the 15-member squad for the ICC World Twenty20 in England in June.

Aamer, the left-arm fast bowler, was included after a very strong showing in his maiden domestic season, taking 56 first-class wickets in ten games for Rawalpindi. The 17-year-old Aamer also took 25 wickets in 15 one-dayers and was initially included in the squad for the Bangladesh tour which was postponed.

He was also a part of the Under-19 World Cup in Malaysia last year but his tournament was cut short by illness. For the greater part of last year, he has been - alongside Mohammad Talha - the most talked-up pace prospect in Pakistan circles, a stamp of approval from fellow leftie Wasim Akram no doubt helping.

Hasan, 19, is a diminutive opening batsman, and he too has enjoyed very healthy returns in his debut first-class season, scoring 607 runs in ten matches for Karachi Blues at the Quaid-e-Azam Trophy. In one-dayers, he has scored 250 runs in seven games at a strike rate of 96.11.

There are few surprises in the squad otherwise. No doubt, Shoaib Akhtar's inclusion, in light of his tired displays against Australia - he didn't once bowl ten overs in the four games he played - will be debated. Rao Iftikhar Anjum, who's been one of Pakistan's leading ODI bowlers over the last two years in the one-dayers: in the last 12 months he has taken 21 wickets in 14 games. However, a wicketless showing in the two matches he played against Australia in the UAE ultimately hindered his case.

Squad: Younis Khan (capt), Salman Butt, Ahmed Shehzad, Shoaib Malik, Misbah-ul-Haq, Shahid Afridi, Kamran Akmal (wk), Fawad Alam, Shoaib Akhtar, Sohail Tanvir, Umar Gul, Mohammad Aamer, Yasir Arafat, Saeed Ajmal, Shahzaib Hasan

Modigliani-Miller theorem

Modigliani-Miller theorem

The Modigliani-Miller theorem (of Franco Modigliani, Merton Miller) forms the basis for modern thinking on capital structure. The basic theorem states that, in the absence of taxes,

bankruptcy costs, and asymmetric information, and in an efficient market, the value of a firm is unaffected by how that firm is financed.It does not matter if the firm's capital is raised by

issuing stock or selling debt. It does not matter what the firm's dividend policy is. Therefore, the Modigliani-Miller theorem is also often called the capital structure irrelevance

principle.

Modigliani was awarded the 1985 Nobel Prize in Economics for this and other contributions.

Miller was awarded the 1990 Nobel Prize in Economics, along with Harry Markowitz and William Sharpe, for their "work in the theory of financial economics," with Miller specifically

cited for "fundamental contributions to the theory of corporate finance."

Historical background

Miller and Modigliani derived the theorem and wrote their pathbreaking article when they were both professo rs at the Graduate School of Industrial Administration (GSIA) of Carnegie

Mellon University. In contrast to most other business schools, GSIA put an emphasis on an academic approach to business ques tions. The story goes that Miller and Modigliani were set to

teach corporate finance for business students despite the fact that they had no prior experience in corpora te finance. When they read the material that existed they found it inconsistent so

they sat down together to try to figure it out. The result of this was the article in the American Economic Review and what has later been known as the MM theorem.

Propositions

The theorem was originally proved under the assumption of no taxes. It is made up of two propositions which can also b e extended to a situation with taxes.

Consider two firms which are identical except for their financial structures. The first (Firm U) is unlevered: that is, it is financed by equity only. The other (Firm L) is levered: it is

financed partly by equity, and partly by debt. The Modigliani-Miller theorem states that the value of the two firms is the same.

Without taxes

Proposition I: where VU is the value of an unlevered firm = price of buying a firm composed only of equity, and VL is the value of a levered firm = price of buying a firm that is

composed of some mix of debt and equity.

To see why this should be true, suppose an investor is considering buying one of the two firms U or L. Inst ead of purchasing the shares of the levered firm L, he could purchase the shares

of firm U and borrow the same amount of money B that firm L does. The eventual returns to either of these i nvestments would be the same. Therefore the price of L must be the same as

the price of U minus the money borrowed B, which is the value of L's debt.

This discussion also clarifies the role of some of the theorem's assumptions. We have implicitly assumed that the investor's cost of borrowing money is the same as that of the firm, which

need not be true in the presence of asymmetric information or in the absence of efficient markets.

Proposition II:

y is the required rate of return on equity, or cost of equity.

c0 is the cost of capital for an all equity firm.

b is the required rate of return on borrowings, or cost of debt.

D / E is the debt-to-equity ratio.

This proposition states that the cost of equity is a linear function of the firm's debt to equity ratio. A higher debt-to-equity ratio

leads to a higher required return on equity, because of the higher risk involved for equity-holders in a co mpany with debt. The formula is derived from the theory of weighted average cost

of capital.

These propositions are true assuming the following assumptions:

no taxes exist,

no transaction costs exist, and

Proposition II with risky debt. As leverage (D/E) increases,

the WACC stays constant.

individuals and corporations borrow at the same rates.

These results might seem irrelevant (after all, none of the conditions are met in the real world), but the theorem is still taught and studied because it tells us something very important. That

is, capital structure

matters precisely because one or more of these assumptions are violated. It tells us where to look for dete rminants of optimal capital structure and how those factors might affect optimal

capital structure.

With taxes

Proposition I:

where

VL is the value of a levered firm.

VU is the value of an unlevered firm.

TCD is the tax rate (TC) x the value of debt (D)

This means that there are advantages for firms to be levered, since corporations can deduct interest paymen ts. Therefore leverage lowers tax payments. Dividend payments are

non-deductible.

Proposition II:

where

rE is the required rate of return on equity, or cost of equity.

r0 is the cost of capital for an all equity firm.

rD is the required rate of return on borrowings, or cost of debt.

D / E is the debt-to-equity ratio.

Tc is the tax rate.

The same relationship as earlier described stating that the cost of equity rises with leverage, because the risk to equity rises, still holds. The formula however has implications for the

difference with the WACC. Their second attempt on capital structure included taxes and identified that as the level of gearing incr eases by replacing equity with cheap debt the level of the

WACC drops and an optimal capital structure does indeed exist at a point where debt is 100%

The following assumptions are made in the propositions with taxes:

corporations are taxed at the rate TC on earnings after interest,

no transaction costs exist, and

individuals and corporations borrow at the same rate

Miller and Modigliani published a number of follow-up papers discussing some of these issues.

The theorem first appeared in: F. Modigliani and M. Miller, "The Cost of Capital, Corporation Finance and t he Theory of Investment," American Economic Review

The Modigliani-Miller theorem, which justifies near limitless financial leverage, has largely boosted economic and financial activities. But it also brought increased complexity, lack of

transparency, higher risk and uncertainty in those activities.

Imran to challenge in SC ban on entry in Karachi

LAHORE: Tehreek-e-Insaf Chief Imran Khan has said that he would go to Supreme Court of Pakistan against ban on his entry in Karachi.

Addressing a press conference here on Sunday, he said: “I would go to Karachi taking road route on May 10.”

It may be mentioned here that earlier on Sunday Imran Khan was prevented by authorities from boarding plane en route to Karachi.

“It is the fourth time that he was barred from entering Karachi on the pretext of law and order situation,” Tehreek-e-Insaf Chief complained.

Tahrik-e-Insaf chief, Imran Khan has decreed, “Muttahida Qaumi Movement (MQM) is not a democratic party albeit it is a mafia.”

Following not getting permission to leave for Karachi, talking to media at Lahore Airport, he said that MQM was a one-man show and it was appeasing Americans by resorting to fascist tactics.

He queried under which law he was stopped from leaving for Karachi and then himself answered that it was Altaf Hussain’s law under which he was stopped. When quizzed as to why was he targeting MQM alone, he jiffy changing his earlier version said that he was stopped on the orders of the federal government. He said that Asif Zardi could see terrorism at other places but he visits London to meet Altaf Hussain despite his being involved in 234 cases. 

He said Karachi was not a ‘jagir’ of any one and his party would soon formulate a strategy on this matter. He asked under which law Altaf Hussain sitting in London was disturbing peace in Karachi and no action was being taken. He said that MQM was trying to stop him from pursuing the case he filed against Altaf Hussain, but he would not give up

JAWED CHOUDRY..ZERO POINT..APRIL 2-12

X-Men Origins: Wolverine

X-Men Origins: Wolverine is a superhero film based on the fictional Marvel Comics character Wolverine, released on May 1, 2009 in the United States. The film is directed by Gavin Hood and stars Hugh Jackman as the title character. It is a prequel to the X-Men film trilogy and is primarily set roughly ten to fifteen years before the film X-Men. The film focuses on the violent past of mutant Wolverine and his time with Team X, before Wolverine's skeleton was bonded with the indestructible metal adamantium. The plot also details his early encounters with ColonelWilliam Stryker (Danny Huston), the Weapon X program and Wolverine's interactions with other mutants including his relationship with his half-brother Sabretooth (Liev Schreiber). The film was mostly shot in Australia and New Zealand.

In 1845 James Howlett sees his father (Peter O'Brien) killed by Victor Creed's father (Aaron Jeffery). In an act of vengeance, James kills the elder Creed using bone claws which protrude from his hands. With his dying breath, Creed tells James that he is also his son. James and Victor then run away. In the following years, adult brothers James (Hugh Jackman) and Victor (Liev Schreiber) are seen fighting together throughout the American Civil War, World War I, World War II, and eventually the Vietnam War. In Vietnam, Victor attacks a superior officer and is sentenced to death, along with his brother, although they survive the firing squad due to their regenerative abilities and are imprisoned.

William Stryker (Danny Huston) then approaches the two mutants and offers them membership in his Team X. The team consists of mutantsFred Dukes (Kevin Durand), John Wraith (will.i.am), Chris Bradley (Dominic Monaghan), as well as expert marksman David "Agent Zero" North(Daniel Henney) and martial artist Wade Wilson (Ryan Reynolds). The brothers join the group, and Stryker sends it to search for the source ofadamantium. After an incident in Nigeria where Stryker orders the team to kill innocent civilians, however, Logan refuses and abandons the team.

Years later, Logan is working as a logger in Canada. He lives with love interest Kayla Silverfox (Lynn Collins). Meanwhile, Victor hunts down and murders Bradley. Stryker locates Logan, and claims that someone is out to kill members of the now-disbanded Team X. Stryker asks Logan for help, but he refuses. Shortly thereafter, Silverfox is murdered by Victor. Logan, seeking revenge, hunts down his half-brother and challenges him, but is easily defeated and left for dead. Stryker again locates Logan, and this time the mutant accepts Stryker's offer.

Revealing that he has found the adamantium source, Stryker has Logan's skeletal system reinforced with the metal. After the procedure, Stryker orders his mind to be erased. Wolverine hears this and flees. Stryker orders Agent Zero to capture him.

A couple find Wolverine taking shelter in their barn. The couple give Wolverine hospitality until the next morning, only to be shot by Agent Zero. Wolverine flees, and eventually destroys the helicopter pursuing him, along with Agent Zero, before heading to Las Vegas. Wolverine locates two former associates, John Wraith and Fred Dukes, seeking to learn the location of Creed and Stryker's new laboratory.

Dukes reveals that a mutant, Remy "Gambit" LeBeau (Taylor Kitsch), had who escaped from the island and would know the location. Wolverine learns that the old team had been tasked with capturing numerous mutants, which was the reason why Wraith had left the group.

Wolverine finds Gambit in a New Orleans bar, but is blown out of the bar after confronting him. He reencounters Victor, who had just killed Wraith. Superior to his brother now, James outmatches him, but before he can kill him, he is attacked again by Gambit. Victor flees in the distraction, and Wolverine is eventually able to convince Gambit to take him to Stryker's island.

Gambit flies and drops off Wolverine at the location, Three Mile Island. There, Wolverine confronts Stryker, where he learns Silverfox is still alive; she had faked her death to lure Wolverine into becoming Weapon X, only because her deal with Stryker was that he would release her captive mutant sister, Emma Frost (Tahyna Tozzi). Wolverine departs, and Victor emerges, and threatens to kill Silverfox. Upon hearing her scream, Wolverine returns and attacks his brother.

Easily defeating Victor, Wolverine realizes he is not like him and again departs, where Silverfox explains everything to him. Wolverine then agrees to help Silverfox find the captive mutants and free them. Angered, Stryker prematurely orders Weapon XI to be activated, to find and kill Wolverine. The weapon has become a Deadpool of mutant powers, which Stryker had gathered from his captives, including Wolverine. Wolverine orders the mutants to flee while he fights Deadpool, during which Silverfox is lethally injured. The others mutants escape in Professor Xaviers (Patrick Stewart) helicopter.

Meanwhile, Wolverine and Victor, working together, are able to defeat Weapon XI. Victor flees the island afterward, and Gambit returns. Wolverine orders Gambit to ensure the prisoners are safe, while he returns to find Silverfox, who had stayed behind. Wolverine is attacked by Stryker with a gun loaded with adamantium bullets, which knock him unconscious and cause amnesia.

Silverfox uses her powers of persuasion to have Stryker walk away, then dies from her injuries. Gambit then returns to give the news to Wolverine that the mutants are safe, but due to the amnesia does not remember anything. Wolverine flees the scene as the ambulances and police arrive.

DASHAVTAR..Review..2.5 Ghantay ka Sar Dard

Kamal Haasan in 10 different roles. 10 different roles mean 10 different stories. 10 different stories mean more than 3 hours of filmed entertainment. Does it sound exciting? Take a guess!

When you buy a ticket of DASHAVTAR [dubbed Hindi version], you also wish you would've taken the writer of this film along, who knows the film inside out, because it's very, very, very, very, very, very, very, very, very, very [10 times!] difficult to decipher what's going on, what this marrrrrrrrrrathon film actually wants to convey. 

The problem [and it's a big problem here!] is, well, Kamal Haasan's 10 roles, which are linked in a chain. The writer has to do justice to each of them, right? But barring the scientist and the ex CIA officer, the remaining parts make zilch impact. 

DASHAVTAR has a screenplay of convenience. Perhaps, the writer's sole intention was to project Kamal Haasan in 10 different roles and prove how versatile an actor he is. Whether the screenplay would make sense or not is not important, actually. 

To cut a really lonnnnnnnnnnng story short, DASHAVTAR is an unbearable experience. Watch 10 different classics of this great actor instead of this 10-in-1 film. 

DASHAVTAR begins in the ancient times and shifts to 2004. A computer chip containing a dangerous biological material goes missing from a lab in America. A scientist, Govind, well aware of the dangers, launches a hunt for the missing material, which takes him to India. 

DASHAVTAR is more of an exercise to prove that Kamal Haasan can carry off 10 different roles. But in an effort to do so, the writing takes a complete backseat. There are so many loopholes in the screenplay, it's unbelievable. Either the writer doesn't know what screen writing is all about or he has decided to take the viewer for granted. 

The only time you want to compliment the writer is, when he comes up with a cure for cancer. A bullet in your chest can throw the tumour out of your body. Bravo! 

Himesh Reshammiya's music is of fast-forward quality. Barring the 'Mukunda' track, the remaining songs are hard on your ear drums. The action scenes are very gimmicky. 

Of the 10 roles, Kamal Haasan appeals only as the ex CIA agent. However, the makeup looks fake for a few characters. Asin is terrible. She irritates after a point. Mallika Sherawat suits her role. She's good. Jaya Pradha is wasted. What did she see in this role? 

On the whole, DASHAVTAR is a poor show all the way. Hugely disappointing!