Evaluate the role of theory in explaining corporate risk management Essay

Evaluate the role of theory in explaining corporate risk management practice - Essay Example There has been a vivid changes occur in the functions of risk management in corporations. In the past risk management was known as the activities connected with the purchase of insurance. Treasurers also carried out the duty of risk management, but their focus was on prevarication interest rate and foreign exchange risks. With the passage of time, corporations have taken into account other types of risk. On the other hand, corporations started to pay more attention to operational risk and reputation risk. Presently, strategic risks have been added to the categories of risks. The duties of the board in examining risk measures and setting restrictions for these measures are greater than before at many corporations. With the help of hedging, organizations can get rid of their experience to many risks at low cost. For example, a foreign exchange hedging program that makes use of forward contracts has usually very low transaction costs. If the hedging is inexpensive, then there is no good economic explanation for an organization not to hedge economic risks if it faces the risk of cash flow deficits that could force it to give up important projects. Many corporations face risks that they cannot beneficially arrange in the capital markets or other urbanized risk transfer markets. We can better explain it with the help of an example, an organization that discovers a mode to develop its business beneficially cannot hedge economically many of the risks from doing so. The organization recognizes the risks from the development superior than anybody else. If it finds a technique to hedge these risks, its hedging costs will be increased because possible counterparties will want to be compensated for trading with an improved knowledgeable party and for building models to judge the risks they would hedge. Agency theory is one of the most instructive, practical, and

CFD Assignment Coursework Example | Topics and Well Written Essays - 2750 words

CFD Assignment - Coursework Example Please note that the University enforces a penalty of zero percent for work submitted after the published deadline without valid extenuating circumstances (see University student handbook on the portal for details). Intended outcomes – By the end of this coursework, you should be able to: Carry out a CFD simulation using ANSYS Workbench/CFX, demonstrating ability to import geometry, produce a mesh, set up and solve a simulation and effectively post-process results. Evaluate grid-dependency of a solution and demonstrate the process of finding a grid-independent solution. Demonstrate ability to compare CFD results with published experimental data, and critically evaluate results with reference to relevant literature. Recognise capabilities and limitations of a CFD analysis in a particular application. Present results of a CFD analysis clearly and concisely, with appropriate output from CFD-Post. Aim To use ANSYS CFX to simulate the flow around a two-dimensional NACA 642-015 aero foil section at a 5o angle of attack and to assess the accuracy of the simulation. Problem specification It is important to understand the lift and drag characteristics of aerofoil sections when designing devices such as aircraft (wings and tails) or yachts (rudders and keels). Traditionally, foil theory has been used to give performance estimates, along with extensive experimental testing. More recently, CFD has become another possible option when investigating foil performance. In reality, foils exhibit three-dimensional performance, because flow around the tip of the foil affects lift and drag. However, it is useful to determine performance of a two-dimensional foil – that is one that is so long (approaching infinite length) that the effects of flow around the tip are negligible. You are going to use CFD to simulate a 2-d foil, and compare your results to those obtained experimentally in a wind tunnel, detailed in a NACA paper from 1945. Instructions You will not be writin g a formal report for this project. Instead, you will work through this document (using it as a template), adding content and answering questions as instructed. You will then submit the completed document for assessment. Note that answers/images, etc. do not have to fit into the space provided – insert extra space as necessary, but keep answers concise. Carry out the steps as follows: Carry out a basic CFD simulation (named â€Å"Run_1†) of a NACA 642-015 foil noting the following: The foil geometry has been created in SolidWorks for you – the file aerofoil_CW_2011.SLDPRT can be found on the DSGN313 Tulip site under CFD Coursework. The file Aerofoil_Instructions_2011.doc (also on the portal) explains how to modify the geometry parameters using SolidWorks. Note that it is down to you to modify dimensions to set the extents of your domain in all directions, and to set your foil chord and angle of attack – don’t just run with the dimensions given to y ou. Your simulation should be for a 5o angle of attack, and a 24 inch chord length (for comparison against the NACA experimental data). You should run your simulation at a Reynolds number of 6x106. Note that the length scale used in the Reynolds number is the chord length of the airfoil section in the model. Use ‘Water’ as the fluid and assume that the flow is incompressible, steady, isothermal and turbulent. Use the k-? turbulence model. Run_1 should be a coarse, unrefined mesh purely to get your simulation working (you