Professional Documents
Culture Documents
Textbook of Physical Chemistry Practicals
Textbook of Physical Chemistry Practicals
Textbook of Physical Chemistry Practicals
net/publication/330674639
CITATIONS READS
0 14,670
1 author:
Bhavin Dhaduk
RK University
17 PUBLICATIONS 16 CITATIONS
SEE PROFILE
Some of the authors of this publication are also working on these related projects:
Synthesis and ultrasonic study of bilogicallly active bisphenol derivatives View project
All content following this page was uploaded by Bhavin Dhaduk on 28 January 2019.
!" " #$%
"
&'()*
(+
,
*
&'
-"
(
!"#$
%
"
!
&
' &
(
)*!
&
"
"*)+,-!
./
&
&
$01
$
2,)3
45"5
4 2,)6 %
"
!
&
' & (
35()$&(
´7KHRQO\SHUVRQZKRKDVQHYHUPDGHDPLVWDNHWKHSHUVRQ
ZKRKDVQHYHUWULHGDQ\WKLQJQHZLQKLVOLIHWLPHµ
$/%(57(,167(,1
&217(176
&KDSWHU²/DERUDWRU\VDIHW\PHDVXUHV 'DWDKDQGOLQJ««
&KDSWHU²6WDWLVWLFVLQDQDO\VLV«
&KDSWHU²&RQFHQWUDWLRQ&RQFHSW«
&KDSWHU²5HIUDFWRPHWU\«
&KDSWHU²3RODULPHWU\«
&KDSWHU²S+PHWU\««
&KDSWHU²3RWHQWLRPHWU\«
&KDSWHU²&RQGXFWRPHWU\«
&KDSWHU²6SHFWURSKRWRPHWU\«
&KDSWHU²7KHUPRG\QDPLFVDQG&KHPLFDONLQHWLFV«
&KDSWHU²6WHDPGLVWLOODWLRQ«
&KDSWHU²3DUWLDOPRODUYROXPH«
&KDSWHU²9LVFRVLW\«
&KDSWHU²6XUIDFHWHQVLRQ«
5HIHUHQFHV «
&+$37(5²
/$%25$725<6$)(7<0($685(6 '$7$+$1'/,1*6
,1752'8&7,21
7KLVFKDSWHUGHVFULEHVWKHHVVHQWLDOODERUDWRU\VDIHW\LQVWUXFWLRQVIRUWKH
VWXGHQWV %HIRUH VWDUWLQJ WKH H[SHULPHQW FDUHIXOO\ UHDG VDIHW\ PDQXDOV WKDW
GHVFULEHKRZWRXVHFKHPLFDOVDQGSUHFDXWLRQVWREHWDNHZKLOHZRUNLQJLQWKH
ODERUDWRU\7KHVWXGHQWVPXVWIROORZWKHLQVWUXFWLRQVFDUHIXOO\
,16758&7,21672:25.,1/$%25$725<
7RZRUNLQWKHODERUDWRU\VWXGHQWVPXVWIROORZWKHIROORZLQJUXOHV
$ VWXGHQW PXVW KDYH D SUDFWLFDO ERRN UHFRUG ERRN D ODERUDWRU\ FRDW DQG
RWKHUHTXLSPHQWOLNHVFLHQWLILFFDOFXODWRUVJUDSKERRNHWF
$OZD\V OLVWHQ WR WKH LQVWUXFWRU·V LQVWUXFWLRQV FDUHIXOO\ DQG QRWH GRQH WKH
LPSRUWDQWSRLQWVDQGSUHFDXWLRQVWREHIROORZHG
$IWHUWKHLQVWUXFWLRQVFROOHFWWKHDSSDUDWXVIURPWKHODERUDWRU\DVVLVWDQW
0DNH VXUH DERXW FDOLEUDWLRQ RI JODVV DSSDUDWXV DQG HTXLSPHQW DW WKH
ZRUNLQJWHPSHUDWXUH
6WXG\WKHSULQFLSOHVRIWKHH[SHULPHQWVDQGDOVRUHDGWKHUHIHUHQFHPDWHULDOV
IRUIXUWKHULQIRUPDWLRQ
'R\RXUH[SHULPHQWKRQHVWO\ZLWKRXWFDULQJIRUWKHILQDOUHVXOW
3ODQ\RXUZRUNVRWKDWLVILQLVKHGLQDVWLSXODWHGWLPH
5HFRUGWKHREVHUYDWLRQVLQDUHFRUGERRN
%HHFRQRPLFDOZLWKWKHUHDJHQWV2QO\VPDOOTXDQWLWLHVRIWKHUHDJHQWVDUHWR
EHXVHG
+DQGOHWKHJODVVDSSDUDWXVYHU\FDUHIXOO\,QFDVHRIDQ\EUHDNDJHVUHSRUW
LWWR\RXULQVWUXFWRUDWRQFH
'LVSRVHRIDOOZDVWHOLTXLGVLQWKHVLQNDQGDOORZZDWHUWRUXQIRUVRPHWLPH
E\RSHQLQJWKHZDWHUWDS
.HHS\RXUZRUNLQJWDEOHFOHDQ,IDFLGRURWKHUFKHPLFDOVLVVSLOOHGZDVKLW
RIIZLWKZDWHU
3DJH_
&OHDQ \RXU DSSDUDWXV DIWHU WKH H[SHULPHQW DQG UHWXUQ LW WR WKH ODERUDWRU\
DVVLVWDQW
,QFDVHRIDQ\LQMXU\RUDFFLGHQWRUEUHDNDJHVRIWKHDSSDUDWXVUHSRUWLWWR
WKHLQVWUXFWRULPPHGLDWHO\
:DVK\RXUKDQGVZLWKVRDSDIWHUWKHH[SHULPHQW
*(1(5$/*8,'(/,1(6)256$)(7<0($685(6
7R DYRLG XQQHFHVVDU\ ULVN RQ LQMXU\ GXULQJ ODERUDWRU\ ZRUN WKH VWXGHQWV DUH
DGYLVHGWRREVHUYHWKHIROORZLQJSUHFDXWLRQV
(YHU\VWXGHQWVPXVWEHIDPLOLDUZLWKORFDWLRQVDQGXVHIXOQHVVRIWKHYDULRXV
HPHUJHQF\IDFLOLWLHV
$OZD\V ZHDULQJ D SURWHFWLYH JORZV DQG VDIHW\ JODVVHV RU IDFH VKLHOGV ZKHQ
KDQGOLQJGDQJHURXVFKHPLFDO
.HHSILUVWDLGVER[DQGILUHH[WLQJXLVKHUUHDGLO\DYDLODEOHLQWKHODERUDWRU\
1HYHUHDWGULQNRUVPRNHZKLOHZRUNLQJLQWKHODERUDWRU\
1HYHUSLSHWWHDQ\WKLQJE\PRXWK
5HDGODEHOVRIKD]DUGRXVDQGSRLVRQRXVFKHPLFDOVFDUHIXOO\
.HHSDOOWKHERWWOHVFRQWDLQLQJIODPPDEOHSRLVRQRXVDQGFRUURVLYHPDWHULDOV
FORVHG
,IDSLHFHRIHTXLSPHQWIDLOVZKLOHEHLQJXVHGUHSRUWLWLPPHGLDWHO\WR\RXU
ODEDVVLVWDQWRUWXWRU1HYHUWU\WRIL[WKHSUREOHP\RXUVHOIEHFDXVH\RXFRXOG
KDUP\RXUVHOIDQGRWKHUV
,IOHDYLQJDODEXQDWWHQGHGWXUQRIIDOOLJQLWLRQVRXUFHVDQGORFNWKHGRRUV
&OHDQXS\RXUZRUNDUHDDQGZDVKKDQGVEHIRUHOHDYLQJ
),567$,'(0(5*(1&<75($70(17,17+(/$%25$725<
$ FKHPLFDO ODERUDWRU\ HQFRPSDVVHV GLIIHUHQW W\SH RI FKHPLFDOV DSSDUDWXV
DQG HTXLSPHQW $Q\ ODFN RI DWWHQWLRQ RQ WKH SDUW RI WKH VWXGHQWV PD\ FDXVH
DFFLGHQW$FFLGHQWVPD\RFFXUE\FKDQFHDOVR,QFDVHSURPSWDFWLRQVKRXOGEH
WDNHQWRJLYHILUVWDLGWRWKHYLFWLPDQGWKHQVKRXOGKRVSLWDOLVHGLIWKHQHHGEH
3DJH_
7DEOH7KHSUREDEOHDFFLGHQWVDQGWKHLUILUVWDLGHPHUJHQF\WUHDWPHQWV
3DJH_
)LUH
'R QRW UXQ :UDS ZLWK D EODQNHW /LH GRZQ RQ
&ORWKHVFDWFKILUH
WKHIORRUDQGUROO
%HDNHUFRQWDLQLQJLQ
IODPPDEOHOLTXLG &RYHUWKHEHDNHUZLWKGXVWHURUGDPSFORWK
FDWFKHVILUH
'$7$+$1'/,1*
6RPHWLPHVSK\VLFDOTXDQWLWLHVFDQQRWEHGLUHFWO\PHDVXUHGEXWWKH\FDQ
EHFDOFXODWHGIURPWKHPHDVXUHGH[SHULPHQWDOGDWDXQGHUVSHFLILHGH[SHULPHQWDO
FRQGLWLRQV
)ROORZLQJSUHFDXWLRQVDQGLQVWUXFWLRQVVKRXOGEHNHSWLQPLQGZKLOHKDQGOLQJ
WKHGDWD
5HSRUW WKH ILQDO SK\VLFDO TXDQWLWLHV VXFK DV PDVV OHQJWK WLPH
FRQFHQWUDWLRQSUHVVXUHWHPSHUDWXUHHWFZLWKLQWKHOLPLWVRIWKHPHDVXUHG
DFFXUDF\
)LWWKHGDWDZKHQHYHUDPDWKHPDWLFDOUHODWLRQVKLSUDWKHUWKDQDQXPHULFDO
YDOXHLVQHHGHGDQGHVWLPDWHWKHJRRGQHVVRIILWWLQJWKHGDWD
&KHFNWKHUHOLDELOLW\RIWKHPHDVXUHGTXDQWLW\E\HVWLPDWLQJDFFXUDF\DQG
SUHFLVLRQRIWKHPHWKRG
5HSRUWWKHYDOXHDORQJZLWKVWDQGDUGGHYLDWLRQRIWKHPHDVXUHGTXDQWLW\
$572)'5$:,1**5$3+6
)ROORZLQJLQVWUXFWLRQVZLOOEHXVHIXOLQUHSRUWLQJDQGLQWHUSUHWLQJWKHGDWDLQWKH
JUDSKLFDOIRUP
&DSWLRQWKHJUDSKDQGVHOHFWSURSHU;DQG<D[HVVFDOH
/DEHOHDFKD[LVZLWKTXDQWLW\WREHSORWWHGZLWKXQLW
3XWLQGLYLGXDOSRLQWVDQGFLUFOHWKHSRLQWV
)RUDOLQHDUUHODWLRQVKLSGUDZDEHVWVWUDLJKWOLQHZLWK;D[LVVFDOHVWDUWLQJ
IURP
3DJH_
,I ;D[LV VFDOH LV QRW VWDUWLQJ IURP ]HUR WKHQ LQWHUFHSW YDOXH FDQ EH
GHWHUPLQHGWULJRQRPHWULFDOO\
,I SRVVLEOH ILW WKH GDWD DQG HVWDEOLVK OHDVW VTXDUHV HTXDWLRQ IRU WKH
GHWHUPLQDWLRQRIXQNQRZQTXDQWLW\
)RUDQRQOLQHDUUHODWLRQVKLSGUDZDIUHHKDQGVPRRWKFXUYH
([SDQVLRQRIWKHVFDOHVOHDGVWRVFDWWHULQJRIWKHGDWDSRLQWVZKLFKPDNH
GLIILFXOWGUDZLQJDEHVWVWUDLJKWOLQH
7RPLQLPL]HHUURUDOZD\VH[SDQG;D[LVVFDOHDQGUHGXFH<D[LVVFDOH
%$6,&6,81,76
/H 6\VWHP LQWHUQDWLRQDO G·8QLWHV ZDV HVWDEOLVKHG LQ V IRU QHHG RI D
FRPPRQ VWDQGDUG V\VWHP 7KH 6, KDV VHYHQ EDVH XQLW DQG WKH\ DUH OLVWHG LQ
EHORZWDEOH
7DEOH%DVH3K\VLFDO4XDQWLWLHVDQGWKHLU8QLWV
0DVVDQGZHLJKW
$PRXQWRIDPDWWHUSUHVHQWLQDVXEVWDQFHLVFDOOHGDPDVVZKLOHZHLJKW
LVWKHIRUFHXWLOL]HGE\JUDYLW\RQDQREMHFW7KHPDVVRIDVXEVWDQFHLVFRQVWDQW
ZKHUHDVLWVZHLJKWPD\YDU\IURPRQHSODFHWRDQRWKHUSODFH7KH6,XQLWRIPDVV
LV NLORJUDP +RZHYHU LWV IUDFWLRQ JUDP PLOOLJUDP DQG PLFURJUDP DUH XVHG LQ
ODERUDWRULHVGXHWRVPDOOHUDPRXQWRIFKHPLFDOVXVHG
3DJH_
7DEOH&RQYHUW4XDQWLWLHV
4XDQWLW\ &RQYHUW4XDQWLW\
NJ J
J PJ
PJ ȝJ
9ROXPH
9ROXPHKDVWKHXQLWVRIOHQJWK6RWKDWWKH6,XQLWRIYROXPHLVP%XW
LQFKHPLFDOODERUDWRULHVVPDOOHUYROXPHVDUHXVHG6RWKDWVPDOOHUIUDFWLRQRI
YROXPHVFPDQGGPDUHXVHG$FRPPRQXQLWIRUYROXPHLVOLWHU/ZKLFKLV
QRWD6,XQLWEXWXVHGIRUPHDVXUHPHQWRIYROXPHRIOLTXLGV
7DEOH&RQYHUW4XDQWLWLHV
4XDQWLW\ &RQYHUW4XDQWLW\
/ P/
P/ FP
FP GP
GP FP
'HQVLW\
'HQVLW\ RI D VXEVWDQFH LV GHILQHG DV LWV PDVV SHU XQLW YROXPH 7KH
SULQFLSOHRIGHQVLW\ZDVGLVFRYHUHGE\WKH*UHHN6FLHQWLVW$UFKLPHGHV'HQVLW\
RIDQ\VXEVWDQFHVFDQEHFDOFXODWHE\XVLQJEHORZIRUPXOD
7KH6,XQLWVRIWKHGHQVLW\LVNJFPRUJFP
3DJH_
6SHFLILFJUDYLW\
,WLVWKHUDWLRRIWKHGHQVLW\RIDVXEVWDQFHWRWKHGHQVLW\RIDZDWHU6SHFLILF
JUDYLW\ YDULHV ZLWK D WHPSHUDWXUH DQG SUHVVXUH ,W LV D GLPHQVLRQ OHVV XQLW
6SHFLILFJUDYLW\FDQEHPHDVXUHGLQVHYHUDOZD\V%XWS\FQRPHWHULVJHQHUDOO\
XVHIRUODERUDWRU\SXUSRVH6SHFLILFJUDYLW\FDQEHH[SUHVVHGDV
7DEOH6SHFLILFJUDYLW\IRUVRPHFRPPRQPDWHULDOV
6XEVWDQFH 6SHFLILFJUDYLW\
(WKDQRO
3DUDIILQ
:DWHU
6HDZDWHU
$OXPLQXP
,RUQ
&RSSHU
*ROG
7HPSHUDWXUH
,QWKHODERUDWRU\WHPSHUDWXUHLVPHDVXUHGE\DWKHUPRPHWHUZKHUHWKUHH
FRPPRQ VFDOHV DUH XVH & GHJUHH &HOVLXV ) GHJUHH )DKUHQKHLW DQG .
NHOYLQ*HQHUDOO\WKHWKHUPRPHWHUZLWK&HOVLXVVFDOHDUHFDOLEUDWHGIURPWR
3DJH_
ZKHUHWKHVHWZRWHPSHUDWXUHVDUHWKHIUHH]LQJSRLQWDQGWKHERLOLQJSRLQW
RIZDWHUUHVSHFWLYHO\7KH)DKUHQKHLWVFDOHLVUHSUHVHQWHGEHWZHHQWR
7KH WHPSHUDWXUHV RQ WZR VFDOHV DUH UHODWHG WR HDFK RWKHU E\ IROORZLQJ
UHODWLRQVKLS
7KHNHOYLQVFDOHLVUHODWHGWR&HOVLXVVFDOHDVIROORZV
3DJH_
&+$37(5²
67$7,67,&6,1$1$/<6,6
,1752'8&7,21
7KHFKHPLFDODQDO\VLVLVFRQFHUQHGZLWKWKHGHWHFWLRQLGHQWLILFDWLRQDQG
PHDVXUHPHQW RI WKH FKHPLFDO FRPSRVLWLRQ RI XQNQRZQ VXEVWDQFHV XVLQJ
H[LVWLQJ PHWKRGV OLNH FKHPLFDO DQG LQVWUXPHQWDO $V ZH NQRZQ WKDW DQ\
PHDVXUHPHQWOLNHZHLJKWYROXPHS+(0)FRQGXFWLYLW\HWFKDYLQJDOLPLWHG
DFFXUDF\7KHPHDVXUHGUHVXOWVZLOOGLIIHUIURPWKHWUXHYDOXHV7KXVWKHUHLVD
GHJUHH RI XQFHUWDLQW\ RU VRPH HUURU LV DVVRFLDWHG ZLWK HYHU\ PHDVXUHPHQW
7KHIRUHDNQRZOHGJHRIVWDWLVWLFDODQDO\VLVZLOOEHWRHVWDEOLVKWKHXQFHUWDLQW\
DVVRFLDWHGZLWKPHDVXUHPHQWDQGKHOSWRUHGXFHRXWLWGXULQJH[SHULPHQWV
:+$7,6',))(5(1&(%(7:((1$&&85$&<$1'35(&,6,21"
$FFXUDF\ LV GHILQHG DV WKH GHJUHH RI DJUHHPHQW EHWZHHQ WKH PHDVXUHG
YDOXHDQGWUXHYDOXH$QDEVROXWHWUXHYDOXHLVVHOGRPNQRZQ$PRUHUHDOLVWLF
GHILQLWLRQ ZRXOG EH WKH GHJUHH RI DJUHHPHQW EHWZHHQ PHDVXUHG YDOXH DQG DQ
DFFHSWHGWUXHYDOXH:KHQWUXHYDOXHLVQRWNQRZQWKHQWKHDYHUDJHRIWZHQW\RU
PRUH PHDVXUHPHQWV DUH FRQVLGHUHG WR EH DFFHSWHG WUXH YDOXH 3UHFLVLRQ LV
GHILQHGDVWKHGHJUHHRIDJUHHPHQWEHWZHHQUHSOLFDWHPHDVXUHPHQWVRIWKHVDPH
TXDQWLW\ *RRG SUHFLVLRQ GRHV QRW PHDQ JRRG DFFXUDF\ EHFDXVH DFFXUDF\ LVD
FRPSDULVRQEHWZHHQDPHDVXUHGYDOXHDQGDWUXHRUDFFHSWHGWUXHYDOXHZKLOH
SUHFLVLRQ LV D FRPSDULVRQ EHWZHHQ UHSOLFDWH PHDVXUHPHQWV ,Q RUGHU WR JHW
UHOLDEOHUHVXOWVWKHUHSOLFDWHPHDVXUHPHQWVVKRXOGEHFDUULHGRXW:KHQDVHW
RIUHSOLFDWHPHDVXUHPHQWVFDQSHUIRUPHGE\WKHVDPHSHUVRQDWWKHVDPHWLPH
RQWKHVDPHVDPSOHXVLQJVDPHPHWKRGLVFDOOHGDUHSHDWDELOLW\%XWZKHQD
VHW RI UHSOLFDWH PHDVXUHPHQWV RI VDPH PHWKRG FDQ SHUIRUPHG E\ GLIIHUHQW
DQDO\VW GLIIHUHQW ODERUDWRULHV DQG RYHU DQ H[WHQGHG WLPH SHULRG LV FDOOHG
UHSURGXFLELOLW\
3DJH_
7<3(62)(55256
7ZR PDLQ FODVVHV RI HUURUV WKDW DIIHFW WKH DFFXUDF\ RU SUHFLVLRQ RI
PHDVXUHPHQWDUH'HWHUPLQDWHDQG,QGHWHUPLQDWHHUURUV
'(7(50,1$7((55256256<67(0$7,&(55256
7KHZRUGGHWHUPLQDWHLWVHOILPSOLHVWKDWWKHHUURUVDUHGHWHUPLQDEOHDQG
SUHVXPDEO\ FDQ EH HLWKHU DYRLGHG RU FRUUHFWHG 'HWHUPLQDWH HUURUV DUH
QRQUDQGRP HUURUV DQG RFFXUV ZKHQ VRPHWKLQJ LV ZURQJ ZLWK PHDVXUHPHQW
'HWHUPLQDWH HUURUV PD\ DULVH IURP DYRLGDEOH VRXUFH VXFK DV XQFDOLEUDWHG
LQVWUXPHQWV DUH XVHG IRU PHDVXUHPHQWV VDPSOH FRQWDPLQDWLRQ UHDJHQWV
LPSXULWLHV HUURUV LQ FDOFXODWLRQ HWF *HQHUDOO\ GHWHUPLQDWH HUURUV IXUWKHU
FODVVLILHGLQWRWKUHHFDWHJRULHV
,QVWUXPHQWDOHUURUV
7KHVH W\SHV RI HUURUV DULVH GXH WR XQFDOLEUDWHG ZHLJKWV XQFDOLEUDWHG
LQVWUXPHQWV DQG XQFDOLEUDWHG JODVVZDUH DUH XVHG IRU PHDVXUHPHQWV 7KHVH
W\SHV RI HUURUV FDQ EH UHGXFHG RU HOLPLQDWHG E\ FDOLEUDWLRQ DQG SURSHU
PDLQWHQDQFHRIWKHLQVWUXPHQWVDQGJODVVZDUH7KHFDOLEUDWLRQVKRXOGEHGRQH
XQGHUVSHFLILHGFRQGLWLRQVZLWKDUHIHUHQFHVWDQGDUG
2SHUDWLRQDOHUURUV
7KHVH W\SHV RI HUURUV LQFOXGH SHUVRQDO HUURUV DQG FDQ EH UHGXFHG ZLWK
SURSHU WUDLQLQJ DQG H[SHULHQFH 2SHUDWLRQV LQ ZKLFK WKHVH HUURUV PD\ RFFXU
LQFOXGH WUDQVIHU RI VROXWLRQV HIIHUYHVFHQFH DQG EXPSLQJ GXULQJ VDPSOH
GLVVROXWLRQ WUDQVIHU RI ZHLJKHG VXEVWDQFH GXULQJ VROXWLRQ SUHSDUDWLRQ
LQFRPSOHWH GU\LQJ RI WKH VDPSOH HWF $V ZH NQRZ WKDW HUURU LV DQ DGGLWLYH
SURSHUW\DQGLWPXVWEHUHGXFHGE\WDNLQJSURSHUSUHFDXWLRQV3HUVRQDOHUURUV
LQWURGXFHGGXHWRVRPHSK\VLFDOGLVDELOLW\OLNHFRORUEOLQGQHVV2WKHUSHUVRQDO
HUURUVLQFOXGHPDWKHPDWLFDOHUURUVLQFDOFXODWLRQV
3DJH_
(UURUVLQWKHPHWKRG
7KHVH DUH WKH PRVW VHULRXV HUURUV RI WKH DQDO\VW ,QVWUXPHQWDO DQG
RSHUDWLRQDOHUURUVFDQEHPLQLPL]HGRUFRUUHFWHGEXWHUURUVZKLFKDUHLQKHUHQW
ZLWK WKH PHWKRG FDQQRW EH PLQLPL]HG XQOHVV H[SHULPHQWDO FRQGLWLRQV DUH
FKDQJHGHJWKH.MHOGDKO·VPHWKRGLVXVHGIRUWKHGHWHUPLQDWLRQRIQLWURJHQPD\
QRW JLYH FRQVLVWHQW UHVXOWV LQ FHUWDLQ FDVHV OLNH ULQJ QLWURJHQ RI RUJDQLF
FRPSRXQGV7KHGLJHVWLRQRIWKHFRPSRXQGZLWKFRQFHQWUDWHGVXOIXULFDFLGPD\
QRW FRPSOHWHO\ EH FRQYHUWHG ULQJ QLWURJHQ LQWR 1+62 GXH WR KLJK WKHUPDO
VWDELOLW\ RI WKH FRPSRXQG 6RPH RWKHU VRXUFHV RI PHWKRGLF HUURUV LQFOXGH FR
SUHFLSLWDWLRQ RI LPSXULWLHV VLGH UHDFWLRQV VOLJKW VROXELOLW\ RI WKH SUHFLSLWDWHV
LPSXULWLHVSUHVHQWLQUHDJHQWVHWF8VXDOO\FRUUHFWLRQFDQEHGRQHE\UXQQLQJD
EODQNUHDJHQW
,1'(7(50,1$7((55256
7KHLQGHWHUPLQDWHHUURUVDUHRIWHQFDOOHGDFFLGHQWDORUUDQGRPHUURUWKDW
FDQQRWEHGHWHUPLQDEOHRUDYRLGHG7KHVHW\SHVRIHUURUVDUHUHYHDOHGE\VPDOO
GLIIHUHQFHV LQ VXFFHVVLYH PHDVXUHPHQWV PDGH E\ WKH DQDO\VW XQGHU YLUWXDOO\
LGHQWLFDOFRQGLWLRQVDQGWKH\FDQQRWEHSUHGLFWHGRUGHWHUPLQHGHJDQDQDO\VW
UHDGVLQFRUUHFWO\UHDGLQJVLQS+PHWHURUVSHFWURSKRWRPHWHUHWF
6,*1,),&$17),*85(6
7KHQXPEHURIVLJQLILFDQWILJXUHVFDQEHGHILQHGDVWKHQXPEHURIGLJLWV
QHFHVVDU\ WR H[SUHVV WKH UHVXOWV RI D PHDVXUHPHQW FRQVLVWHQW ZLWK WKH
PHDVXUHGSUHFLVLRQ
5XOHVIRUVLJQLILFDQWILJXUHV
$OO QRQ]HUR GLJLWV DUH FRQVLGHUHG DV VLJQLILFDQW ILJXUHV )RU H[DPSOH
KDVILYHVLJQLILFDQWILJXUHVDQG
=HURVDSSHDULQJEHWZHHQWZRQRQ]HURGLJLWVDUHVLJQLILFDQW)RUH[DPSOH
KDVILYHVLJQLILFDQWILJXUHVDQG
/HDGLQJ]HURVDUHQRWVLJQLILFDQW)RUH[DPSOHKDVWZRVLJQLILFDQW
ILJXUHVDQG
3DJH_
7UDLOLQJ]HURVLQDQXPEHUFRQWDLQLQJDGHFLPDOSRLQWDUHVLJQLILFDQW)RU
H[DPSOHKDVILYHVLJQLILFDQWILJXUHVDQG
([DPSOH
/LVW WKH SURSHU QXPEHU RI VLJQLILFDQW ILJXUHV LQ WKH IROORZLQJ QXPEHUV DQG
LQGLFDWHVZKLFK]HURHVDUHVLJQLILFDQW
$QVZHU
WKUHHVLJQLILFDQWILJXUHV
WKUHHVLJQLILFDQWILJXUHV]HURLVVLJQLILFDQW
IRXUVLJQLILFDQWILJXUHVDOO]HURVDUHVLJQLILFDQW
WKUHHVLJQLILFDQWILJXUHVRQO\WKHODVW]HURLVVLJQLILFDQW
5RXQGLQJRII
,IWKHGLJLWIROORZLQJWKHODVWVLJQLILFDQWILJXUHLVJUHDWHUWKDQWKHQXPEHU
LVURXQGXSWRQH[WKLJKHUGLJLW
,I LW LV OHVV WKDQ WKH QXPEHU LV URXQGHG WR WKH SUHVHQW YDOXHV RI WKH
VLJQLILFDQWILJXUHV
)RUH[DPSOH
,IODVWGLJLWLVDWKHQXPEHULVURXQGHGRIIWRWKHQHDUHVWHYHQGLJLW
)RUH[DPSOH
3DJH_
&/&8/$7,216 '(),1,7,216
$EVROXWHHUURU
7KHGLIIHUHQFHEHWZHHQWKHPHDVXUHGYDOXHDQGWKHWUXHYDOXHZLWKUHJDUG
WRVLJQLVNQRZQDVWKHDEVROXWHHUURU,IDJVDPSOHRIPDWHULDOLVDQDO\]HG
WREHJWKHDEVROXWHHUURULV²J$EVROXWHHUURUFDQEHFDOFXODWHGXVLQJ
$EVROXWHHUURU PHDVXUHGYDOXH²WUXHYDOXH
0HDQHUURU
,IWKHPHDVXUHGYDOXHLVWKHDYHUDJHRIVHYHUDOPHDVXUHPHQWVWKHHUURULV
FDOOHG PHDQ HUURU 7KH PHDQ HUURU FDQ EH FDOFXODWHG E\ WDNLQJ WKH DYHUDJH
GLIIHUHQFH ZLWK UHJDUG WR VLJQ RI WKH LQGLYLGXDO WHVW UHVXOWV IURP WUXH YDOXH LV
NQRZQDVPHDQHUURU
5HODWLYHHUURU
5HODWLYHHUURULVH[SUHVVHGDVRIWKHWUXHYDOXH
«
5HODWLYHDFFXUDF\
7KHPHDVXUHGYDOXHRUPHDQYDOXHLVH[SUHVVHGDVDRIWKHWUXHYDOXH
«
([DPSOH
7KHUHVXOWRIDQDO\VLVDUHJFRPSDUHGZLWKWKHDFFHSWHGYDOXHRI
J &DOFXODWHWKHDEVROXWHHUURUUHODWLYHHUURUDQGUHODWLYHDFFXUDF\"
$QVZHU
3DJH_
$EVROXWHHUURU J
0HDQRUDYHUDJH
7KHPHDQRUDYHUDJHLVFDOFXODWHGE\WKHVXPRILQGLYLGXDOPHDVXUHPHQWV
GLYLGHGE\WKHWRWDOQXPEHURILQGLYLGXDOPHDVXUHPHQWV
«
$EVROXWHGHYLDWLRQ
$EVROXWHGHYLDWLRQLVDGLIIHUHQFHRILQGLYLGXDOPHDVXUHPHQWDQGPHDQ
«
0HDQGHYLDWLRQRUDYHUDJHGHYLDWLRQ
0HDQ GHYLDWLRQ LV WKH VXP RI WKH DEVROXWH GHYLDWLRQ RI LQGLYLGXDO
PHDVXUHPHQWGLYLGHGE\WKHQXPEHURIPHDVXUHPHQWV
«
6WDQGDUGGHYLDWLRQ
6WDQGDUGGHYLDWLRQLVGHILQHGDVWKHVTXDUHURRWRIWKHVXPRIWKHVTXDUH
RI PHDQ GHYLDWLRQ RI LQGLYLGXDO PHDVXUHPHQWV GLYLGHG E\ QXPEHU RI
PHDVXUHPHQWV7KHVWDQGDUGGHYLDWLRQRILQILQLWHVHWRIPHDVXUHPHQWVFDQEH
FDOFXODWHGE\
,I1!WKHQ
3DJH_
«
,I1 WR
«
9DULDQFH
9DULDQFHLVWKHVTXDUHRIWKHVWDQGDUGGHYLDWLRQ9RUıRUV
«
5HODWLYHVWDQGDUGGHYLDWLRQRUFRHIILFLHQWRIYDULDQFH
56'LVH[SUHVVHGDVDSHUFHQWDJHRIVWDQGDUGGHYLDWLRQZLWKWKHPHDQ
«
([DPSOH
&DOFXODWH WKH PHDQ DQG VWDQGDUG GHYLDWLRQ RI WKH IROORZLQJ VHW RI DQDO\WLFDO
UHVXOWVDQGJ
$QVZHU
3DJH_
7KH)LQDOUHVXOWIRUWKLVH[DPSOHFDQEHZULWWHQDV
3DJH_
&+$37(5²
&21&(175$7,21&21&(37
,1752'8&7,21
$PDMRULW\RIUHDFWLRQVLQWKHODERUDWRULHVDUHFDUULHGRXWLQVROXWLRQV7KH
DLPLVWKDWWRXQGHUVWDQGDVKRZWKHDPRXQWRIVXEVWDQFHLVH[SUHVVHGZKHQLW
LV SUHVHQW LQ WKH IRUP RI D VROXWLRQ 2QH VKRXOG NQRZ GLIIHUHQW PRGHV RI
H[SUHVVLQJFRQFHQWUDWLRQRIDVWDQGDUGVROXWLRQ
62/87,21
$VROXWLRQLVDKRPRJHQHRXVPL[WXUHRIRQHRUPRUHVROXWHVGLVVROYHGLQ
D VROYHQW 6ROYHQW LV WKH VXEVWDQFH LQ ZKLFK VROXWH GLVVROYHV WR SURGXFH
KRPRJHQHRXV PL[WXUH 6ROXWH LV WKH VXEVWDQFH WKDW GLVVROYHV LQ D VROYHQW WR
SURGXFH KRPRJHQHRXV PL[WXUH 6ROXWLRQ FRQFHQWUDWLRQ LV FRQFHUQ ZLWK WZR
UHODWLYHWHUPV'LOXWHDQGFRQFHQWUDWHG
$VROXWLRQWKDWKDVPRUHDPRXQWRIVROXWHGLVVROYHGLQWKHVROYHQWLVFDOOHG
FRQFHQWUDWHGVROXWLRQ$VROXWLRQWKDWFRQWDLQOHVVDPRXQWRIVROXWHGLVVROYHG
WKDQFRQFHQWUDWHGVROXWLRQFDOOHGGLOXWHGVROXWLRQ
67$1'$5'62/87,21
$VROXWLRQRIH[DFWRUSUHFLVHO\NQRZQFRQFHQWUDWLRQRIVXEVWDQFHLVNQRZQ
DV D VWDQGDUG VROXWLRQ $ VWDQGDUG VROXWLRQ LV SUHSDUHG E\ XVLQJ D VWDQGDUG
VXEVWDQFHVXFKDVDSULPDU\VWDQGDUGWKDWLVH[WUHPHO\SXUHVWDEOHDQGKLJK
PROHFXODU ZHLJKWHG 3ULPDU\ VWDQGDUG VROXWLRQ LV XVHG WR VWDQGDUGL]H WKH
VHFRQGDU\ VWDQGDUGV VROXWLRQ WR ILQG RXW WKH VWUHQJWK RI VHFRQGDU\ VWDQGDUG
VROXWLRQ
7DEOH/LVWRISULPDU\DQGVHFRQGDU\VWDQGDUGV
6U1R 6WDQGDUGV ([DPSOHV
3ULPDU\VWDQGDUG 1D&2.&2.&U21D&2.+3HWF
6HFRQGDU\VWDQGDUG +&O+621D2+.2+.0Q2HWF
3DJH_
&21&(175$7,2181,76
7KHTXDQWLWDWHSURSRUWLRQRIVROXWHDQGVROYHQWVDUHGLIIHUHQWLQGLIIHUHQW
VROXWLRQV 7KH DPRXQW RI VROXWH LQ D XQLW YROXPH RI VROXWLRQ RU XQLW ZHLJKW
VROYHQW LV FDOOHG FRQFHQWUDWLRQV RI VROXWLRQV 7KHUH DUH GLIIHUHQW ZD\V WR
H[SUHVV FRQFHQWUDWLRQ RI VROXWLRQV 0RODULW\ 0 1RUPDOLW\ 1 0RODOLW\ P
)RUPDOLW\)ZZZYYY0ROHIUDFWLRQ;9ROXPHIUDFWLRQijSDUWV
SHUPLOOLRQSSPDQGSDUWVSHUELOOLRQSSEHWF
0RODULW\0
0RODULW\PD\EHGHILQHGDVQXPEHURIPROHVRIDVROXWHGLVVROYHGLQRQH
OLWHURIDVROXWLRQ
«
«
1RUPDOLW\1
1RUPDOLW\PD\EHGHILQHGDVQXPEHURIHTXLYDOHQWVRIDVROXWHGLVVROYHG
LQRQHOLWHURIWKHVROXWLRQ
«
«
0RODOLW\P
3DJH_
0RODOLW\ PD\ EH GHILQHG DV QXPEHU RI PROHV RI D VROXWH GLVVROYHG LQ RQH
NLORJUDPRIDVROYHQW
«
«
)RUPDOLW\)
)RUPDOLW\PD\EHGHILQHGDVQXPEHURIIRUPDOZHLJKWRIDVROXWHGLVVROYHG
LQRQHOLWHURIDVROXWLRQ
«
«
3HUFHQWDJHE\ZHLJKWZZ
7KHZHLJKWRIDVXEVWDQFHLQJUDPGLVVROYHGLQJUDPRIVROXWLRQLVFDOOHG
SHUFHQWDJHE\ZHLJKW
«
0DVVE\YROXPHSHUFHQWDJHZY
7KHZHLJKWRIDVXEVWDQFHLQJUDPGLVVROYHGLQPORIVROXWLRQLVFDOOHG
PDVVE\YROXPHSHUFHQWDJH
«
3DJH_
9ROXPHSHUFHQWDJHYY
7KHYROXPHRIDVROXWLRQPOGLVVROYHGLQPORIVROXWLRQLVFDOOHGYROXPH
SHUFHQWDJH
«
0ROHIUDFWLRQ;
0ROHIUDFWLRQPD\EHGHILQHGDVWKHUDWLRQRIWKHPROHVVROXWHWRWKHWRWDO
PROHVLQDVROXWLRQ
«
«
«
7KH VXP RI WKH WRWDO PROH IUDFWLRQ RI DOO WKH FRPSRQHQWV LQ D VROXWLRQ LV
DOZD\VHTXDOWR
9ROXPHIUDFWLRQij
9ROXPH IUDFWLRQ PD\ EH GHILQHG DV WKH UDWLRQ RI WKH YROXPH VROXWH WR WKH
WRWDOYROXPHRIVROXWLRQ
«
3DJH_
«
«
7KHVXPRIWKHWRWDOYROXPHIUDFWLRQRIDOOWKHFRPSRQHQWVLQDVROXWLRQLV
DOZD\VHTXDOWR
3DUWVSHUPLOOLRQ
)RUYHU\GLOXWHVROXWLRQVWKHFRQFHQWUDWLRQLVH[SUHVVHGLQWHUPVRI SDUWV
SHUPLOOLRQSSP3DUWVSHUPLOOLRQFDQEHH[SUHVVHGE\WKUHHGLIIHUHQWZD\VDV
SDUWVSHUPLOOLRQE\PDVVWRPDVVSDUWVSHUPLOOLRQE\PDVVWRYROXPHDQGSDUWV
SHUPLOOLRQE\YROXPHWRYROXPH7KHDPRXQWRIVROXWHLQPLOOLJUDPGLVVROYHGLQ
RQHOLWHUVROXWLRQLVFDOOHGSDUWVSHUPLOOLRQE\PDVVWRYROXPH
«
2U
«
())(&72)7(03(5$785(21&21&(175$7,2181,76
$VZHNQRZWKDWWKHYROXPHRIVROXWLRQFKDQJHZLWKWKHWHPSHUDWXUH7KH
YDOXHV RI PRODOLW\ PROH IUDFWLRQ SHUFHQWDJH PDVV SDUWV SHU PLOOLRQ E\
PDVVWRPDVVDUHQRWFKDQJHGZLWKWKHFKDQJHLQWHPSHUDWXUHGXHWRLQFOXGH
WKH WHUP YROXPH ZKLFK GHSHQGV RQ WHPSHUDWXUH ZKLOH ZLWK WKH FKDQJH LQ
3DJH_
WHPSHUDWXUH WKH QRUPDOLW\ PRODULW\ SHUFHQWDJH E\ YROXPH WR YROXPH
SHUFHQWDJH E\ PDVV WR YROXPH YDOXHV DUH FKDQJHG EHFDXVH WKHVH XQLWV
LQFOXGHWKHWHUPYROXPHZKLFKGHSHQGVRQWHPSHUDWXUH
&$/&8/$7,212)(48,9$/(17:(,*+72)68%67$1&(6
(TXLYDOHQWZHLJKWRIDVXEVWDQFH LVWKHZHLJKWRILWWKDW UHDFWVZLWKJRI
K\GURJHQRUJRIR[\JHQ
(TXLYDOHQWZHLJKWRIDQDFLG,WLVDUDWLRRIPROHFXODUZHLJKWWRLWVEDVLFLW\
«
%DVLFLW\LVWKHQXPEHURIGLVSODFHPHQWRIK\GURJHQDWRPVSUHVHQWLQDQDFLG
7DEOH(TXLYDOHQWZHLJKWRIVRPHDFLGV
$FLG )RUPXOD %DVLFLW\ (TXLYDOHQWZHLJKW
+\GURFKORULFDFLG +&O
1LWLFDFLG +12
6XOIXULFDFLG +62
$FHWLFDFLG &+&22+
3KRVSKRULFDFLG +32
2[DOLFDFLG +&2
3DJH_
(TXLYDOHQWZHLJKWRIDEDVH,WLVDUDWLRRIPROHFXODUZHLJKWWRLWVDFLGLW\
«
$FLGLW\LVWKHQXPEHURIGLVSODFHPHQWRIK\GUR[\ODWRPVSUHVHQWLQDEDVH
7DEOH(TXLYDOHQWZHLJKWRIVRPHEDVH
$FLG )RUPXOD $FLGLW\ (TXLYDOHQWZHLJKW
6RGLXPK\GUR[LGH 1D2+
3RWDVVLXPK\GUR[LGH .2+
$PPRQLXPK\GUR[LGH 1+2+
0DJQHVLXPK\GUR[LGH 0J2+
&DOFLXPK\GUR[LGH &D2+
«
7DEOH(TXLYDOHQWZHLJKWRIVRPHVDOWV
$FLG )RUPXOD 9DOHQF\ (TXLYDOHQWZHLJKW
6RGLXPFKORULGH 1D2+
6RGLXPFDUERQDWH 1D&2
0DJQHVLXPFKORULGH 0J&O
0DJQHVLXPFDUERQDWH 0J62
&DOFLXPFDUERQDWH &D&2
6LOYHUQLWULWH $J12
&RSSHUVXOSKDWH &X62
3DJH_
(TXLYDOHQWZHLJKWRIDQR[LGL]LQJDJHQW,WLVDUDWLRRIPROHFXODUZHLJKW
WRWKHQXPEHURIHOHFWURQJDLQHG
«
7DEOH(TXLYDOHQWZHLJKWRIVRPHR[LGL]LQJDJHQW
$FLG )RUPXOD (OHFWURQJDLQHG (TXLYDOHQW
ZHLJKW
3RWDVVLXPSHUPDQJDQDWH .0Q2 LQDFLGLFPHGLXP
3RWDVVLXPSHUPDQJDQDWH .0Q2 LQQDWXUDO
3RWDVVLXP'LFKURPDWH .&U2
(TXLYDOHQWZHLJKWRIDUHGXFLQJDJHQW,WLVDUDWLRRIPROHFXODUZHLJKWWR
WKHQXPEHURIHOHFWURQORVW
«
7DEOH(TXLYDOHQWZHLJKWRIVRPHUHGXFLQJDJHQWV
$FLG )RUPXOD (OHFWURQV (TXLYDOHQW
ORVW ZHLJKW
0RKU·VVDOW )H621+62+2
+\SR 1D62
2[DOLFDFLG +&2+2
)HUURXVVXOSKDWH )H62+2
(TXLYDOHQWZHLJKWRIDQHOHPHQWV,WLVDUDWLRRIPROHFXODUZHLJKWWRWKH
YDOHQF\
«
3DJH_
7DEOH(TXLYDOHQWZHLJKWRIVRPHHOHPHQWV
$FLG )RUPXOD 9DOHQF\ (TXLYDOHQWZHLJKW
6RGLXP 1D
0DJQHVLXP 0J
$OXPLQXP $O
6LOYHU $J
)HUURXV )H
)HUULF )H
=LQF =Q
&XSULF &X
3RWDVVLXP .
3DJH_
&+$37(5²
5()5$&720(7(5<
,1752'8&7,21
5HIUDFWRPHWHU LV D WHFKQLTXH XVHG WR PHDVXUH UHIUDFWLYH LQGH[ 5,
5HIUDFWLYHLQGH[GHVFULEHVKRZOLJKWUHIUDFWHGEHQWLVZKHQLWSDVVHVIURPRQH
PHGLXPWRDQRWKHU%DVHGRQ6QHOO·VODZ5HIUDFWLYHLQGH[QLVGHILQHGDVWKH
UDWLRRIYHORFLW\RIOLJKWFLQDYDFXXPWRWKHYHORFLW\RIWKHOLJKWLQWKHPHGLXP
Y
«
ZKHUHLLVWKHDQJOHRILQFLGHQFHDQGULVWKHDQJOHRIUHIUDFWLRQ
5, LV D GLPHQVLRQOHVV SDUDPHWHU ZKLFK UDQJHV EHWZHHQ WR IRU
RUJDQLFOLTXLGV7KHUHIUDFWLYHLQGH[LVPHDVXUHGXVLQJDEHDPRIPRQRFKURPDWLF
OLJKW*HQHUDOO\VRGLXP'OLQHZDYHOHQJWK QPLVXVHG5HIUDFWLYHLQGH[
YDULHVZLWKZDYHOHQJWKDQGWHPSHUDWXUH*HQHUDOO\5,RIDSDUWLFXODUPHGLXP
LQFUHDVHV ZLWK GHFUHDVLQJ ZDYHOHQJWK ,W DOVR GHFUHDVHV ZLWK LQFUHDVLQJ
WHPSHUDWXUH'LIIHUHQWW\SHVRIUHIUDFWRPHWHUVDUHXVHGIRUWKHDQDO\VLVEXWWKH
PRVWFRPPRQUHIUDFWRPHWHUXVHGLQWKHSUDFWLFHLV$EEHUHIUDFWRPHWHU
3DJH_
5,FDQEHXVHGWRLGHQWLI\DQXQNQRZQOLTXLGFRPSRXQG,WFDQEHDOVR
XVHGWRGHWHUPLQHWKHSXULW\ RIOLTXLGFRPSRXQGE\FRPSDULQJLWWROLWHUDWXUH
YDOXHV
63(&,),&$1'02/$55()5$&7,21
7KH VSHFLILF UHIUDFWLRQ U LV H[SUHVVHG E\ IROORZLQJ HTXDWLRQ DQG LW LV
LQGHSHQGHQWRIWHPSHUDWXUH
«
0RODU UHIUDFWLRQ >5@ LV WKH SURGXFW RI VSHFLILF UHIUDFWLRQ DQG PROHFXODU
ZHLJKW0RIWKHVXEVWDQFH
«
0RODUUHIUDFWLRQLVDQDGGLWLYHDQGFRQVWLWXWLRQDOSURSHUW\ZKLFKGHSHQGV
RQ ZDYHOHQJWK ,W UHPDLQV QHDUO\ FRQVWDQW ZLWK FKDQJHV RI WHPSHUDWXUH DQG
SUHVVXUHE\YLUWXHRIWKHGHQVLW\IDFWRUZKLFKLVDIXQFWLRQRIWHPSHUDWXUHDQG
SUHVVXUHDQGWKXVRIIVHWVWKHVHHIIHFWV0RODUUHIUDFWLRQLVRIWHQXVHGWRFRQILUP
WKH LGHQWLW\ DQG SXULW\ RI WKH FRPSRXQGV ,W LV DOVR XVHG WR PHDVXUH WKH
LQWHUPROHFXODUIRUFHV
02/$55()5$&7,212)0,;785(6
0HWKRG)RUDKRPRJHQHRXVPL[WXUHVRIFRPSRQHQWDQGFRPSRQHQWWKH
PRODUUHIUDFWLRQ>5@FDQEHGHILQHGE\HTXDWLRQ
«
3DJH_
:KHUH ; DQG ; DUH PROH IUDFWLRQV RI FRPSRQHQWO DQG FRPSRQHQW
UHVSHFWLYHO\DQG0DQG0DUHWKHLUPROHFXODUZHLJKWV
0HWKRG0RODUUHIUDFWLRQFDQEHDOVRGHWHUPLQHGIURPWKHNQRZOHGJHRIPRODU
UHIUDFWLRQV RI SXUH FRPSRQHQWV DQG PROH IUDFWLRQV RI PL[WXUHV DFFRUGLQJ WR
HTXDWLRQ
«
:KHUH5DQG5DUHPRODUUHIUDFWLRQDQG;DQG;DUHPROHIUDFWLRQVRI
SXUHFRPSRQHQWDQGFRPSRQHQW
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHVSHFLILFDQGPRODUUHIUDFWLRQRISXUHOLTXLGV$%&DQG'
5HTXLUHPHQWV
$SSDUDWXV5HIUDFWRPHWHUZHLJKWER[GURSSHUJUDYLW\ERWWOHHWF
&KHPLFDOV 7ROXHQH FDUERQ WHWUDFKORULGH FKORURIRUP PHWKDQRO DFHWRQH
GLVWLOOHGZDWHUHWF
3URFHGXUH
3ODFHWKH UHIUDFWRPHWHURQDWDEOHQHDUWRZLQGRZ2SHQWKHSULVPER[
DQGFOHDQWKHSULVPIDFHVZLWKFRWWRQDQGDOFRKRODQGDOORZLWWRGU\&ORVHWKH
SULVPER[DQGSODFHDIHZGURSVRIGLVWLOOHGZDWHUWKURXJKWKHVPDOOKROHRQD
SULVPER[ZLWKWKHKHOSRIDGURSSHU)RFXVWKHFURVVZLUHRIWKHWHOHVFRSHE\
URWDWLQJWKHH\HSLHFHDQGDGMXVWWKHPLUURUWRUHIOHFWPD[LPXPOLJKWLQWRWKH
SULVP 5RWDWH WKH LQGH[ DUP IRUZDUG DQG EDFNZDUG WLOO D FOHDU OLJKW DQG GDUN
VKDUS ERXQGDU\ OLQH FRLQFLGHV ZLWK WKH LQWHUVHFWLRQ RI WKH FURVV ZLUH LQ WKH
WHOHVFRSH
5HDG WKH UHIUDFWLYH LQGH[ DQG FRPSDUH ZLWK WKH VWDQGDUG YDOXH DW WKH
ZRUNLQJ WHPSHUDWXUH ,I WKH PHDVXUHG YDOXH LV QRW PDWFKLQJ ZLWK WKH WDEXODU
YDOXH WKHQ JLYH DSSURSULDWH FRUUHFWLRQ WR WKH PHDVXUHG YDOXH RI WKH OLTXLGV
0HDVXUHWKHGHQVLW\RIHDFKOLTXLGE\XVXDOPHWKRG&DOFXODWHVSHFLILFDQGPRODU
UHIUDFWLRQVRIJLYHQOLTXLGVDFFRUGLQJWRJLYHQHTXDWLRQV
2EVHUYDWLRQV
7HPSHUDWXUH ««&
&RUUHFWLRQIDFWRUD ««
3DJH_
2EVHUYDWLRQV7DEOH
%
&
'
:DWHU
&DOFXODWLRQ
6SHFLILF'HQVLW\RIJLYHQVROXWLRQV
:HLJKWRIHPSW\JUDYLW\ERWWOHZ «««««««J
:HLJKWRIJUDYLW\ERWWOH+2Z «««««««J
:HLJKWRI+2: ZZ ««««««J
:HLJKWRIJUDYLW\ERWWOHOLTXLG$Z «««««««J
:HLJKWRIJUDYLW\ERWWOHOLTXLG%Z ««««««J
:HLJKWRIJUDYLW\ERWWOHOLTXLG%Z ««««««J
:HLJKWRIJUDYLW\ERWWOHOLTXLG&Z ««««««J
:HLJKWRIJUDYLW\ERWWOHOLTXLG'Z ««««««J
:HLJKWRIOLTXLG$ ZZ ««««««J
:HLJKWRIOLTXLG% ZZ ««««««J
:HLJKWRIOLTXLG& ZZ ««««««J
:HLJKWRIOLTXLG' ZZ ««««««J
3DJH_
6SHFLILFUHIUDFWLRQU͗
0RODUUHIUDFWLRQ5͗
5HVXOW
7KHPRODUUHIUDFWLRQVRIJLYHQOLTXLGVDUH
/LTXLG ««««««««
/LTXLG ««««««««
/LTXLG ««««««««
/LTXLG ««««««««
3DJH_
(;3(5,0(17
$LP )LQG RXW WKH UHIUDFWLYH LQGH[ VSHFLILF DQG PRODU UHIUDFWLRQ RI JLYHQ
VROXWLRQVDQGDOVRWRGHWHUPLQHRIXQNQRZQVROXWLRQ
5HTXLUHPHQWV
$SSDUDWXV5HIUDFWRPHWHUZHLJKWER[GURSSHUEXUHWWHSLSHWWHPHDVXULQJ
IODVNVJUDYLW\ERWWOHHWF
&KHPLFDOV*O\FHULQWROXHQHDFHWRQHGLVWLOOHGZDWHUHWF
3URFHGXUH
3UHSDUH D VHULHV RI DTXHRXV VROXWLRQ RI JLYHQ OLTXLGV 0HDVXUH WKH
UHIUDFWLYHLQGH[HVRIHDFKDTXHRXVVROXWLRQV&DOFXODWHGHQVLWLHVVSHFLILFDQG
PRODUUHIUDFWLRQDFFRUGLQJWRJLYHQHTXDWLRQV3ORWUYV&RQFDQGGHWHUPLQHWKH
RIWKHXQNQRZQVROXWLRQ
2EVHUYDWLRQV
7HPSHUDWXUH ««&
&RUUHFWLRQIDFWRUD ««
2EVHUYDWLRQ7DEOH
8QNQRZQ
:DWHU
3DJH_
&DOFXODWLRQ
7KHGHQVLW\VSHFLILFDQGPRODUUHIUDFWLRQFDQEHFDOFXODWHGXVLQJJLYHQ
HTXDWLRQVLQH[SHULPHQW
*UDSK'UDZWKHUYV&RQF
U
&RQF
5HVXOW
7KHRIWKHJLYHQXQNQRZQVROXWLRQLV«««
3DJH_
(;3(5,0(17
$LP7RVWXG\WKHYDULDWLRQRIUHIUDFWLYHLQGH[ZLWKFRPSRVLWLRQRIJLYHQOLTXLGV
DQGDOVRWRGHWHUPLQHWKHFRPSRVLWLRQRIXQNQRZQPL[WXUH
5HTXLUHPHQWV
$SSDUDWXV5HIUDFWRPHWHUZHLJKWER[GURSSHUEXUHWWHSLSHWWHPHDVXULQJ
IODVNVJUDYLW\ERWWOHHWF
&KHPLFDOV (WK\O DFHWDWH FDUERQ WHWUDFKORULGH FKORURIRUP EHQ]HQH
WROXHQHDFHWRQHGLVWLOOHGZDWHUHWF
3URFHGXUH
3UHSDUH D VHULHV RI ELQDU\ PL[WXUHV RI JLYHQ OLTXLGV DV VKRZQ LQ 7DEOH
0HDVXUHWKHUHIUDFWLYHLQGH[HVDQGGHQVLWLHVRISXUHOLTXLGVDQGELQDU\PL[WXUHV
&DOFXODWHPRODUUHIUDFWLRQDFFRUGLQJWRHTXDWLRQ3ORWQYV;DQGGHWHUPLQH
WKHFRPSRVLWLRQRIWKHXQNQRZQPL[WXUH
2EVHUYDWLRQV
7HPSHUDWXUH ««&
&RUUHFWLRQIDFWRUD ««
2EVHUYDWLRQ7DEOH
3DJH_
&DOFXODWLRQV
'HQVLW\RIJLYHQVROXWLRQV
0ROHIUDFWLRQVRIOLTXLG OLTXLG
0RODUUHIUDFWLRQ>U@RIJLYHQPL[WXUHV
*UDSK'UDZWKHQYV;
Q
;
3DJH_
)RUXQNQRZQPL[WXUH
5HVXOW
7KHFRPSRVLWLRQRIWKHJLYHQXQNQRZQPL[WXUH9 «««PO
9 «««PO
3DJH_
/LNHUHIUDFWLYHLQGH[RSWLFDODFWLYLW\RIRUJDQLFFRPSRXQGVKDYLQJDJUHDW
LPSRUWDQFH WR IXUQLVK YDOXDEOH LQIRUPDWLRQ DERXW PROHFXODU VWUXFWXUH SXULW\
DQGFRPSRVLWLRQVRIPL[WXUHV3RODULPHWU\LVZLGHO\XVHIXOIRUWKHTXDQWLWDWLYH
DQDO\VLVLQSKDUPDFHXWLFDODQGVXJDULQGXVWULHV
63(&,),&$1'02/$5527$7,21
,WKDVEHHQIRXQGWKDWWKHDELOLW\RIDSDUWLFXODUFRPSRXQGWRURWDWHSODQH
RISRODUL]HGOLJKWGHSHQGVXSRQWKHOHQJWKRIREVHUYDWLRQWXEH ZDYHOHQJWKRI
OLJKWXVHGWHPSHUDWXUHFRQFHQWUDWLRQDQGQDWXUHRIWKHVROYHQW 7KHURWDWRU\
SRZHURIDJLYHQVROXWLRQLVJHQHUDOO\H[SUHVVHGDVVSHFLILFURWDWLRQ>ǂ@´,WLVD
QXPEHURIGHJUHHRIURWDWLRQRISODQHSRODUL]HGOLJKWSURGXFHGE\RQHGHFLPHWHULQ
OHQJWKILOOHGZLWKDVROXWLRQKDYLQJDRQHJUDPRIVXEVWDQFHSHUPO´7KHVSHFLILF
URWDWLRQFDQEHFDOFXODWHGE\IROORZLQJHTXDWLRQ
«
:KHUHǂ 2EVHUYHGDQJOHRIURWDWLRQ
ᅑ ZDYHOHQJWKRILQFLGHQWOLJKWVRGLXP' QP
O OHQJWKRIWXEHLQGHFLPHWHUGP FP
& &RQFHQWUDWLRQRIFRPSRXQGLQJPO
«
:KHUH.LVDFRQVWDQWDQG>ǂ@LVWKHLQWULQVLFRUOLPLWLQJVSHFLILFURWDWLRQ
7KHLQWULQVLFURWDWLRQFDQEHREWDLQHGE\H[WUDSRODWLQJWKHSORWRI >ǂ@YV&WR
]HURFRQFHQWUDWLRQ
3DJH_
0RODUURWDWLRQ>0@LVPRUHFRQYHQLHQWIRUFRPSDULVRQSXUSRVHV´,WLVWKH
SURGXFW RI VSHFLILF URWDWLRQ DQG PROHFXODU ZHLJKW RI WKH FRPSRXQGµ 7KH PRODU
URWDWLRQFDQEHFDOFXODWHGE\IROORZLQJHTXDWLRQ
«
:KHUH0 0ROHFXODUZHLJKWRIFRPSRXQG
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHFRQFHQWUDWLRQRIDQXQNQRZQVROXWLRQRIRSWLFDOO\DFWLYH
FRPSRXQG
5HTXLUHPHQWV
$SSDUDWXV3RODULPHWHUPHDVXULQJIODVNVEXUHWWHSLSHWWHHWF
&KHPLFDOV'LVWLOOHGZDWHUFDQHVXJDU'JOXFRVHHWF
3URFHGXUH
3UHSDUHDVROXWLRQRIJLYHQFRPSRXQGLQGLVWLOOHGZDWHU3UHSDUHD
VHULHV RI GLIIHUHQW FRQFHQWUDWLRQ WR IURP WKH VWRFN VROXWLRQ
'HWHUPLQH]HURUHDGLQJRIWKHSRODULPHWHUE\ILOOLQJWKHWXEHZLWKGLVWLOOHGZDWHU
7KHQGHWHUPLQHDQJOHRIURWDWLRQIRUHDFKVROXWLRQDQGXQNQRZQVROXWLRQDWOHDVW
WKUHHWLPHVDQGUHFRUGWKHLUDYHUDJHYDOXHV3ORWREVHUYHGDQJOHRIURWDWLRQ>ǂ@
DJDLQVW & DQG GHWHUPLQH WKH FRQFHQWUDWLRQ RI XQNQRZQ VROXWLRQ IURP WKH
FDOLEUDWLRQFXUYH
2EVHUYDWLRQV
7HPSHUDWXUHRIH[SHULPHQW7 «««&
:DYHOHQJWKRIWKHOLJKWᅑ «««QP
=HURUHDGLQJIRUZDWHU ««««
2EVHUYDWLRQWDEOH
&RQFHQWUDWLRQ 2EVHUYHGDQJOHRIURWDWLRQǂ
, ,, ,,, ,9 $YHUDJH
3DJH_
8QNQRZQ
&DOFXODWLRQ
*UDSK
ǂ
&RQF
5HVXOW
7KHFRQFHQWUDWLRQRIXQNQRZQVROXWLRQ
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHVSHFLILFDQGPROHFXODUURWDWLRQRIJLYHQFRPSRXQGDQG
ILQGRXWLQWULQVLFURWDWLRQ
5HTXLUHPHQWV
$SSDUDWXV3RODULPHWHUPHDVXULQJIODVNVEXUHWWHSLSHWWHHWF
&KHPLFDOV'LVWLOOHGZDWHUFDQHVXJDU'JOXFRVHHWF
3URFHGXUH
3UHSDUHDVROXWLRQRIJLYHQFRPSRXQGLQGLVWLOOHGZDWHU3UHSDUHD
VHULHV RI GLIIHUHQW FRQFHQWUDWLRQ WR IURP WKH VWRFN VROXWLRQ
'HWHUPLQH]HURUHDGLQJRIWKHSRODULPHWHUE\ILOOLQJWKHWXEHZLWKGLVWLOOHGZDWHU
7KHQGHWHUPLQHDQJOHRIURWDWLRQIRUHDFKVROXWLRQDWOHDVWWKUHHWLPHVDQGUHFRUG
WKHLUDYHUDJHYDOXHV&DOFXODWHVSHFLILFDQGPRODUURWDWLRQVDFFRUGLQJWR JLYHQ
HTXDWLRQV3ORWVSHFLILFURWDWLRQ>ǂ@DJDLQVW&DQGH[WUDSRODWHWR]HUR'HWHUPLQH
WKHLQWHUFHSWZKLFKLVHTXDOWRLQWULQVLFURWDWLRQ>ǂ@
2EVHUYDWLRQV
7HPSHUDWXUHRIH[SHULPHQW7 «««&
:DYHOHQJWKRIWKHOLJKWᅑ «««1P
=HURUHDGLQJIRUZDWHU ««««
2EVHUYDWLRQWDEOH
3DJH_
&DOFXODWLRQ
6SHFLILFURWDWLRQ>ǂ@
0RODUURWDWLRQ>0@
*UDSK
>ǂ@
>ǂ@
&RQF
5HVXOW
7KHLQWULQVLFURWDWLRQRIJLYHQFRPSRXQG
7KHPRODUURWDWLRQRIJLYHQFRPSRXQG
3DJH_
ோ ିோ
7KH UDWH FRQVWDQW N FDQ EH GHWHUPLQHG JUDSKLFDOO\ E\ SORWWLQJ ORJ ோିோ ಮ
ಮ
DJDLQVWW
3URFHGXUH
3UHSDUHDRIVXJDUVROXWLRQ(TXLOLEUDWHWKHVXJDUDQGDFLGVROXWLRQV
DW ZRUNLQJ WHPSHUDWXUH 6HW XS WKH SRODULPHWHU DQG SXW WKH WXEH FRQWDLQLQJ
GLVWLOOHG ZDWHU DQG DOORZ LW WR HTXLOLEUDWH IRU IHZ PLQXWHV 'HWHUPLQH WKH ]HUR
UHDGLQJ1RZWDNHPORIVXJDUVROXWLRQLQDVWRSSHUHGFRQLFDOIODVNDGGPO
1+&OVROXWLRQDQGPL[LWZHOO6WDUWWKHVWRSZDWFK)LOOWKHREVHUYDWLRQWXEH
ZLWKVROXWLRQDQGSODFHLWLQWKHSRODULPHWHUDQGGHWHUPLQHWKHDQJOHRIURWDWLRQ
5WDWWKHLQWHUYDORIILYHPLQXWHV'HWHUPLQHWKHDQJOHRIURWDWLRQDIWHUKRU
KHDWWKHVROXWLRQDWR&IRUKDQGWKHQGHWHUPLQHWKHDQJOHRIURWDWLRQ5)
6LPLODUO\ GHWHUPLQH WKH DQJOH RI URWDWLRQ 5R IRU ]HUR WLPH E\ PL[LQJ HTXDO
ோ ିோ
YROXPHV RI VXJDU VROXWLRQ DQG GLVWLOOHG ZDWHU 3ORW ORJ ோିோ ಮ DJDLQVW W DQG
ಮ
GHWHUPLQHWKHYDOXHRINIURPWKHVORSH
2EVHUYDWLRQV
7HPSHUDWXUHRIWKHH[SHULPHQW ««««&
5 ««««
5 ««««
2EVHUYDWLRQ7DEOH
5HVXOW
7KHUDWHFRQVWDQWIRUWKHLQYHUVLRQRIFDQHVXJDUN PLQ
3DJH_
&+$37(5²
S+0(75<
,1752'8&7,21
7KH FRQFHSW RI S+ ZDV LQWURGXFHG E\ 6RUHQVHQ D 'DQLVK
%LRFKHPLVW +\GURQLXP LRQ FRQFHQWUDWLRQ LQ PRODULW\ LV PRUH FRQYHQLHQWO\
H[SUHVVHGRQDORJDULWKPLFVFDOHNQRZQDVWKHS+VFDOH7KHS+VFDOHLVDVHULHV
RIQXPEHUVZKLFKH[SUHVVWKHGHJUHHRIDFLGLW\RUDONDOLQLW\RIWKHVROXWLRQ7KH
S+ RI D VROXWLRQ LV GHILQHG DV WKH QHJDWLYH ORJDULWKP RI WKH
DFWLYLW\RIWKHK\GURJHQLRQD+
««
««
7KHPLQLPXPYDOXHRIS+LV]HURZKHQD+ DQGPD[LPXPYDOXHLV
ZKHQD+ 7KHS+UDQJHEHWZHHQDQGLQGLFDWHVDFLGLFQDWXUHRIWKH
VROXWLRQZKLOHEHWZHHQDQGLQGLFDWHVDONDOLQHQDWXUHRIWKHVROXWLRQS+LV
HTXDOWRLQGLFDWHVQHXWUDOVROXWLRQ
7DEOHS+UDQJHIRUVROXWLRQ
1HXWUDO S+!
3DJH_
7KHRU\ :KHQ DQ DFLG LV WLWUDWHG DJDLQVW EDVH WKH FRQFHQWUDWLRQ RI + LRQV
GHFUHDVHV 7KHUHIRUH DFLGEDVH WLWUDWLRQV FDQ EH VWXGLHG S+ PHWULFDOO\ XVLQJ
JODVV HOHFWURGH DV LQGLFDWRU HOHFWURGH 6DWXUDWHG FDORPHO HOHFWURGH 6&( LV
QRUPDOO\XVHGDVUHIHUHQFHHOHFWURGH7KHUHLVDVKDUSFKDQJHLQS+RIVROXWLRQ
QHDUWKHHTXLYDOHQFHSRLQW7RVWXG\WKHWLWUDWLRQWKHVROXWLRQWREHWLWUDWHGLV
WDNHQLQDEHDNHUDQGWKHLQGLFDWRUHOHFWURGHLVGLSSHGLQLW,WLVWKHQFRXSOHG
ZLWKUHIHUHQFHHOHFWURGH7KHS+RIHOHFWURGHLVPHDVXUHG7KHWLWUDQWVROXWLRQLV
DGGHG LQ VPDOO ORWV $IWHU HDFK DGGLWLRQ WKH VROXWLRQ LV VWLUUHG DQG S+ LV
PHDVXUHG ,QLWLDOO\ WKH FKDQJH LV JUDGXDO WKHQ QHDU HTXLYDOHQFH SRLQW WKH
FKDQJHEHFRPHVKDUSDQGDIWHUWKHHTXLYDOHQFHSRLQWWKHFKDQJHDJDLQEHFRPHV
JUDGXDO$JUDSKS+YVYROXPHRIWLWUDQWLVSORWWHGVKRZLQEHORZILJXUH
7KH HTXLYDOHQFH SRLQW LV WKH SRLQW RI LQIOH[LRQ RI WKH FXUYH :KHQ WKH
FKDQJH LV VKDUS WKHQ YROXPH FRUUHVSRQGLQJ WR LQIOH[LRQ SRLQW LV HDV\ WR
GHWHUPLQHEXWWKHFKDQJHLVQRWVKDUSWKHQDJUDSKRIƦS+Ʀ9YVYROXPHRI
WLWUDQWLVSORWWHG7KHPD[LPDRIWKHFXUYHFRUUHVSRQGWRWKHHTXLYDOHQFHSRLQW
VKRZLQILJXUH
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHFRQFHQWUDWLRQRIWKHJLYHQDFLG
5HTXLUHPHQWV
$SSDUDWXVS+PHWHUJODVVDQGFDORPHOHOHFWURGHVEXUHWWHEHDNHUVZDVK
ERWWOHHWF
&KHPLFDOV 1 +&O 1 1D2+ EXIIHUV RI S+ DQG GLVWLOOHG
ZDWHUHWF
3URFHGXUH
6WDQGDUGL]HS+PHWHUXVLQJNQRZQEXIIHUVROXWLRQV7DNHPORI[1+&O
VROXWLRQLQWRDPOEHDNHU7LWUDWHWKHVROXWLRQZLWK1D2+VROXWLRQDQG
PHDVXUH S+ DW HDFK VWDJH RI DGGLWLRQ 7KH DGGLWLRQ RI WKH WLWUDQW VKRXOG EH
FDUULHG RXW DW WKH UDWH RI PO 3ORW S+ DJDLQVW 9 DQG Ʀ S+Ʀ9 DJDLQVW 9
'HWHUPLQHWKHHTXLYDOHQWSRLQWE\H[WUDSRODWLQJWZROLQHUEUDQFKHVDQGFDOFXODWH
FRQFHQWUDWLRQRIDJLYHQDFLG
2EVHUYDWLRQ7DEOH
6U 11D2+9PO S+ ƦS+ Ʀ9PO ƦS+Ʀ9
3DJH_
*UDSK3ORWS+DJDLQVW9DQGƦS+Ʀ9DJDLQVW9
&DOFXODWLRQ
1RUPDOLW\RIK\GURFKORULFDFLGVROXWLRQIURPJUDSKD
1RUPDOLW\RIK\GURFKORULFDFLGVROXWLRQIURPJUDSKE
5HVXOW
&RQFHQWUDWLRQRIJLYHQK\GURFKORULFDFLGVROXWLRQIURPJUDSKD 1
&RQFHQWUDWLRQRIJLYHQK\GURFKORULFDFLGVROXWLRQIURPJUDSKE 1
3DJH_
(;3(5,0(17
$LP 7R GHWHUPLQH WKH FRQFHQWUDWLRQ DQG GLVVRFLDWLRQ FRQVWDQW RI JLYHQ ZHDN
DFLGVROXWLRQ
5HTXLUHPHQWV
$SSDUDWXVS+PHWHUJODVVDQGFDORPHOHOHFWURGHVEXUHWWHEHDNHUVZDVK
ERWWOHHWF
&KHPLFDOV 6DW EHQ]RLF DFLG 1 DFHWLF DFLGODFWLF DFLG 1 1D2+
EXIIHUVRIS+DQGGLVWLOOHGZDWHUHWF
3URFHGXUH
7DNHPOZHDNDFLGVROXWLRQLQWRD POEHDNHU 7LWUDWHLWZLWK
1D2+VROXWLRQDQGPHDVXUHS+DWHDFKVWDJHRIDGGLWLRQ7KHDGGLWLRQRIWKH
WLWUDQWVKRXOGEHFDUULHGRXWDWWKHUDWHRIPO3ORWS+DJDLQVW9DQGƦS+Ʀ9
DJDLQVW9'HWHUPLQHWKHHTXLYDOHQWSRLQWE\H[WUDSRODWLQJWZROLQHUEUDQFKHV
DQGFDOFXODWHFRQFHQWUDWLRQDQGGLVVRFLDWLRQFRQVWDQWRIDJLYHQDFLG
2EVHUYDWLRQ7DEOH
3DJH_
*UDSK3ORW(DJDLQVW9DQGƦ(Ʀ9DJDLQVW9
&DOFXODWLRQ
1RUPDOLW\RIJLYHQZHDNDFLGVROXWLRQIURPJUDSK
)LQGRXWWKHGLVVRFLDWLRQFRQVWDQWRIZHDNDFLG
'LVVRFLDWLRQ FRQVWDQW RI ZHDN DFLG DW KDOI HTXLYDOHQFH SRLQW FDQ EH
GHWHUPLQHE\XVLQJEHORZHTXDWLRQV
5HVXOW
&RQFHQWUDWLRQRIJLYHQZHDNDFLGVROXWLRQ 1
'LVVRFLDWLRQFRQVWDQWRIJLYHQZHDNDFLGVROXWLRQ
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHFRQFHQWUDWLRQDQGGLVVRFLDWLRQFRQVWDQWVRIJLYHQGLEDVLF
DFLGVROXWLRQ
5HTXLUHPHQWV
$SSDUDWXVS+PHWHUJODVVDQGFDORPHOHOHFWURGHVEXUHWWHEHDNHUVZDVK
ERWWOHHWF
&KHPLFDOV1R[DOLFDFLGPDORQLFDFLGPDOHLFDFLG11D2+EXIIHUV
RIS+DQGGLVWLOOHGZDWHUHWF
3URFHGXUH
7DNHPOZHDNDFLGVROXWLRQLQWRDPOEHDNHU 7LWUDWHLWZLWK
1D2+VROXWLRQDQGPHDVXUHS+DWHDFKVWDJHRIDGGLWLRQ7KHDGGLWLRQRIWKH
WLWUDQWVKRXOGEHFDUULHGRXWDWWKHUDWHRIPO3ORWS+DJDLQVW9DQGƦS+Ʀ9
DJDLQVW9'HWHUPLQHWKHHTXLYDOHQWSRLQWE\H[WUDSRODWLQJWZROLQHUEUDQFKHV
DQGFDOFXODWHFRQFHQWUDWLRQDQGGLVVRFLDWLRQFRQVWDQWVRIDJLYHQDFLG
2EVHUYDWLRQ7DEOH
3DJH_
*UDSK3ORW(DJDLQVW9DQGƦ(Ʀ9DJDLQVW9
&DOFXODWLRQ
1RUPDOLW\RIJLYHQZHDNDFLGVROXWLRQIURPJUDSK
)LQGRXWWKHGLVVRFLDWLRQFRQVWDQWV.D .DRIZHDNDFLG
'LVVRFLDWLRQ FRQVWDQW RI GLEDVLF DFLG DW FDQ EH GHWHUPLQH E\ XVLQJ EHORZ
HTXDWLRQV
5HVXOW
&RQFHQWUDWLRQRIJLYHQGLEDVLFDFLG 1
'LVVRFLDWLRQFRQVWDQWVRIJLYHQGLEDVLFDFLG.D .D
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHFRQFHQWUDWLRQDQGDPRXQWRIDFLGLQDPL[WXUHRIJLYHQ
+&ODQG&+&22+VROXWLRQ
5HTXLUHPHQWV
$SSDUDWXVS+PHWHUJODVVDQGFDORPHOHOHFWURGHVEXUHWWHEHDNHUVZDVK
ERWWOHHWF
&KHPLFDOV0L[WXUHRI+&ODQG&+&22+VROXWLRQ11D2+EXIIHUVRI
S+DQGGLVWLOOHGZDWHUHWF
3URFHGXUH
7DNHPOPL[WXUHRI+&ODQG&+&22+VROXWLRQLQWRDPOEHDNHU
7LWUDWHLWZLWK1D2+VROXWLRQDQGPHDVXUHS+DWHDFKVWDJHRIDGGLWLRQ7KH
DGGLWLRQRIWKHWLWUDQWVKRXOGEHFDUULHGRXWDWWKHUDWHRIPO3ORWS+DJDLQVW
9DQGƦS+Ʀ9DJDLQVW9'HWHUPLQHWKHHTXLYDOHQWSRLQWE\H[WUDSRODWLQJWZR
OLQHUEUDQFKHVDQGFDOFXODWHFRQFHQWUDWLRQDQGDPRXQWRIDJLYHQDFLGPL[WXUH
2EVHUYDWLRQ7DEOH
3DJH_
*UDSK3ORW(DJDLQVW9DQGƦ(Ʀ9DJDLQVW9
&DOFXODWLRQ
1RUPDOLW\RIJLYHQPL[WXUHRI+&ODQG&+&22+VROXWLRQIURPJUDSK
5HVXOW
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHDPRXQWRIDVSLULQRULEXSURIHQLQDJLYHQWDEOHW
5HTXLUHPHQWV
$SSDUDWXVS+PHWHUJODVVDQGFDORPHOHOHFWURGHVEXUHWWHEHDNHUVZDVK
ERWWOHHWF
&KHPLFDOV $VSLULQ,EXSURIHQ WDEOHW LQ PO PHWKDQRO 1 DOFRKROLF
.2+EXIIHUVRIS+DQGGLVWLOOHGZDWHUHWF
3URFHGXUH
7DNHPODVSLULQLEXSURIHQVROXWLRQLQWRDPOEHDNHU7LWUDWHLWZLWK
1 DOFRKROLF .2+ VROXWLRQ DQG PHDVXUH S+ DW HDFK VWDJH RI DGGLWLRQ 7KH
DGGLWLRQRIWKHWLWUDQWVKRXOGEHFDUULHGRXWDWWKHUDWHRIPO3ORWS+DJDLQVW
9DQGƦS+Ʀ9DJDLQVW9'HWHUPLQHWKHHTXLYDOHQWSRLQWE\H[WUDSRODWLQJWZR
OLQHU EUDQFKHV DQG FDOFXODWH FRQFHQWUDWLRQ DQG DPRXQW RI DFWLYH FRQWHQW RI
GUXJVLQDJLYHQWDEOHW
2EVHUYDWLRQ7DEOH
3DJH_
*UDSK3ORW(DJDLQVW9DQGƦ(Ʀ9DJDLQVW9
&DOFXODWLRQ
1RUPDOLW\RIJLYHQDVSLULQLEXSURIHQLQDJLYHQWDEOHW
0ROHFXODUZHLJKWRIDVSLULQLVJPRODQGLEXSURIHQLVJPRO
5HVXOW
&RQFHQWUDWLRQRIDQGDPRXQWRI$VSLULQ,EXSURIHQLQJLYHQWDEOHW 1
DQG««««J
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHGLVVRFLDWLRQFRQVWDQWRIDFHWLFDFLG
5HTXLUHPHQWV
$SSDUDWXVS+PHWHUJODVVDQGFDORPHOHOHFWURGHVEXUHWWHEHDNHUVZDVK
ERWWOHHWF
&KHPLFDOV 1&+&22+1&+&221DEXIIHUVRIS+DQG
GLVWLOOHGZDWHUHWF
3URFHGXUH
3UHSDUHDVHULHVRIEXIIHUVROXWLRQVE\PL[LQJ1DFHWLFDFLGDQG
1 VRGLXP DFHWDWH DV VKRZQ LQ WDEOH 0HDVXUH WKH S+ RI HDFK RI WKH EXIIHU
VROXWLRQV3ORWS+DJDLQVWORJ>&+&22+@>&+&221D@'HWHUPLQHWKHS.DRI
DFHWLFDFLGIURPLQWHUFHSW
2EVHUYDWLRQ7DEOH
3DJH_
*UDSK3ORWS+DJDLQVWORJ>&+&22+@>&+&221D@
&DOFXODWLRQ
'LVVRFLDWLRQFRQVWDQWRI&+&22+
5HVXOW
'LVVRFLDWLRQFRQVWDQWRI&+&22+.D «««««
3DJH_
&+$37(5²
327(17,20(75<
,1752'8&7,21
3RWHQWLRPHWULF WLWUDWLRQ LV D YROXPHWULF PHWKRG LQ ZKLFK WKH SRWHQWLDO
EHWZHHQ WZR HOHFWURGHV LV PHDVXUHG UHIHUHQW DQG LQGLFDWRU HOHFWURGH DV D
IXQFWLRQRIWKHDGGHGUHDJHQWYROXPH3RWHQWLRPHWULFWLWUDWLRQVFDQEHFODVVLILHG
DVDFLGEDVHUHGR[SUHFLSLWDWLRQDQGFRPSOH[RPHWULFWLWUDWLRQV3RWHQWLRPHWULF
WLWUDWLRQVSURYLGHPRUHUHOLDEOHGDWDWKDQGDWDIURPWLWUDWLRQVWKDWXVHFKHPLFDO
LQGLFDWRUV DQG DUH SDUWLDOO\ XVHIXO ZLWK FRORUHG RU WXUELG VROXWLRQV DQG IRU
GHWHFWLQJWKHSUHVHQFHRIXQVXVSHFWHGVSHFLHV
,QSRWHQWLRPHWULFWLWUDWLRQJHQHUDOO\WZRHOHFWURGHVDUHXVHGDQLQGLFDWRU
HOHFWURGH WKH JODVV HOHFWURGH DQG PHWDO LRQ LQGLFWRU HOHFWURGH DQG UHIHUHQFH
HOHFWURGH K\GURJHQ FDORPHO DQG VLOYHU FKORULGH HOHFWURGHV 7KH LQGLFDWRU
HOHFWURGHIRUPDQGKDOIFHOOZLWKLQWHUHVWHGLRQVZKLOHUHIHUHQFHHOHFWURGHIRUPV
WKHRWKHUKDOIFHOO7KHRYHUDOOHOHFWULFSRWHQWLDOLVFDOFXODWHGE\XVLQJHTXDWLRQ
7KH FRQFHQWUDWLRQ RI WKH LRQV FDQ EH FKDQJHG E\ WKH QHXWUDOL]DWLRQ
SUHFLSLWDWLRQ RU D UHGR[ UHDFWLRQ DQG KHQFH HOHFWURGH SRWHQWLDO YDULHV
DFFRUGLQJO\7KHHQGSRLQWFRLQFLGHVZLWKDYHU\UDSLGFKDQJHLQWKHSRWHQWLDORI
3DJH_
WKHLQGLFDWRUHOHFWURGH7KHSRWHQWLDOFKDQJHQHDUHTXLYDOHQWSRLQWLVUDSLGDV
FRPSDUHG WR RWKHU SRLQWV RI WKH FRXUVH RI WKH WLWUDWLRQ 7KH HQG SRLQW FDQ EH
GHWHUPLQHG DFFXUDWHO\ DQG SUHFLVHO\ IURP WKH SORW RI ( DJDLQVW 9 DQG SORW RI
Ʀ(Ʀ9DJDLQVW9VKRZLQEHORZILJXUH7KHHQGSRLQWFDQEHREWDLQHGSUHFLVHO\
IURP WKH E\ H[WUDSRODWLRQ RI WZR OLQHDU EUDQFKHV 7KH VKDSH RI WKH FXUYH LV
GHSHQGRQWKHW\SHRIWLWUDWLRQV
7LWUDWLRQ FXUYH IRU DFLGEDVH WLWUDWLRQ ² 6WURQJ DFLG +&O ² 6WURQJ EDVH
1D2+
3DJH_
7LWUDWLRQFXUYHIRUKDOLGHPL[WXUH²+DOLGHPL[WXUH.&O.%UDQG.,²VLOYHU
FKORULGH$J12
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHFRQFHQWUDWLRQRIWKHJLYHQDFLG
5HTXLUHPHQWV
3URFHGXUH
7DNH PO RI [ 1 +&O VROXWLRQ LQWR D PO EHDNHU $GG DERXW J
TXLQK\GURQHSRZGHUDQGPL[ZHOO7LWUDWHWKHVROXWLRQZLWK11D2+VROXWLRQ
DQG PHDVXUH WKH SRWHQWLDO DW HDFK VWDJH RI DGGLWLRQ 7KH DGGLWLRQ VKRXOG EH
FDUULHG RXW DW WKH UDWH RI PO 3ORW ( DJDLQVW 9 DQG Ʀ(Ʀ9 DJDLQVW 9
'HWHUPLQH WKH HTXLYDOHQW SRLQW E\ H[WUDSRODWLQJ WKH WZR OLQHDU OLQHV DQG
GHWHUPLQHHQGSRLQW
2EVHUYDWLRQ7DEOH
3DJH_
*UDSK3ORW(DJDLQVW9DQGƦ(Ʀ9DJDLQVW9
&DOFXODWLRQ
1RUPDOLW\RIK\GURFKORULFDFLGVROXWLRQIURPJUDSKD
1RUPDOLW\RIK\GURFKORULFDFLGVROXWLRQIURPJUDSKE
5HVXOW
&RQFHQWUDWLRQRIJLYHQK\GURFKORULFDFLGVROXWLRQIURPJUDSKD 1
&RQFHQWUDWLRQRIJLYHQK\GURFKORULFDFLGVROXWLRQIURPJUDSKE 1
3DJH_
(;3(5,0(17
$LP 7R GHWHUPLQH WKH FRQFHQWUDWLRQ DQG GLVVRFLDWLRQ FRQVWDQW RI JLYHQ ZHDN
DFLGVROXWLRQ
5HTXLUHPHQWV
3URFHGXUH
7DNHPORIZHDNDFLGVROXWLRQLQWRDPOEHDNHU$GGDERXWJ
TXLQK\GURQHSRZGHUDQGPL[ZHOO7LWUDWHWKHVROXWLRQZLWK11D2+VROXWLRQ
DQG PHDVXUH WKH SRWHQWLDO DW HDFK VWDJH RI DGGLWLRQ 7KH DGGLWLRQ VKRXOG EH
FDUULHG RXW DW WKH UDWH RI PO 3ORW ( DJDLQVW 9 DQG Ʀ(Ʀ9 DJDLQVW 9
'HWHUPLQH WKH HTXLYDOHQW SRLQW E\ H[WUDSRODWLQJ WKH WZR OLQHDU EUDQFKHV DQG
FDOFXODWHFRQFHQWUDWLRQDQGGLVVRFLDWLRQFRQVWDQWVRIDJLYHQDFLG
2EVHUYDWLRQ7DEOH
3DJH_
*UDSK3ORW(DJDLQVW9DQGƦ(Ʀ9DJDLQVW9
&DOFXODWLRQ
1RUPDOLW\RIJLYHQZHDNDFLGVROXWLRQIURPJUDSK
)LQGRXWWKHGLVVRFLDWLRQFRQVWDQWRIZHDNDFLG
'LVVRFLDWLRQ FRQVWDQW RI ZHDN DFLG DW KDOI HTXLYDOHQFH SRLQW FDQ EH
GHWHUPLQHE\XVLQJEHORZHTXDWLRQV:KHQTXLQK\GURQHOHFWURGHLVXVHG
5HVXOW
&RQFHQWUDWLRQRIJLYHQZHDNDFLGVROXWLRQ 1
'LVVRFLDWLRQFRQVWDQWRIJLYHQZHDNDFLGVROXWLRQ
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHFRQFHQWUDWLRQDQGGLVVRFLDWLRQFRQVWDQWRIJLYHQGLEDVLF
DFLGVROXWLRQ
5HTXLUHPHQWV
$SSDUDWXV3RWHQWLRPHWHU6&(DQG3WHOHFWURGHEXUHWWHEHDNHUZDVKERWWOH
HWF
&KHPLFDOV 1R[DOLF DFLGPDORQLFDFLG TXLQK\GURQ SRZGHU GLVWLOOHG
ZDWHUHWF
3URFHGXUH
7DNHPORIGLEDVLFDFLGVROXWLRQLQWRDPOEHDNHU$GGDERXWJ
TXLQK\GURQHSRZGHUDQGPL[ZHOO7LWUDWHWKHVROXWLRQZLWK11D2+VROXWLRQ
DQG PHDVXUH WKH SRWHQWLDO DW HDFK VWDJH RI DGGLWLRQ 7KH DGGLWLRQ VKRXOG EH
FDUULHG RXW DW WKH UDWH RI PO 3ORW ( DJDLQVW 9 DQG Ʀ(Ʀ9 DJDLQVW 9
'HWHUPLQH WKH HTXLYDOHQW SRLQW E\ H[WUDSRODWLQJ WKH WZR OLQHDU EUDQFKHV DQG
GHWHUPLQH DQG FDOFXODWH FRQFHQWUDWLRQ DQG GLVVRFLDWLRQ FRQVWDQWV RI D JLYHQ
DFLG
2EVHUYDWLRQ7DEOH
3DJH_
*UDSK3ORW(DJDLQVW9DQGƦ(Ʀ9DJDLQVW
&DOFXODWLRQ
1RUPDOLW\RIJLYHQGLEDVLFDFLGVROXWLRQIURPJUDSK
)LQGRXWWKHGLVVRFLDWLRQFRQVWDQWV.D .DRIGLEDVLFDFLG
'LVVRFLDWLRQ FRQVWDQW RI GLEDVLF DFLG FDQ EH GHWHUPLQHG E\ XVLQJ EHORZ
HTXDWLRQV
5HVXOW
&RQFHQWUDWLRQRIJLYHQZHDNDFLGVROXWLRQ 1
'LVVRFLDWLRQFRQVWDQWRIJLYHQZHDNDFLGVROXWLRQ
3DJH_
(;3(5,0(17
5HTXLUHPHQWV
$SSDUDWXV3RWHQWLRPHWHU6&(DQG3WHOHFWURGHEXUHWWHEHDNHUZDVKERWWOH
HWF
&KHPLFDOV 1 )H621+62+2 LQ 0 +62 1 .0Q2
.&U2TXLQK\GURQSRZGHUGLVWLOOHGZDWHUHWF
3URFHGXUH
7DNH PO RI [ 1 )$6 VROXWLRQ LQWR D PO EHDNHU $GG DERXW J
TXLQK\GURQH SRZGHU DQG PL[ ZHOO 7LWUDWH WKH VROXWLRQ ZLWK 1
.0Q2.&U2 VROXWLRQDQGPHDVXUHWKHSRWHQWLDODW HDFKVWDJHRI DGGLWLRQ
7KHDGGLWLRQVKRXOGEHFDUULHGRXWDWWKHUDWHRIPO3ORW(DJDLQVW9DQG
Ʀ(Ʀ9DJDLQVW9'HWHUPLQHWKHHTXLYDOHQWSRLQWE\H[WUDSRODWLQJWKHWZROLQHDU
OLQHVDQGGHWHUPLQHHQGSRLQW
2EVHUYDWLRQ7DEOH
1.0Q2.&U2
6U (YROW Ʀ(YROW Ʀ9PO Ʀ(Ʀ9
9PO
3DJH_
*UDSK3ORW(DJDLQVW9DQGƦ(Ʀ9DJDLQVW9
&DOFXODWLRQ
1RUPDOLW\RI)$6VROXWLRQIURPJUDSKD
2EVHUYHGVWDQGDUGR[LGDWLRQSRWHQWLDORI)HFDQEHGHWHUPLQH
:KHUH(FHOOLVWDNHQDWKDOIHTXLYDOHQFHSRLQW
7KHFKDQJHLQIUHHHQHUJ\FDQEHFDOFXODWHGE\JLYHQHTXDWLRQ
3DJH_
7KHHTXLOLEULXPFRQVWDQWFDQEHFDOFXODWHGE\JLYHQHTXDWLRQ
5HVXOW
7KHFRQFHQWUDWLRQRI)$6VROXWLRQ ««1
2EVHUYHGFHOOSRWHQWLDO ««9
7KHFKDQJHLQIUHHHQHUJ\Ʀ*««N-PROH
7KHHTXLOLEULXPFRQVWDQW. ««
2EVHUYHGVWDQGDUGR[LGDWLRQSRWHQWLDORI)HLRQ ««9
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHQRUPDOLW\RIHDFKKDOLGHLQWKHPL[WXUHRIKDOLGHV
5HTXLUHPHQWV
3URFHGXUH
7DNHPORIDJLYHQPL[WXUHRIKDOLGHVLQWRDPOEHDNHU$GGDERXW
JTXLQK\GURQHSRZGHUDQGPL[ZHOO7LWUDWHWKHVROXWLRQZLWK1$J12
VROXWLRQDQGPHDVXUHWKHSRWHQWLDODWHDFKVWDJHRIDGGLWLRQ7KHDGGLWLRQVKRXOG
EH FDUULHG RXW DW WKH UDWH RI PO 3ORW ( DJDLQVW 9 DQG Ʀ(Ʀ9 DJDLQVW 9
'HWHUPLQH WKH HTXLYDOHQW SRLQW E\ H[WUDSRODWLQJ WKH WZR OLQHDU OLQHV DQG
GHWHUPLQHHQGSRLQW
2EVHUYDWLRQ7DEOH
3DJH_
*UDSK3ORW(DJDLQVW9DQGƦ(Ʀ9DJDLQVW9
&DOFXODWLRQ
1RUPDOLW\RI.,VROXWLRQ
1RUPDOLW\RI.%UVROXWLRQ
1RUPDOLW\RI.&OVROXWLRQ
5HVXOW
1RUPDOLW\RIHDFKKDOLGHLQPL[WXUH.,.&ODQG.%U1
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHVWDQGDUGR[LGDWLRQSRWHQWLDORITXLQK\GURQHOHFWURGH
5HTXLUHPHQWV
3URFHGXUH
3UHSDUHDVHULHVRIDEXIIHUVROXWLRQVDVVKRZQLQWDEOH0HDVXUHWKHS+
DQG(RIHDFKVROXWLRQ3ORW(DJDLQVWS+)URPWKHLQWHUFHSWGHWHUPLQHVWDQGDUG
R[LGDWLRQSRWHQWLDORITXLQK\GURQHOHFWURGH
2EVHUYDWLRQ7DEOH
&DOFXODWLRQ
3DJH_
*UDSK3ORW(DJDLQVWS+
5HVXOW
2EVHUYHGR[LGDWLRQSRWHQWLDORITXLQK\GURQHHOHFWURGH 9
3DJH_
&+$37(5²
&21'8&720(75<
,1752'8&7,21
&RQGXFWRPHWU\ LV WKH PHDVXUHPHQW RI WKH HOHFWULFDO FRQGXFWLYLW\ RU
FRQGXFWLRQ RI D VROXWLRQ 7KH PHDVXUHPHQW RI WKLV HOHFWULFDO FRQGXFWLYLW\ LV
EDVHG RQ 2KP·V ODZ 7KH FXUUHQW , IORZLQJ WKURXJK WKH VROXWLRQ LV GLUHFWO\
SURSRUWLRQDOWRWKHSRWHQWLDOGLIIHUHQFH(DSSOLHGDFURVVWKHHOHFWURGHGLSSLQJ
LQLWDQGLQYHUVHO\SURSRUWLRQDOWRWKHUHVLVWDQFH5RIWKHHOHFWURO\WH
«««
(OHFWULFDO FRQGXFWDQFH & LV GHILQHG DV WKH FXUUHQW IORZ WKURXJK WKH
FRQGXFWRU ,W LV GHILQHG DV WKH UHFLSURFDO RI WKH UHVLVWDQFH 7KH XQLW IRU WKH
FRQGXFWDQFHLV6HLPHQV6ZKLFKLVWKHUHFLSURFDORI2KP
Vƺï
6SHFLILF FRQGXFWDQFH N LV GHILQHG DV WKH FXUUHQW IORZ WKURXJK WKH
FRQGXFWRU,WLVGHILQHGDVWKHUHFLSURFDORIWKHUHVLVWDQFHDQGLWVXQLWLVPKR
FPï
3DJH_
«««
+HUHljLVWKHFHOOFRQVWDQW7KHFHOOFRQVWDQWLVGHWHUPLQHGE\PHDVXULQJ
WKHFRQGXFWDQFHRIDNQRZQFRQFHQWUDWLRQRI.&OZKRVHVSHFLILFFRQGXFWDQFH
LVNQRZQDW&
7KLV PHWKRG LV PDLQO\ XVHG IRU WKH GHWHUPLQDWLRQ RI SK\VLFRFKHPLFDO
SURSHUWLHVRIWKHFRPSRXQGV͘ 7KHSULQFLSOHLQYROYHGLQWKLVPHWKRGLVWKDWWKH
PRYHPHQWRIWKHLRQVFUHDWHVWKHHOHFWULFDOFRQGXFWLYLW\7KHPRYHPHQWRIWKH
LRQV LV PDLQO\ GHSHQGHG RQ WKH FRQFHQWUDWLRQ RI WKH LRQV 'LIIHUHQW W\SHV RI
FRQGXFWRPHWU\WLWUDWLRQDUHDYDLODEOH$FLGEDVHWLWUDWLRQ3UHFLSLWDWLRQWLWUDWLRQ
5HGR[WLWUDWLRQ5HSODFHPHQWWLWUDWLRQ
7KHRU\
,Q WKLV PHWKRG ZH GHWHUPLQH WKH HTXLYDOHQFH SRLQW ZKHUH UHDFWLRQ LV
FRPSOHWHG ZLWK WKH KHOS RI D FRQGXFWRPHWHU WKDW PHDVXUHV WKH FKDQJHV LQ
FRQGXFWDQFH RI VROXWLRQ SURGXFHG E\ WKH LRQV LQ WKH VROXWLRQ $W HTXLYDOHQFH
SRLQWZHPHDVXUHWKHYROXPHRIEDVHXVHGWRQHXWUDOL]HWKHDFLGLRQVFRPSOHWHO\
LQWKHVROXWLRQ7KHHTXLYDOHQFHSRLQWPD\EHORFDWHGJUDSKLFDOO\E\SORWWLQJWKH
FKDQJHLQFRQGXFWDQFHDVDIXQFWLRQRIWKHYROXPHRIWLWUDQWDGGHG.
7LWUDWLRQRI6WURQJDFLGDZLWKVWURQJEDVHHJ+&O²1D2+EZLWKZHDN
EDVHHJ+&O²1+2+
3DJH_
7LWUDWLRQRIZHDNDFLGDZLWKVWURQJEDVHHJ&+&22+²1D2+EZLWK
ZHDNEDVHHJ&+&22+²1+2+
7LWUDWLRQRIPL[WXUHRIVWURQJDFLGDQGZHDNDFLGZLWKVWURQJEDVHRUZHDN
EDVHHJ&+&22+1+2+²1D2+RU1+2+
3DJH_
(;3(5,0(17
5HTXLUHPHQWV
$SSDUDWXVFRQGXFWLYLW\PHWHUFRQGXFWLYLW\FHOOEXUHWWHEHDNHUZDVKERWWOH
HWF
&KHPLFDOV 1 +&O&+&22+R[DOLF DFLG 6DW %HQ]RLF DFLG 1
1D2+1+2+GLVWLOOHGZDWHUHWF
3URFHGXUH
7DNH PO RI [ 1 JLYHQ DFLG VROXWLRQ LQWR D PO EHDNHU ,PPHUVH
FRQGXFWLYLW\FHOOLQLW7LWUDWHWKHVROXWLRQZLWK11D2+1+2+VROXWLRQDQG
PHDVXUH WKH FRQGXFWDQFH DW HDFK VWDJH RI DGGLWLRQ 7KH DGGLWLRQ VKRXOG EH
FDUULHG RXW DW WKH UDWH RI PO 3ORW &RQGXFWDQFH DJDLQVW 9 )URP WKH
LQWHUVHFWLRQRIWZROLQHDUOLQHVDQGILQGRXWWKHYROXPHRIWKHWLWUDQWQHHGHGWR
QHXWUDOL]HWKHJLYHQVROXWLRQ
2EVHUYDWLRQ7DEOH
6U 11D2+11+2+9PO &RQGXFWDQFHPKR
*UDSK3ORW&RQGXFWDQFHDJDLQVW9
3DJH_
&DOFXODWLRQ
1RUPDOLW\RIJLYHQDFLGVROXWLRQIURPJUDSK
5HVXOW
&RQFHQWUDWLRQRI+&O&+&22+6DW%HQ]RLFDFLG2[DOLFDFLGVROXWLRQ
1
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHFRQFHQWUDWLRQRIJLYHQPL[WXUHRI+&ODQG&+&22+
5HTXLUHPHQWV
$SSDUDWXVFRQGXFWLYLW\PHWHUFRQGXFWLYLW\FHOOEXUHWWHEHDNHUZDVKERWWOH
HWF
&KHPLFDOV 0L[WXUH RI +&O DQG &+&22+ 1 1D2+1+2+ GLVWLOOHG
ZDWHUHWF
3URFHGXUH
7DNHPORIJLYHQPL[WXUHRIDFLGVROXWLRQLQWRDPOEHDNHU,PPHUVH
FRQGXFWLYLW\FHOOLQLW7LWUDWHWKHVROXWLRQZLWK11D2+1+2+VROXWLRQDQG
PHDVXUH WKH FRQGXFWDQFH DW HDFK VWDJH RI DGGLWLRQ 7KH DGGLWLRQ VKRXOG EH
FDUULHG RXW DW WKH UDWH RI PO 3ORW &RQGXFWDQFH DJDLQVW 9 )URP WKH
LQWHUVHFWLRQRIWZROLQHDUOLQHVDQGILQGRXWWKHYROXPHRIWKHWLWUDQWQHHGHGWR
QHXWUDOL]HWKHJLYHQVROXWLRQ
2EVHUYDWLRQ7DEOH
*UDSK3ORW&RQGXFWDQFHDJDLQVW9
3DJH_
&DOFXODWLRQ
1RUPDOLW\RIJLYHQK\GURFKORULFDFLGIURPJUDSK
1RUPDOLW\RIJLYHQDFHWLFDFLGIURPJUDSK
5HVXOW
&RQFHQWUDWLRQRI+&OLQDJLYHQPL[WXUH «««««1
&RQFHQWUDWLRQRI&+&22+LQDJLYHQPL[WXUH 1
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHFRQFHQWUDWLRQRI&+&221D1+&O
5HTXLUHPHQWV
$SSDUDWXVFRQGXFWLYLW\PHWHUFRQGXFWLYLW\FHOOEXUHWWHEHDNHUZDVKERWWOH
HWF
&KHPLFDOV1&+&221D1+&O11D2++&OGLVWLOOHGZDWHUHWF
3URFHGXUH
7DNHPORIJLYHQ1&+&221D1+&OVROXWLRQLQWRDPOEHDNHU
,PPHUVH FRQGXFWLYLW\ FHOO LQ LW 7LWUDWH WKH VROXWLRQ ZLWK 1 1D2++&O
VROXWLRQDQGPHDVXUHWKHFRQGXFWDQFHDWHDFKVWDJHRIDGGLWLRQ7KHDGGLWLRQ
VKRXOGEHFDUULHGRXWDWWKHUDWHRIPO3ORW&RQGXFWDQFHDJDLQVW9)URP
WKHLQWHUVHFWLRQRIWZROLQHDUOLQHVDQGILQGRXWWKHYROXPHRIWKHWLWUDQWQHHGHG
WRQHXWUDOL]HWKHJLYHQVROXWLRQ
2EVHUYDWLRQ7DEOH
*UDSK3ORW&RQGXFWDQFHDJDLQVW9
3DJH_
&DOFXODWLRQ
1RUPDOLW\RI&+&221DDFLGIURPJUDSK
RU
1RUPDOLW\RI1+&OIURPJUDSK
5HVXOW
&RQFHQWUDWLRQRI&+&221D1+&O 1
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHFRQFHQWUDWLRQRIVRGLXPFKORULGHSRWDVVLXPFKORULGH
5HTXLUHPHQWV
3URFHGXUH
7DNH PO RI [ 1 1D&O.&O VROXWLRQ LQWR D PO EHDNHU ,PPHUVH
FRQGXFWLYLW\ FHOO LQ LW 7LWUDWH WKH VROXWLRQ ZLWK 1 $J12 VROXWLRQ DQG
PHDVXUH WKH FRQGXFWDQFH DW HDFK VWDJH RI DGGLWLRQ 7KH DGGLWLRQ VKRXOG EH
FDUULHG RXW DW WKH UDWH RI PO 3ORW &RQGXFWDQFH DJDLQVW 9 )URP WKH
LQWHUVHFWLRQRIWZROLQHDUOLQHVDQGILQGRXWWKHYROXPHRIWKHWLWUDQWQHHGHGWR
QHXWUDOL]HWKHJLYHQVROXWLRQ
2EVHUYDWLRQ7DEOH
*UDSK3ORW&RQGXFWDQFHDJDLQVW9
3DJH_
&DOFXODWLRQ
1RUPDOLW\RI1D&O.&OIURPJUDSK
5HVXOW
&RQFHQWUDWLRQRI1D&O.&OLQDJLYHQVROXWLRQ «««««1
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHFRQFHQWUDWLRQDQGFRPSOH[LRQRI1LLRQZLWK('7$
5HTXLUHPHQWV
3URFHGXUH
7DNH PO RI [ 1 1L62 VROXWLRQ LQWR D PO EHDNHU ,PPHUVH
FRQGXFWLYLW\FHOOLQLW7LWUDWHWKHVROXWLRQZLWK1('7$VROXWLRQDQGPHDVXUH
WKHFRQGXFWDQFHDWHDFKVWDJHRIDGGLWLRQ7KHDGGLWLRQVKRXOGEHFDUULHGRXWDW
WKH UDWH RI PO 3ORW &RQGXFWDQFH DJDLQVW 9 )URP WKH LQWHUVHFWLRQ RI WZR
OLQHDUOLQHVDQGILQGRXWWKHYROXPHRIWKHWLWUDQWQHHGHGWRQHXWUDOL]HWKHJLYHQ
VROXWLRQ
2EVHUYDWLRQ7DEOH
6U 1('7$9PO &RQGXFWDQFHPKR
*UDSK3ORW&RQGXFWDQFHDJDLQVW9
3DJH_
&DOFXODWLRQ
1RUPDOLW\RI1L62IURPJUDSK
5HVXOW
&RQFHQWUDWLRQRI1LLRQLQDJLYHQVROXWLRQ «««««1
3DJH_
(;3(5,0(17
$LP 7R GHWHUPLQH WKH VROXELOLW\ DQG VROXELOLW\ SURGXFW RI D VSDULQJO\ VROXEOH
VDOW
5HTXLUHPHQWV
$SSDUDWXV &RQGXFWLYLW\ PHWHU FRQGXFWLYLW\ FHOO EXUHWWH EHDNHU ZDVK
ERWWOHHWF
&KHPLFDOV%D623E62GLVWLOOHGZDWHUHWF
3URFHGXUH
3UHSDUH PO RI VDWXUDWHG VROXWLRQ RI JLYHQ VSDULQJO\ VROXEOH VDOW LQ
GLVWLOOHGZDWHUDWURRPWHPSHUDWXUHLQWRDPOEHDNHU,PPHUVHFRQGXFWLYLW\
FHOOLQLWDQGPHDVXUHWKHFRQGXFWDQFH&DOFXODWHWKHVROXELOLW\DQGVROXELOLW\
SURGXFW7KHnjǂIRU%D62LVDQGIRU3E62LWLV
2EVHUYDWLRQ7DEOH
5HVXOW
7KHVROXELOLW\RI%D623E62 «««««JOLW
7KHVROXELOLW\RISURGXFW%D623E62 «««««
3DJH_
&+$37(5²
63(&7523+2720(75<
,1752'8&7,21
6SHFWURSKRWRPHWU\ LV D TXDQWLWDWLYH PHWKRG XVHG WR PHDVXUH WKH
DEVRUSWLRQRIOLJKWE\FKHPLFDOVXEVWDQFH,WLVGRQHE\PHDVXULQJWKHLQWHQVLW\
RI OLJKW SDVVHV WKURXJK VDPSOH VROXWLRQ 7KH EDVLF SULQFLSOH LV WKDW HDFK
FRPSRXQG DEVRUEV RU WUDQVPLWV OLJKW RYHU D FHUWDLQ UDQJH RI ZDYHOHQJWK
6SHFWURSKRWRPHWU\ XVHV SKRWRPHWHUV NQRZQ DV VSHFWURSKRWRPHWHUV WKDW FDQ
PHDVXUHDQLQWHQVLW\RIDEHDPRIOLJKWDVDIXQFWLRQRILWVFRORUZDYHOHQJWK
6SHFWURSKRWRPHWHU ZRUNV EDVHG RQ WKH /DPEHUW EHHU·V ODZ ,W LV VWDWHV WKDW
WKHUHLVDOLQHDUUHODWLRQVKLSEHWZHHQWKHDEVRUEDQFHDQGFRQFHQWUDWLRQRI
VDPSOH,WFDQEHZULWWHQDV
3DJH_
$FFRUGLQJ WR /DPEHUW%HHU ODZ WKH PLQLPXP YDOXH RI $ LV ]HUR ZKHQ
7 WUDQVPLWWDQFH DQG PD[LPXP YDOXH RI $ LV WZR ZKHQ 7
WUDQVPLWWDQFH:KHQWUDQVPLWWDQFHLVOHVVWKDQWKHQWKHYDOXHRI$VKRXOG
EHQHJDWLYH)RUPRUHFRQFHQWUDWHGVROXWLRQSUDFWLFDOO\7LV]HURDQGWKHYDOXH
RI$LVLQILQLWH7KLVODZLVRQO\DSSOLFDEOHRYHUDFRQFHQWUDWLRQUDQJHRIDJLYHQ
V\VWHP'HYLDWLRQVIURP%HHU·VODZFDQEHDFFRXQWHGGXHWRSUREOHPVUHODWHGWR
WKH LQVWUXPHQWDWLRQ RU E\ FKHPLFDO UHDFWLRQ WKDW DUH WDNLQJ SODFH ZLWKLQ WKH
VROXWLRQ
)LQGRXWDFRQFHQWUDWLRQRIXQNQRZQVROXWLRQ
3UHSDUH D VWDQGDUG VWRFN VROXWLRQ RI D FRPSRXQG 8VLQJ WKLV VWRFN
VROXWLRQ SUHSDUH D VHULHV RI VROXWLRQV UDQJLQJ ZLWK GLIIHUHQW FRQFHQWUDWLRQV
6WDQGDUGL]HG WKH LQVWUXPHQW XVLQJ ZDWHU DV D EODQN PHDVXUH 7 DQG
DEVRUEDQFH RI HDFK VROXWLRQV DW IL[HG ZDYHOHQJWK 3ORW $ DJDLQVW & DQG 7
DJDLQVWORJ&)LQGRXWWKHRSWLPXPFRQFHQWUDWLRQIURPWKHJUDSK
3DJH_
(;3(5,0(17
$LP 7R H[DPLQH /DPEHUW %HHU ODZ DQG GHWHUPLQH FRQFHQWUDWLRQ UDQJH RI
SRWDVVLXPSHUPDQJDQDWHSRWDVVLXPGLFKURPDWH
5HTXLUHPHQWV
$SSDUDWXV6SHFWURSKRWRPHWHUFHOOVPHDVXULQJIODVNVSLSHWWHVEXUHWWHV
ZDVKERWWOHHWF
&KHPLFDOV1.0Q21.&U2GLVWLOOHGZDWHUHWF
3URFHGXUH
3UHSDUH PO RI 1 VROXWLRQ IURP 1 .0Q2 1 .&U2
VWDQGDUG VWRFN VROXWLRQ 8VLQJ 1 VROXWLRQ SUHSDUH D VHULHV RI VROXWLRQV
UDQJLQJ IURP 1 WR [ 1 8VLQJ ZDWHU DV D EODQN PHDVXUH 7 DQG
DEVRUEDQFHRIHDFKVROXWLRQVDWQPIRU.0Q2DQGQPIRU.&U23ORW
$ DJDLQVW &RQFHQWUDWLRQ DQG 7 DJDLQVW ORJ & )LQG RXW WKH RSWLPXP
FRQFHQWUDWLRQIURPWKHJUDSK
2EVHUYDWLRQ7DEOH
3DJH_
*UDSK3ORW$DJDLQVW&RQFHQWUDWLRQDQG7DJDLQVWORJ&
&DOFXODWLRQ
)RUDFRQFHQWUDWLRQ
5HVXOW
7KHRSWLPXPFRQFHQWUDWLRQUDQJHIRU.0Q2 1
3DJH_
(;3(5,0(17
$LP7RVWXG\WKHUDWHRILRGLQDWLRQE\VSHFWURSKRWRPHWU\.
5HTXLUHPHQWV
0L[PORI0DQLOLQHPORI0.+32DQGPORI1D2+LQ
POPHDVXULQJF\OLQGHUDQGGLOXWHWKHFRQWHQWWRPOZLWKGLVWLOOHGZDWHU
DQGDGGWRLWPORI0,SUHSDUHGLQ0.,DQGVWDUWWKHVWRSZDWFK
LPPHGLDWHO\7UDQVIHUWKHVROXWLRQLQWKHFOHDQFHOODQGPHDVXUHDEVRUEDQFHDW
WKHLQWHUYDORIPLQXWHXSWRPLQXWHV3ORW$DJDLQVWWLPHPLQ)URPWKH
VORSHILQGRXWWKHUDWHRILRGLQDWLRQRIDQLOLQH
2EVHUYDWLRQ7DEOH
3DJH_
*UDSK3ORW$DJDLQVWWLPHPLQ
5HVXOW
7KHUDWHRILRGLQDWLRQ 1
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHRSWLPXPILOWHUDQGXQNQRZQFRQFHQWUDWLRQRISRWDVVLXP
SHUPDQJDQDWHQLFNHOVXOSKDWHVROXWLRQ
5HTXLUHPHQWV
$SSDUDWXV6SHFWURSKRWRPHWHUFHOOVPHDVXULQJIODVNVSLSHWWHVEXUHWWHV
ZDVKERWWOHHWF
&KHPLFDOV1.0Q211L62GLVWLOOHGZDWHUHWF
3URFHGXUH
3UHSDUHPORIWKHGLIIHUHQWVROXWLRQVRINQRZQFRQFHQWUDWLRQVRI0
1L62 1 .0Q2 IURP VWRFN VROXWLRQ DQG GLOXWH WR PDUN ZLWK GLVWLOOHG
ZDWHU0HDVXUHWKHDEVRUEDQFHRIDOOWKHVROXWLRQVXVLQJZDWHUDVDEODQNDWDOO
ILOWHUV3ORWWKH$DJDLQVW&RQFHQWUDWLRQDWFRUUHVSRQGLQJILOWHUDQGILQGRXWWKH
VORSHV)LQGRXWWKHRSWLPXPILOWHUFRUUHVSRQGLQJWROLQHZLWKPD[LPXPVORSH
8VLQJRSWLPXPILOWHUPHDVXUHDEVRUEDQFHRIXQNQRZQVROXWLRQDQGILQGRXWWKH
FRQFHQWUDWLRQE\XVLQJFDOLEUDWLRQOLQH
2EVHUYDWLRQ7DEOH
9ROXPHRI 0
VROXWLRQ 1L62
PO 1
.0Q2
XQNQRZQ
5HVXOWV
7KH2SWLPXPILOWHU «
7KHFRQFHQWUDWLRQRIXQNQRZQVROXWLRQRI1L62.0Q2 ««««
3DJH_
&+$37(5²
7+(502'<1(0,&6DQG&+(0,&$/.,1(7,&6
,1752'8&7,21
7KHUPRG\QDPLFV LV D EUDQFK RI VFLHQFH WKDW FRQFHUQHG ZLWK KHDW DQG
WHPSHUDWXUH DQG WKHLU UHODWLRQ WR RWKHU IRUPV RI HQHUJ\ DQG ZRUN
7KHUPRG\QDPLFVGHDOVZLWKWKHWUDQVIHURIHQHUJ\IURPRQHSODFHWRDQRWKHUDQG
IURP RQH IRUP WR DQRWKHU 7KH NH\ FRQFHSW LV WKDW KHDW LV D IRUP RI HQHUJ\
FRUUHVSRQGLQJWRDGHILQLWHDPRXQWRIPHFKDQLFDOZRUN7KHPRVWLPSRUWDQWODZV
RIWKHUPRG\QDPLFVDUH
7KH]HURWKODZRIWKHUPRG\QDPLFV
x ,WLVVWDWHVWKDWZKHQWZRV\VWHPV$DQG%DUHLQWKHUPDOHTXLOLEULXP
ZLWKDWKLUGV\VWHP&WKHQ$DQG%V\VWHPVDUHLQWKHUPDOHTXLOLEULXP
ZLWKHDFKRWKHU
x $QRWKHUZD\RIVWDWLQJWKH]HRUWKODZLVWKDWHYHU\REMHFWKDVDFHUWDLQ
WHPSHUDWXUH DQG ZKHQ WZR REMHFWV DUH LQ WKHUPDO HTXLOLEULXP WKHLU
WHPSHUDWXUHVDUHHTXDO
x 7KLVSURSHUW\PDNHVLWPHDQLQJIXOWRXVHWKHUPRPHWHUVDVWKH´WKLUG
V\VWHPµDQGWRGHILQHDWHPSHUDWXUHVFDOH
7KHILUVWODZRIWKHUPRG\QDPLFVRUWKHODZRIFRQVHUYDWLRQRIHQHUJ\
x ,W LV VWDWHV WKDW HQHUJ\ FDQ EH WUDQVIRUPHG EXW FDQQRW EH FUHDWHG RU
GHVWUR\HG7KHLQWHUQDOHQHUJ\RIDQLVRODWHGV\VWHPLVFRQVWDQW
x 7KH FKDQJH LQ DQ LQWHUQDO HQHUJ\ RI V\VWHP LV HTXDO WR WKH GLIIHUHQFH
EHWZHHQKHDWDGGHGWRWKHV\VWHPIURPLWVVXUURXQGLQJVDQGZRUNGRQH
E\WKHV\VWHPRQLWVVXUURXQGLQJV
7KHVHFRQGODZRIWKHUPRG\QDPLFV
x ,WLVVWDWHVWKDWKHDWGRHVIORZVSRQWDQHRXVO\IURPKRWWHUUHJLRQWRFRROHU
RQHRUKHDWDWDJLYHQWHPSHUDWXUHFDQQRWEHFRQYHUWHGHQWLUHO\LQWRZRUN
3DJH_
x 7RWDOHQWURS\RIWKHXQLYHUVH V\VWHPVXUURXQGLQJPXVWEHLQFUHDVH
LQHYHU\VSRQWDQHRXVSURFHVV
7KHWKLUGODZRIWKHUPRG\QDPLFV
x 7KHHQWURS\RIDSXUHDQGSHUIHFWO\FU\VWDOOLQHFRPSRXQGLVDEVROXWH]HUR
DW]HUR.WHPSHUDWXUH
x $W]HURWHPSHUDWXUHV\VWHPPXVWEHLQDVWDWHZLWKWKHPLQLPXPLQWHUQDO
HQHUJ\7KLVVWDWHPHQWKROGVWUXHLIWKHSHUIHFWFU\VWDOKDVRQO\RQHVWDWH
ZLWKPLQLPXPHQHUJ\
&KHPLFDO NLQHWLFV GHDOV ZLWK WKH UDWHV RI WKH FKHPLFDO UHDFWLRQV 7KH
IDFWRUVDIIHFWLQJWKHUDWHVUHDFWLRQVDQGWKHPHFKDQLVPRIWKHUHDFWLRQLVFDOOHG
FKHPLFDO NLQHWLFV $FFRUGLQJ WR FKHPLFDO NLQHWLFV FKHPLFDO UHDFWLRQV FDQ EH
FODVVLILHGLQWRWKUHHFDWHJRULHV
)DVW,QVWDQWDQHRXVUHDFWLRQV
x &KHPLFDO UHDFWLRQV ZKLFK FRPSOHWHV LQ OHVV WKDQ V NQRZQ DV IDVW
UHDFWLRQV 7KH UDWH RI UHDFWLRQ LV YHU\ IDVW HJ $FLGEDVH SUHFLSLWDWLRQ
RUJDQLFVXEVWLWXWLRQVHWF
([WUHPHO\VORZUHDFWLRQV
x 7KHUDWHRIWKHUHDFWLRQLVH[WUHPHO\VORZ5HDFWLRQWDNHVDORQJWLPHIURP
VRPH PLQXWHV WR VRPH \HDUV HJ UXVWLQJ RI LURQ ELRORJLFDO DJHLQJ
WUDQVIRUPDWLRQRIGLDPRQGDQGDOOQDWXUDOSURFHVVHV
0RGHUDWHO\VORZUHDFWLRQV
x 7KH UHDFWLRQV SURFHHG ZLWK PHDVXUDEOH UDWHV 5HDFWLRQ DUH LQWHUPHGLDWH
EHWZHHQVORZDQGIDVWUHDFWLRQVHJLQYHUVLRQRIFDQHVXJDUDQGK\GURO\VLV
RIHVWHUV
5DWHRIUHDFWLRQV
5DWHRIWKHUHDFWLRQLVGHILQHGDVWKHUDWHRIFKDQJHRIFRQFHQWUDWLRQVRI
HLWKHUUHDFWDQWVRUSURGXFWVSHUXQLWWLPH,WLVH[SUHVVHGLQPRO/VHJ
$% &'
3DJH_
(;3(5,0(17
$LP7RFDOFXODWHHQWURS\RIYDSRUL]DWLRQRIJLYHQOLTXLGE\NLQHWLFDSSURDFK
5HTXLUHPHQWV
$SSDUDWXV7KHUPRVHWHYDSRUDWLQJGLVFPLFURSLSHWWHVWRSZDWFKHWF
&KHPLFDOV&KORURIRUP&DUERQWHWUDFKORULGHQ+H[DQH(WK\ODFHWDWH
3URFHGXUH
7UDQVIHU D PO RI OLTXLG LQWR D VPDOO HYDSRUDWLQJ GLVK IORDWLQJ LQ D
FRQVWDQW WHPSHUDWXUH EDWK 1RWH WKH WLPH RI FRPSOHWH HYDSRUDWLRQ RI OLTXLG
5HSHDWWKHSURFHVVDWOHDVWWKUHHWLPHV6LPLODUO\UHSHDWWKHSURFHVVDWGLIIHUHQW
WHPSHUDWXUHDQGSORWDJUDSKWLPHYV7)URPVORSHILQGWKHYDOXHRIKHDW
RIYDSRUL]DWLRQ
2EVHUYDWLRQ7DEOH
7HPSHUDWXUHRIH[SHULPHQW «««««««.
ORJWLPH Ʀ+Y
VHFRQG .FDOPROH
3DJH_
*UDSK3ORWS+DJDLQVW9DQGƦS+Ʀ9DJDLQVW9
&DOFXODWLRQ
(QWKDOS\RIYDSRUL]DWLRQFDQEHFDOFXODWHE\XVLQJEHORZHTXDWLRQ
Ʀ+Y 6ORSH[[[
««««.-PROH
(QWURS\RIYDSRUL]DWLRQFDQEHFDOFXODWHE\XVLQJEHORZHTXDWLRQ
««««-.PROH
5HVXOW
3DJH_
(;3(5,0(17
$LP 7R GHWHUPLQH WKH UHDFWLRQ YHORFLW\ FRQVWDQW IRU WKH UHDFWLRQ EHWZHHQ
DFHWRQHDQGLRGLQH.
5HTXLUHPHQWV
$SSDUDWXV
7KHUPRVWDW VWRSSHUHG ERWWOHV SLSHWWHV EXUHWWHV VWRSZDWFK FRQLFDO
IODVNVHWF
&KHPLFDOV$FHWRQH0+620,LQ.,VROXWLRQ0VRGLXP
DFHWDWH11D62VWDUFKVROXWLRQHWF
3URFHGXUH
7DNHPODFHWRQHPORI0+62DQGPORIGLVWLOOHGZDWHULQ
ERWWOH $ DQG PO , VROXWLRQ LQ ERWWOH % 7KHUPRVWDW WKH ERWWOHV DW ³³&
7UDQVIHU PO RI , VROXWLRQ LQWR ERWWOH $ DQG VWDUW WKH VWRS ZDWFK ZKHQ WKH
SLSHWWHLVKDOIGLVFKDUJHGDQGPL[ZHOO7UDQVIHUPORIWKHUHDFWLRQPL[WXUH
LQWR D FRQLFDO IODVN FRQWDLQLQJ PO RI VRGLXP DFHWDWH VROXWLRQ DQG WLWUDWH LW
ZLWK11D627KHYROXPHRIK\SRFRQVXPHGFRUUHVSRQGWRWKHDPRXQWRI
WKHUHVLGXDOLRGLQH5HSHDWWKHH[SHULPHQWZLWKGLIIHUHQWDOLTXRWRIDFHWRQH
7UDQVIHU PO RI WKH 0 , LQWR PO IODVN DQG GLOXWH WR PDUN ZLWK
GLVWLOOHGZDWHUDQGPL[ZHOO7LWUDWHPORIWKLVVROXWLRQZLWK11D62
VROXWLRQ7KHYROXPHRIK\SRFRQVXPHGFRUUHVSRQGVWRWKHLQLWLDOFRQFHQWUDWLRQ
RIWKHLRGLQHSUHVHQWLQWKHUHDFWLRQPL[WXUH
2EVHUYDWLRQV
7HPSHUDWXUHRIH[SHULPHQW «««««««&
,QLWLDOFRQFHQWUDWLRQRIWKHUHDFWLRQ&R «««««PO
3DJH_
2EVHUYDWLRQ7DEOH
7LWUDWLRQ
7LPHW . &&WW $YHUDJH
6U1R UHDGLQJ &&WPO
PLQ POPLQ .POPLQ
&WLQPO
5HVXOW
7KHVSHFLILFUDWHFRQVWDQW. POPLQ
3DJH_
(;3(5,0(17
$LP 7R GHWHUPLQH WKH UDWH FRQVWDQW RI DFLG FDWDO\]HG K\GURO\VLV RI PHWK\O
DFHWDWH
5HTXLUHPHQWV
$SSDUDWXV7KHUPRVWDWVWRSZDWFKSLSHWWHEXUHWWHWKHUPRPHWHUFRQLFDO
IODVNVHWF
&KHPLFDOV 0HWK\O DFHWDWH 1 +&O 1 1D2+ GLVWLOOHG ZDWHU
SKHQROSKWKDOHLQHWF
3URFHGXUH
7DNH PO RI 0 +&O LQ D VWRSSHUHG ERWWOH $ DQG PO RI PHWK\O
DFHWDWH LQ ERWWOH % $OORZ ERWK WKH ERWWOHV WR HTXLOLEUDWH IRU DERXW PLQ
7UDQVIHU PO RI PHWK\O HVWHU WR ERWWOH $ 1RWH WKH WLPH ZKHQ KDOI RI PHWK\O
DFHWDWHVROXWLRQLVDGGHG7KHPL[WXUHLVVKDNHQZHOO3LSHWWHPORIUHDFWLRQ
PL[WXUHLQWRDFRQLFDOIODVNFRQWDLQLQJFUXVKHGLFHWRVORZGRZQWKHUHDFWLRQ
7LWUDWHWKHUHDFWLRQPL[WXUHDJDLQVW1D2+VROXWLRQXVLQJDSKHQROSKWKDOHLQDV
LQGLFDWRU 7KLV WLWUDWLRQ YDOXH FRUUHVSRQGV WR 9R 5HSHDW VDPH SURFHGXUH DW
LQWHUYDORIPLQDQGWLWUDWHZLWKWKHDONDOLVROXWLRQ7KLV
WLWUDWLRQV YDOXH FRUUHVSRQGV WR 9W 7KH UHDPLQJ VROXWLRQ LV WDNHQ DV LQ D
VWRSSHUHGFRQLFDOIODVNDQGKHDWHGWRR&IRUK7KLVVROXWLRQLVDOORZHGWR
FRROWRURRPWHPSHUDWXUH3LSHWWHRXWPORIWKHUHDFWLRQPL[WXUHLQWRDFRQLFDO
IODVNFRQWDLQLQJFUXVKHGLFHWRVORZGRZQWKHUHDFWLRQDQGWLWUDWHWKHUHDFWLRQ
PL[WXUHDJDLQVW1D2+VROXWLRQ7KLVWLWUDWLRQVYDOXHFRUUHVSRQGVWRஶ 3ORWWKH
JUDSKRIORJ99W99YVWLPHWDQGGHWHUPLQHWKHVORSH
2EVHUYDWLRQ
7HPSHUDWXUHRIH[SHULPHQW «««««««&
9ROXPHDWWLPHHTXDOWR]HURܸ «PO
9ROXPHDWLQILQLWHWLPHܸஶ «PO
3DJH_
2EVHUYDWLRQ7DEOH
7LPH 7LWUDWLRQ
PLQ UHDGLQJ
PO PO
9WLQPO
9
9
9
9
9
9
9
9
9
$YHUDJH.
PLQ
3DJH_
*UDSK3ORWWKHJUDSKRIORJ99W99YVWLPHW
&DOFXODWLRQ
5HVXOW
5DWHFRQVWDQWRIDFLGFDWDO\]HGK\GURO\VLVRIPHWK\ODFHWDWH «««PLQ
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHNLQHWLFSDUDPHWHUVDQGWKHWHPSHUDWXUHFRHIILFLHQWRIWKH
UHDFWLRQEHWZHHQ.62DQG.,
5HTXLUHPHQWV
$SSDUDWXV7KHUPRVWDWVWRSZDWFKSLSHWWHEXUHWWHWKHUPRPHWHUFRQLFDO
IODVNVHWF
&KHPLFDOV 1 .62 1 ., 1 1D62 VWDUFK VROXWLRQ
GLVWLOOHGZDWHUHWF
3URFHGXUH
7DNHPORI1.62VROXWLRQLQERWWOH$DQGLQDQRWKHUERWWOH%
WDNHPORI1.,3ODFHERWKWKHERWWOHVLQDWKHUPRVWDWDQGDOORZDWWDLQLQJ
WKHUPDOHTXLOLEULXP7UDQVIHUFRPSOHWHO\WKHVROXWLRQRIDERWWOH$WRDERWWOH%
DQGVWDUWVWRSZDWFKLPPHGLDWHO\DQGPL[ZHOOUHDFWLRQPL[WXUH7UDQVIHUPO
RI WKH UHDFWLRQ PL[WXUH LQ D FRQLFDO IODVN FRQWDLQLQJ LFH ZDWHU DQG WLWUDWH WKH
UHDFWLRQPL[WXUHDJDLQVW11D62VROXWLRQXVLQJVWDUFKDVDQLQGLFDWRU
6LPLODUO\ WLWUDWH WKH UHDFWLRQ PL[WXUH DW GLIIHUHQW WLPH LQWHUYDO 5HSHDW WKH
H[SHULPHQW DW DQRWKHU WHPSHUDWXUH XVXDOO\ R& KLJKHU WKDQ SUHYLRXV
H[SHULPHQW3ORWWDJDLQVW[D[DQGD[DJDLQVWW
2EVHUYDWLRQV6(7
7HPSHUDWXUHRIH[SHULPHQW7 «««««««&
,QLWLDOFRQFHQWUDWLRQRIWKHUHDFWDQWVD E PORI11D62
2EVHUYDWLRQ7DEOH
7LPH 7LWUDWLRQ ͕
PLQ UHDGLQJ PO
[LQPO
3DJH_
2EVHUYDWLRQV6(7
7HPSHUDWXUHRIH[SHULPHQW7 «««««««&
,QLWLDOFRQFHQWUDWLRQRIWKHUHDFWDQWVD E PORI11D62
2EVHUYDWLRQ7DEOH
7LPH 7LWUDWLRQ ͕
WLQ UHDGLQJ PO
PLQ [LQPO
5HVXOW
5DWHFRQVWDQWRIDFLGFDWDO\]HGK\GURO\VLVRIPHWK\ODFHWDWH «««PLQ
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHNLQHWLFSDUDPHWHUVDQGWKHWHPSHUDWXUHFRHIILFLHQWRIWKH
UHDFWLRQEHWZHHQ.%U2DQG.,
5HTXLUHPHQWV
$SSDUDWXV7KHUPRVWDWVWRSZDWFKSLSHWWHEXUHWWHWKHUPRPHWHUFRQLFDO
IODVNVHWF
&KHPLFDOV1.%U21.,1+&O11D62VWDUFKVROXWLRQ
GLVWLOOHGZDWHUHWF
3URFHGXUH
7DNHPORI1.%U2VROXWLRQLQERWWOH$,QDQRWKHUERWWOH%WDNH
PORI1.,PORI1+&ODQGPO+23ODFHERWKWKHERWWOHVLQ
DWKHUPRVWDWDQGDOORZDWWDLQLQJWKHUPDOHTXLOLEULXP7UDQVIHUFRPSOHWHO\WKH
VROXWLRQRIERWWOH$WRDERWWOH%DQGVWDUWVWRSZDWFKLPPHGLDWHO\DQGPL[ZHOO
UHDFWLRQ PL[WXUH 7UDQVIHU PO RI WKH UHDFWLRQ PL[WXUH LQ D FRQLFDO IODVN
FRQWDLQLQJ LFH ZDWHU DQG WLWUDWH WKH UHDFWLRQ PL[WXUH DJDLQVW 1 1D62
VROXWLRQXVLQJVWDUFKDVDQLQGLFDWRU6LPLODUO\WLWUDWHWKHUHDFWLRQPL[WXUHDW
GLIIHUHQWWLPHLQWHUYDO5HSHDWWKHH[SHULPHQWDWDQRWKHUWHPSHUDWXUHXVXDOO\
R&KLJKHUWKDQSUHYLRXVH[SHULPHQW3ORWWDJDLQVW[D[DQGD[DJDLQVWW
2EVHUYDWLRQV6(7
7HPSHUDWXUHRIH[SHULPHQW7 «««««««&
,QLWLDOFRQFHQWUDWLRQRIWKHUHDFWDQWVD E PORI11D62
2EVHUYDWLRQ7DEOH
7LPH 7LWUDWLRQ ͕
PLQ UHDGLQJ PO
[LQPO
3DJH_
2EVHUYDWLRQV6(7
7HPSHUDWXUHRIH[SHULPHQW7 «««««««&
,QLWLDOFRQFHQWUDWLRQRIWKHUHDFWDQWVD E PORI11D62
2EVHUYDWLRQ7DEOH
7LPH 7LWUDWLRQ ͕
PLQ UHDGLQJ PO
[LQPO
5HVXOW
5DWHFRQVWDQWRIDFLGFDWDO\]HGK\GURO\VLVRIPHWK\ODFHWDWH «««PLQ
3DJH_
&+$37(5²
67$(0',67,//$7,21
,1752'8&7,21
,QDPL[WXUHRIWZRLPPLVFLEOHOLTXLGVHDFKOLTXLGH[HUWVLWVRZQSUHVVXUH
LUUHVSHFWLYHRIWKHSUHVHQFHRIWKHRWKHUOLTXLG7KHWRWDOYDSRUSUHVVXUHRIWKH
V\VWHP LV WKH VXP RI WKH YDSRU SUHVVXUHV RI WKH WZR FRPSRQHQWV DQG LW LV
LQGHSHQGHQW RI WKH UHODWLYH DPRXQWV RI WKH OLTXLGV ,I S$ DQG S% DUH WKH YDSRU
SUHVVXUHVRIOLTXLGV$DQG%LQWKHLUSXUHVWDWHDQGQ$DQGQ%DUHWKHQXPEHURI
PROHVRIHDFKLQWKHYDSRUVWDWH
«««
7KHFRPSRVLWLRQRIWKHYDSRULVJLYHQE\
«««
/HW:$DQG:%DUHWKHZHLJKWVRIWKHWZRFRPSRQHQWVLQWKHYDSRU0$
DQG0%DUHWKHLUPROHFXODUZHLJKWV(TQFDQEHH[SUHVVHGDV
««
««
$ OLTXLG VWDUWV ERLOLQJ ZKHQ LWV YDSRU SUHVVXUH EHFRPHV HTXDO WR
DWPRVSKHULFSUHVVXUH7KHERLOLQJSRLQWDQGWKHFRPSRVLWLRQRIWKHGLVWLOODWHZLOO
UHPDLQFRQVWDQWXQWLORQHRIWKHFRPSRQHQWVLVH[KDXVWHG
,QVWHDPGLVWLOODWLRQSURFHVVRQHRIWKHOLTXLGVLVZDWHU,QDFWXDOSUDFWLFH
DFXUUHQWRIVWHDPLVEXEEOHGWKURXJKWKHOLTXLGPL[WXUH7KHDGYDQWDJHRIVWHDP
3DJH_
GLVWLOODWLRQ LV WKDW DQ RUJDQLF OLTXLG KDYLQJ UHODWLYHO\ KLJK ERLOLQJ SRLQW DQG
SUDFWLFDOO\LPPLVFLEOHZLWKZDWHUFDQEHGLVWLOOHGDWDPXFKORZHUWHPSHUDWXUH
,I3LVWKHEDURPHWULFSUHVVXUHWKHYDSRUSUHVVXUHRIFRPSRQHQW$FDQEHJLYHQ
E\
«««
(TQFDQEHH[SUHVVHGDV
««««
7KXV WKH YDSRU SUHVVXUH RI DQ RUJDQLF OLTXLG FDQ EH FDOFXODWHG E\
GHWHUPLQLQJ WKH FRPSRVLWLRQ RI WKH GLVWLOODWH LH :$:% ,I 3$ LV WKH YDSRU
SUHVVXUH RI ZDWHU DW WKH ERLOLQJ SRLQW RI WKH PL[WXUH RI ZDWHU DQG DQ RUJDQLF
OLTXLG(TQFDQEHZULWWHQDV
««««
««««
««««
««««
7KXV E\ GHWHUPLQLQJ WKH YROXPHV RI ZDWHU DQG RUJDQLF OLTXLG LQ WKH
GLVWLOODWHDQGNQRZLQJWKHGHQVLW\RIDQRUJDQLFOLTXLGWKHPROHFXODUZHLJKWFDQ
EHFDOFXODWHG
3DJH_
(;3(5,0(17
$LP 7R GHWHUPLQH WKH YDSRU SUHVVXUH RI D JLYHQ RUJDQLF OLTXLG E\ VWHDP
GLVWLOODWLRQ
5HTXLUHPHQWV
2EVHUYDWLRQV
%DURPHWULFSUHVVXUH ³³³PP
'HQVLW\RIWKHJLYHQOLTXLG ³³³JFP
2EVHUYDWLRQ7DEOH
3DJH_
&DOFXODWLRQ
:KHUH:$LVWKHZHLJKWRIZDWHUDQG:%LVWKHZHLJKWRIDQRUJDQLFOLTXLG.
5HVXOW
7KHYDSRUSUHVVXUHRIDJLYHQOLTXLG BBBBBBBBPP
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHPROHFXODUZHLJKWRIQLWUREHQ]HQHE\VWHDPGLVWLOODWLRQ
5HTXLUHPHQWV
$SSDUDWXV6WHDPGLVWLOODWLRQDVVHPEO\5%)IODVNWKHUPRPHWHUJUDGXDWHG
F\OLQGHUVVHSDUDWLQJIXQQHOHWF
&KHPLFDOV 1LWUREHQ]HQH DQLOLQH EHQ]HQH FKORUREHQ]HQH GLVWLOOHG ZDWHU
DFHWRQHPHUFXU\HWF
3URFHGXUH
6HWXSVWHDPGLVWLOODWLRQDVVHPEO\7UDQVIHUHDFKRIPORIDJLYHQOLTXLG
DQGZDWHULQWKHGLVWLOODWLRQIODVN)LUVWKHDWWKHIODVNFRQWDLQLQJZDWHUWLOOVWHDP
FRPHVRXWDQGSDVVHVLQWRWKHGLVWLOODWLRQIODVN6WDUWKHDWLQJGLVWLOODWLRQIODVN
VORZO\&ROOHFWWKHGLVWLOODWHLQDJUDGXDWHGF\OLQGHUDIWHUUHMHFWLQJWKHILUVWPO
RIWKHGLVWLOODWH1RWHWKHWHPSHUDWXUHRIGLVWLOODWLRQ5HFRUGWKHYROXPHRIZDWHU
DQG RUJDQLF OLTXLG VHSDUDWHG LQ WKH F\OLQGHU 6LPLODUO\ FROOHFW WKH GLVWLOODWH LQ
WKUHHEDWFKHVFDOFXODWHWKHPROHFXODUZHLJKWDQGUHSRUWWKHDYHUDJHPROHFXODU
ZHLJKW
2EVHUYDWLRQV
'HQVLW\RIZDWHU «JFP
'HQVLW\RIQLWUREHQ]HQHDQLOLQHEHQ]HQHFKORUREHQ]HQH «JFP
%DURPHWHUSUHVVXUH3 «PPRI+J
7HPSHUDWXUHRIGLVWLOODWLRQ «R&
$TXHRXVWHQVLRQDWWKHWHPSHUDWXUHRIGLVWLOODWLRQS «PPRI+J
2EVHUYDWLRQ7DEOH
3DJH_
6U 9ROXPHRI 9ROXPHRI2UJDQLF 0ZWJPRO $YH0ZW
1R 'LVWLOODWHPO OLTXLGPO JPRO
&DOFXODWLRQ
:KHUHǒ$DQG9$DQGǒ%DQG9%DUHGHQVLWLHVDQGYROXPHVRIZDWHUDQG
DQ RUJDQLF OLTXLG UHVSHFWLYHO\ 6XEVWLWXWH WKH YDOXH RI S$ IURP WKH 7DEOH DQG
FDOFXODWH0
5HVXOW
0ROHFXODUZHLJKWRIVDPSOH ««JPRO
3DJH_
&+$37(5²
3$57,$/02/$592/801(
,1752'8&7,21
3UHVVXUHYROXPHFRQFHQWUDWLRQDQGWHPSHUDWXUHDUHWKHUPRG\QDPLFRU
VWDWHYDULDEOHVZKLFKGHILQHWKHV\VWHPIXOO\7KHH[WHQVLYHVWDWHYDULDEOHVDUH
PDVV0YROXPH9QXPEHURIPROHVQHWFDQGWKHLQWHQVLYHVWDWHYDULDEOHVDUH
SUHVVXUH3WHPSHUDWXUH7FRQFHQWUDWLRQ&DQGPROHIUDFWLRQ;$Q\H[WHQVLYH
SURSHUW\ RI WKH V\VWHP LV D IXQFWLRQ RI WKH QXPEHU RI PROHV RI FRPSRQHQWV
WHPSHUDWXUHDQGSUHVVXUH7KHH[WHQVLYHSURSHUWLHVDUHQRWIXOO\DGGLWLYHZKHQ
SXUHFRPSRQHQWVDUHPL[HG
6SHFLILFYROXPH
7KH YROXPH RFFXSLHG E\ J RI D VXEVWDQFH DW D JLYHQ WHPSHUDWXUH DQG
SUHVVXUHLVNQRZQDVLWVVSHFLILFYROXPH7KHVSHFLILFYROXPHLVWKHUHFLSURFDORI
WKHGHQVLW\
«««
0RODUYROXPH
0RODUYROXPHLVGHILQHGDVWKHYROXPHRFFXSLHGE\PROHRIWKHVXEVWDQFH
DWDJLYHQWHPSHUDWXUHDQGSUHVVXUH7KHPRODUYROXPHLVJLYHQE\
«««
3DUWLDOPRODUYROXPH
7KHSDUWLDOPRODUYROXPHRIDVXEVWDQFHFDQEHGHILQHGDVWKHFKDQJHLQ
YROXPH ZKHQ PROH RI WKH VXEVWDQFH LV DGGHG WR D YHU\ ODUJH YROXPH RI WKH
PL[WXUH)RUDELQDU\V\VWHPWKHSDUWLDOPRODUYROXPHVRIERWKWKHFRPSRQHQWV
DUHJLYHQE\
«««
DQG
3DJH_
«««
7RWDOYROXPHRIWKHV\VWHPLVJLYHQE\
«««
6SHFLILFYROXPHRIWKHELQDU\PL[WXUHVDUHFDOFXODWHGIURPWKHGHQVLW\GDWD
DQGSORWWHGDJDLQVWFRPSRVLWLRQRIHLWKHURIWKHWZRFRPSRQHQWV3DUWLDOVSHFLILF
YROXPHV DUH GHWHUPLQHG E\ GUDZLQJ WDQJHQWV DW GLIIHUHQW FRPSRVLWLRQV 7KH
LQWHUFHSWVDWDQGRUGLQDWHVJLYHWKHSDUWLDOVSHFLILFYROXPHVRIWKHWZR
OLTXLGV HJ ZDWHU DQG HWKDQRO 3DUWLDO PRODU YROXPHV FDQ EH GHWHUPLQHG
DFFRUGLQJWR(QVDQG
«««
DQG
«««
([FHVVPRODUYROXPHVRIWKHELQDU\PL[WXUHVFDQEHGHWHUPLQHGIURPWKH
GHQVLW\RISXUHOLTXLGVDQGVROXWLRQVDFFRUGLQJWR(TQ
«««
7KH SORW RI ܸொ DJDLQVW ܺଶ JLYHV WKH LQIRUPDWLRQ RI DERXW WKH W\SHV RI
PROHFXODULQWHUDFWLRQVDQGFRPSRXQGIRUPDWLRQ
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHSDUWLDOPRODUYROXPHVDQGH[FHVVPRODUYROXPHVRIWKH
ELQDU\PL[WXUHVRIZDWHUHWKDQROV\VWHP
5HTXLUHPHQWV
$SSDUDWXV 6SHFLILF JUDYLW\ ERWWOH EDODQFH ZHLJKW ER[ PHDVXULQJ IODVNV
EXUHWWHVHWF
&KHPLFDOV'LVWLOOHGZDWHUHWKDQROPHWKDQROHWF
3URFHGXUH
3UHSDUHDVHULHVRIVROXWLRQVRIHWKDQRORINQRZQFRPSRVLWLRQV
ZZLQZDWHU'HWHUPLQHWKHGHQVLWLHVRISXUHOLTXLGVDQG
ELQDU\ PL[WXUHV E\ XVXDO PHWKRG &DOFXODWH PRODU IUDFWLRQV RI ERWK WKH
FRPSRQHQWV3ORWͳൗߩDQGܸொ DJDLQVWܺଶ
2EVHUYDWLRQV
7HPSHUDWXUH «R&
2EVHUYDWLRQ7DEOH
&DOFXODWLRQ
5HVXOWV
7KHSDUWLDOPRODUYROXPHRIDJLYHQFRPSRVLWLRQܸതଵ «DQGܸതଶ «
&RQFOXVLRQUHJDUGLQJܸொ
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHSDUWLDOPRODUYROXPHDQGWKHFRPSRVLWLRQRIWKHXQNQRZQ
PL[WXUHRIHWKDQROPHWKDQRODQGZDWHU
5HTXLUHPHQWV
$SSDUDWXV 6SHFLILF JUDYLW\ ERWWOH EDODQFH ZHLJKW ER[ PHDVXULQJ IODVNV
EXUHWWHVHWF
&KHPLFDOV'LVWLOOHGZDWHUHWKDQROPHWKDQROHWF
3URFHGXUH
3UHSDUH D VHULHV RI VROXWLRQV RI GLIIHUHQW FRPSRVLWLRQV XVLQJ ZDWHU DQG
HWKDQRO PHWKDQRO 0HDVXUH WKH GHQVLW\ RI HDFK VROXWLRQ 3ORW SDUWLDO PRODU
YROXPH DJDLQVW YROXPH IUDFWLRQ RI HWKDQROPHWKDQRO 8VLQJ FDOLEUDWLRQ FXUYH
GHWHUPLQHWKHFRPSRVLWLRQRIWKHPL[WXUH
2EVHUYDWLRQV
7HPSHUDWXUH «R&
2EVHUYDWLRQ7DEOH
5HVXOWV
7KHREVHUYHGFRPSRVLWLRQRIXQNQRZQPL[WXUH«««««
3DJH_
&+$37(5²
9,6&26,7<
,1752'8&7,21
7KHIRUFHRIIULFWLRQZKLFKRQHSDUWRIWKHOLTXLGRIIHUVWRDQRWKHUSDUWRI
WKH OLTXLG LV FDOOHG YLVFRVLW\ )RU PHDVXULQJ WKH YLVFRVLW\ FRHIILFLHQW 2VWZDOG
YLVFRPHWHUPHWKRGLVXVHGZKLFKLVEDVHGRQ3RLVHXLOOH·VODZ$FFRUGLQJWRWKLV
ODZWKHUDWHRIIORZRIOLTXLGWKURXJKDFDSLOODU\WXEHKDYLQJYLVFRVLW\FRHIILFLHQW
KFDQEHH[SUHVVHGDV
«««
:KHUHLjLVDYLVFRVLW\FRHIILFLHQWLQSRLVHYLVDYROXPHRIOLTXLGVLQPOW
LVDWLPHWKURXJKFDSLOODU\LQVHFRQGULVDUDGLXVRIWKHFDSLOODU\LQFPOLVD
OHQJWK RI FDSLOODU\ LQ FP DQG S LV D K\GURVWDWLF SUHVVXUH RU GULYLQJ IRUFH LQ
G\QHVTFP
7KHUHFLSURFDORIWKHFRHIILFLHQWRIYLVFRVLW\LVNQRZQDVIOXLGLW\ሺ߮ሻ
«««
,QSUDFWLFHWKHYLVFRVLW\RIDJLYHQOLTXLGRUVROXWLRQLVPHDVXUHGUHODWLYH
WRDVWDQGDUGOLTXLGDWDJLYHQWHPSHUDWXUH*HQHUDOO\SXUHZDWHULVFRQVLGHUHG
DVDVWDQGDUGOLTXLGXQGHULGHQWLFDOFRQGLWLRQVDQGE\NQRZLQJWKHIORZWLPHV
DQGGHQVLWLHVRIDVWDQGDUGOLTXLGDQGDOLTXLGRUDVROXWLRQXQGHULQYHVWLJDWLRQ
WKHYLVFRVLW\RIXQNQRZQOLTXLGFDQEHGHWHUPLQHGDVIROORZV
«««
7KH6,XQLWRIYLVFRVLW\LVSDVFDO²VHFRQGZKLOH&*6XQLWLVWKHVDPH3RLVH
3,WLVPRUHFRPPRQO\H[SUHVVHGDVFHQWLSRLVHF3>F3 3DV@:DWHU
DW&KDVDYLVFRVLW\RIF3
3DJH_
7KHIDFWRUVHIIHFWRQWKHYLVFRVLW\
(IIHFWRI7HPSHUDWXUH
7KHWHPSHUDWXUHRIWKHOLTXLGIOXLGLQFUHDVHVLWVYLVFRVLW\GHFUHDVHV,QJDVHV
LWVRSSRVLWHWKHYLVFRVLW\RIWKHJDVHVIOXLGVLQFUHDVHVDVWKHWHPSHUDWXUHRIWKH
JDVLQFUHDVHV
0ROHFXODUZHLJKW
7KHPROHFXODUZHLJKWRIWKHOLTXLGLQFUHDVHVLWVYLVFRVLW\LQFUHDVHV
3UHVVXUH
:KHQ LQFUHDVH WKH SUHVVXUH RQ OLTXLGV WKH YLVFRVLW\ LQFUHDVHV EHFDXVH
LQFUHDVHWKHDWWUDFWLRQIRUFHEHWZHHQWKHPROHFXOHVRIOLTXLG
2VWZDOGYLVFRPHWHU
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHUHODWLYHYLVFRVLW\RIDJLYHQXQNQRZQOLTXLGZLWKUHVSHFW
WRZDWHUE\XVLQJDYLVFRPHWHU
5HTXLUHPHQWV
$SSDUDWXV2VWZDOGYLVFRPHWHUVSHFLILFJUDYLW\ERWWOHEDODQFHZHLJKWER[
PHDVXULQJIODVNVEXUHWWHVHWF
&KHPLFDOV'LVWLOOHGZDWHUHWKDQROPHWKDQROJO\FHULQHWF
3URFHGXUH
3ODFHDNQRZQYROXPHRIDWHVWOLTXLGLQDGU\DQGFOHDQYLVFRPHWHUDQG
FODPSYHUWLFDOO\LQDWKHUPRVWDWEDWK$OORZLWWRWKHUPDOHTXLOLEULXPIRUDERXW
PLQ$WWDFKDUXEEHUWXEHLQDYLVFRPHWHUWXEHDQGVXFNWKHOLTXLGDERYH
YLVFRPHWHUEXOEPDUNDQGDOORZGUDLQLQJWKHOLTXLG$VVRRQLWUHDFKWKHPDUN
VWDUWWKHVWRSZDWFKDQGVWRSLWDVVRRQDVLWLVORZHUPDUN1RWHGRZQWKHWLPH
UHSHDWWKHPHDVXUHPHQWDQGUHFRUGWKHPHDQYDOXH'HWHUPLQHWKHGHQVLW\RID
WHVWOLTXLGE\XVXDOPHWKRG
2EVHUYDWLRQV
7HPSHUDWXUHRIWKHH[SHULPHQW «&
9LVFRVLW\RIZDWHULj DWURRPWHPSHUDWXUH
'HQVLW\RIZDWHUG JFPDWURRPWHPSHUDWXUH
2EVHUYDWLRQ7DEOH
3DJH_
&DOFXODWLRQ
5HODWLYHYLVFRVLW\FDQEHFDOFXODWHGXVLQJJLYHQHTXDWLRQ
5HVXOWV
7KHUHODWLYHYLVFRVLW\RIJLYHQOLTXLG««««««««
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHUHODWLYHYLVFRVLW\DQGDEVROXWHYLVFRVLW\RISXUHOLTXLGVE\
XVLQJDYLVFRPHWHU
5HTXLUHPHQWV
$SSDUDWXV6WRSZDWFKYLVFRPHWHUDQGVSHFLILFJUDYLW\ERWWOH
&KHPLFDOV'LVWLOOHGZDWHU/LTXLG$%&DQG'
3URFHGXUH
3ODFHDNQRZQYROXPHRIDWHVWOLTXLGLQDGU\DQGFOHDQYLVFRPHWHUDQG
FODPSYHUWLFDOO\LQDWKHUPRVWDWEDWK$OORZLWWRWKHUPDOHTXLOLEULXPIRUDERXW
PLQ$WWDFKDUXEEHUWXEHLQDYLVFRPHWHUWXEHDQGVXFNWKHOLTXLGDERYH
YLVFRPHWHUEXOEPDUNDQGDOORZGUDLQLQJWKHOLTXLG$VVRRQLWUHDFKWKHPDUN
VWDUWWKHVWRSZDWFKDQGVWRSLWDVVRRQDVLWLVORZHUPDUN1RWHGRZQWKHWLPH
UHSHDWWKHPHDVXUHPHQWDQGUHFRUGWKHPHDQYDOXH'HWHUPLQHWKHGHQVLW\RID
WHVWOLTXLGE\XVXDOPHWKRG
2EVHUYDWLRQV
7HPSHUDWXUHRIWKHH[SHULPHQW «&
9LVFRVLW\RIZDWHULjZ DWURRPWHPSHUDWXUH
'HQVLW\RIZDWHUGZ JFPDWURRPWHPSHUDWXUH
:HLJKWRIHPSW\JUDYLW\ERWWOH: ««««
:HLJKWRIOLTXLG$:HLJKWRIHPSW\JUDYLW\ERWWOH: ««««
:HLJKWRIOLTXLG%:HLJKWRIHPSW\JUDYLW\ERWWOH: ««««
:HLJKWRIOLTXLG&:HLJKWRIHPSW\JUDYLW\ERWWOH: ««««
:HLJKWRIOLTXLG':HLJKWRIHPSW\JUDYLW\ERWWOH: ««««
:HLJKWRIZDWHU:HLJKWRIHPSW\JUDYLW\ERWWOH: ««««
3DJH_
2EVHUYDWLRQ7DEOH
$
%
&
'
+2
&DOFXODWLRQ
5HODWLYHYLVFRVLW\FDQEHFDOFXODWHGXVLQJJLYHQHTXDWLRQ
5HVXOWV
7KHUHODWLYHYLVFRVLW\RIJLYHQOLTXLG««««««««
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHUHODWLYHYLVFRVLW\DQGDEVROXWHYLVFRVLW\RIDQG
DTXHRXV VROXWLRQV RI JO\FHULQ DQG XQNQRZQ FRQFHQWUDWLRQ VROXWLRQ E\
XVLQJDYLVFRPHWHU
5HTXLUHPHQWV
$SSDUDWXV6WRSZDWFKYLVFRPHWHUDQGVSHFLILFJUDYLW\ERWWOH
&KHPLFDOV'LVWLOOHGZDWHUDQG*O\FHULQ
3URFHGXUH
3ODFHDNQRZQYROXPHRIDWHVWOLTXLGLQDGU\DQGFOHDQYLVFRPHWHUDQG
FODPSYHUWLFDOO\LQDWKHUPRVWDWEDWK$OORZLWWRWKHUPDOHTXLOLEULXPIRUDERXW
PLQ$WWDFKDUXEEHUWXEHLQDYLVFRPHWHUWXEHDQGVXFNWKHOLTXLGDERYH
YLVFRPHWHUEXOEPDUNDQGDOORZGUDLQLQJWKHOLTXLG$VVRRQLWUHDFKWKHPDUN
VWDUWWKHVWRSZDWFKDQGVWRSLWDVVRRQDVLWLVORZHUPDUN1RWHGRZQWKHWLPH
UHSHDWWKHPHDVXUHPHQWDQGUHFRUGWKHPHDQYDOXH'HWHUPLQHWKHGHQVLW\RID
WHVWOLTXLGE\XVXDOPHWKRG
2EVHUYDWLRQV
7HPSHUDWXUHRIWKHH[SHULPHQW «&
9LVFRVLW\RIZDWHULjZ DWURRPWHPSHUDWXUH
'HQVLW\RIZDWHUGZ JFPDWURRPWHPSHUDWXUH
:HLJKWRIHPSW\JUDYLW\ERWWOH: ««««
:HLJKWRIOLTXLG$:HLJKWRIHPSW\JUDYLW\ERWWOH: ««««
:HLJKWRIOLTXLG%:HLJKWRIHPSW\JUDYLW\ERWWOH: ««««
:HLJKWRIOLTXLG&:HLJKWRIHPSW\JUDYLW\ERWWOH: ««««
:HLJKWRIOLTXLG':HLJKWRIHPSW\JUDYLW\ERWWOH: ««««
:HLJKWRIZDWHU:HLJKWRIHPSW\JUDYLW\ERWWOH: ««««
3DJH_
2EVHUYDWLRQ7DEOH
8QNQRZQ
+2
&DOFXODWLRQ
6SHFLILFGHQVLW\RIOLTXLGFDQEHFDOFXODWHGXVLQJJLYHQHTXDWLRQ
$EVROXWHGHQVLW\RIOLTXLGFDQEHFDOFXODWHGXVLQJJLYHQHTXDWLRQ
5HODWLYHYLVFRVLW\FDQEHFDOFXODWHGXVLQJJLYHQHTXDWLRQ
$EVROXWHYLVFRVLW\FDQEHFDOFXODWHGXVLQJJLYHQHTXDWLRQ
3DJH_
*UDSK$EVROXWHYLVFRVLW\QZYV&RQFHQWUDWLRQ
$EVROXWH YLVFRVLW\QZ
&RQFHQWUDWLRQ
5HVXOWV
7KHUHODWLYHYLVFRVLW\RIJLYHQOLTXLGV««««««
7KHDEVROXWHYLVFRVLW\RIJLYHQOLTXLGV«««««
&RQFHQWUDWLRQRIXQNQRZQVROXWLRQ«««««
3DJH_
WKHLQGLYLGXDOGURSVRIWZROLTXLGVDUHNQRZQ7KLVPHWKRGRIGHWHUPLQDWLRQ
LVDOVR NQRZQ DV 'URS :HLJKW 0HWKRG $OWHUQDWLYHO\WKH VXUIDFH WHQVLRQ
FDQDOVREHGHWHUPLQHGXVLQJWKH'URS1XPEHUPHWKRG
,QWKHGURSQXPEHUPHWKRGWKHQXPEHURIGURSVIRUPHGE\HTXDOYROXPHV
RIWZROLTXLGLVFRXQWHG,IPDQGPLVWKHPDVVRIRQHGURSRIHDFKRIWKHOLTXLG
KDYLQJ GHQVLWLHV G DQG G UHVSHFWLYHO\ ,I Q DQG Q LV WKH QXPEHU RI GURSV
IRUPHGE\YROXPHRIWKHWZROLTXLGVWKHQWKHLUVXUIDFHWHQVLRQVDUHUHODWHGDV
««
:KHUHDŽLVDVXUIDFHWHQVLRQRIWHVWOLTXLGDŽLVDVXUIDFHWHQVLRQRIZDWHU
ǒ ǒDUHGHQVLWLHVRIWHVWOLTXLGDQGZDWHUDQGQDQGQDUHQXPEHURIGURSV
RIWHVWOLTXLGDQGZDWHU
2QHRIWKHOLTXLGLVZDWHULWVVXUIDFHWHQVLRQDQGGHQVLW\DUHNQRZQ7KHQ
VXUIDFHWHQVLRQRIWKHJLYHQOLTXLGFDQEHFDOFXODWHG
6WDODJPRPHWHU
3DUDFKRULVDTXDQWLW\GHILQHGDFFRUGLQJWRWKHIRUPXOD3 DŽ0G
ZKHUHDŽLVWKHIRXUWKURRWRIVXUIDFHWHQVLRQ0LVWKHPRODUPDVVDQGGLV
WKHGHQVLW\
3DJH_
(;3(5,0(17
$LP 7R GHWHUPLQH WKH VXUIDFH WHQVLRQ RI JLYHQ OLTXLG E\ GURS FRXQW PHWKRG
XVLQJVWDODJPRPHWHU
5HTXLUHPHQWV
$SSDUDWXV2VWZDOGYLVFRPHWHUVSHFLILFJUDYLW\ERWWOHEDODQFHZHLJKWER[
PHDVXULQJIODVNVEXUHWWHVHWF
&KHPLFDOV'LVWLOOHGZDWHUDFHWRQHHWKDQROWROXHQHHWF
3URFHGXUH
6WHS 7DNH D JUDYLW\ ERWWOH DQG FOHDQ LW ZLWK GLVWLOOHG ZDWHU DQG GU\ LW ZHOO
:HLJKWWKHHPSW\JUDYLW\ERWWOHDQGQRWHWKHZHLJKWRILW7KHQZHLJKWLWDJDLQ
ZLWKOLTXLG()DQGGLVWLOOHGZDWHU)URPWKLVGDWDILQGWKHUHODWLYHDQGDEVROXWH
GHQVLW\RIOLTXLGV
6WHS7DNHDVWDODJPRPHWHUDQGFOHDQLWZLWKGLVWLOOHGZDWHUDQGGU\LWZHOO
3XWDPDUN$DWXSSHUSDUWRIEXEEOHDQG%DWORZHUSDUWRIEXEEOH$UUDQJHWKH
LQVWUXPHQWVWUDLJKWO\LQVWDQG7DNHJLYHQOLTXLGLQDVPDOOEHDNHUDQGVXFNXS
WRWKHXSSHUPDUN$ZLWKUXEEHUWXEH$GMXVWWKHOLTXLGXSWRPDUN$%HIRUH
VWDUWLQJDQH[SHULPHQWQRWHGRZQWKHQXPEHURIVFDOHIRURQHGURS7KHQVWDUW
WRFRXQWWKHQXPEHURIGURSVXQWLOOLTXLGVUHDFKHVXSWRWKHORZHUHQG%5HSHDW
WKLVSURFHGXUHWKUHHWLPHVIRUHDFKOLTXLGVDQGFDOFXODWHVXUIDFHWHQVLRQRIHDFK
OLTXLGV
2EVHUYDWLRQV
([SHULPHQWDOWHPSHUDWXUH«««««&
3DJH_
2EVHUYDWLRQ7DEOH
'HQVLW\ 6XUIDFH
1RRIOLTXLGGURSVQ[
6U1R /LTXLGV WHQVLRQ
0HDQ
7ROXHQH Q7
(WKDQRO Q(
$FHWRQH Q$
+2 QZ
&DOFXODWLRQ
5HODWLYHYLVFRVLW\FDQEHFDOFXODWHGXVLQJJLYHQHTXDWLRQ
5HVXOWV
7KHVXUIDFHWHQVLRQRIJLYHQOLTXLGV««««««««
3DJH_
(;3(5,0(17
$LP7RGHWHUPLQHWKHVXUIDFHWHQVLRQDQGSDUDFKRUHYDOXHVRIJLYHQOLTXLGE\
GURSFRXQWPHWKRGXVLQJVWDODJPRPHWHU
5HTXLUHPHQWV
$SSDUDWXV2VWZDOGYLVFRPHWHUVSHFLILFJUDYLW\ERWWOHEDODQFHZHLJKWER[
PHDVXULQJIODVNVEXUHWWHVHWF
&KHPLFDOV'LVWLOOHGZDWHUDFHWRQHHWKDQROWROXHQHHWF
3URFHGXUH
6WHS 7DNH D JUDYLW\ ERWWOH DQG FOHDQ LW ZLWK GLVWLOOHG ZDWHU DQG GU\ LW ZHOO
:HLJKWWKHHPSW\JUDYLW\ERWWOHDQGQRWHWKHZHLJKWRILW7KHQZHLJKWLWDJDLQ
ZLWKOLTXLG()DQGGLVWLOOHGZDWHU)URPWKLVGDWDILQGWKHUHODWLYHDQGDEVROXWH
GHQVLW\RIOLTXLGV
6WHS7DNHDVWDODJPRPHWHUDQGFOHDQLWZLWKGLVWLOOHGZDWHUDQGGU\LWZHOO
3XWDPDUN$DWXSSHUSDUWRIEXEEOHDQG%DWORZHUSDUWRIEXEEOH$UUDQJHWKH
LQVWUXPHQWVWUDLJKWO\LQVWDQG7DNHJLYHQOLTXLGLQDVPDOOEHDNHUDQGVXFNXS
WRWKHXSSHU PDUN $ZLWKUXEEHUWXEH$GMXVWWKHOLTXLGXSWRPDUN$%HIRUH
VWDUWLQJDQH[SHULPHQWQRWHGRZQWKHQXPEHURIVFDOHIRURQHGURS7KHQVWDUW
WRFRXQWWKHQXPEHURIGURSVXQWLOOLTXLGVUHDFKHVXSWRWKHORZHUHQG%5HSHDW
WKLVSURFHGXUHWKUHHWLPHVIRUHDFKOLTXLGVDQGFDOFXODWHVXUIDFHWHQVLRQRIHDFK
OLTXLGV
2EVHUYDWLRQV
([SHULPHQWDOWHPSHUDWXUH«««««&
6XUIDFHWHQVLRQRIZDWHUDWURRPWHPSHUDWXUHnjZ G\QHFP
'HQVLW\RIZDWHUDWURRPWHPSHUDWXUHGZ
:HLJKWRIHPSW\JUDYLW\ERWWOH «««««««:JP
:HLJKWRIJUDYLW\ERWWOH:HLJKWRIOLTXLG( «««««««:JP
:HLJKWRIJUDYLW\ERWWOH:HLJKWRIOLTXLG) «««««««:JP
:HLJKWRIJUDYLW\ERWWOH:HLJKWRIOLTXLGZDWHU «««««««:JP
3DJH_
2EVHUYDWLRQ7DEOH
6SHFLILF $EVROXWH 6XUIDFH 0:W 3DUDFKRU
1RRIOLTXLG
'HQVLW\ GHQVLW\ 7HQVLRQ RIOLTXLG S
/LTXLGV GURSVQ[
G[ DŽ[ 0
0HDQ
7ROXHQH Q7
(WKDQRO Q(
$FHWRQH Q$
+2 QZ
&DOFXODWLRQ
6SHFLILFGHQVLW\RIOLTXLGFDQEHFDOFXODWHGXVLQJJLYHQHTXDWLRQ
$EVROXWHGHQVLW\RIOLTXLGFDQEHFDOFXODWHGXVLQJJLYHQHTXDWLRQ
6XUIDFHWHQVLRQFDQEHFDOFXODWHGXVLQJJLYHQHTXDWLRQ
$EVROXWHYLVFRVLW\FDQEHFDOFXODWHGXVLQJJLYHQHTXDWLRQ
5HVXOWV
7KHVXUIDFHWHQVLRQDQG3DUDFKRURIJLYHQOLTXLGV«««««
3DJH_
5()(5(1&(6
-6KULYHU 0*HRUJH´([SHULPHQWDO3K\VLFDO&KHPLVWU\µ7KH8QLYHUVLW\RI
$ODEDPDLQ+XQWVYLOOH
+ &URFNIRUG - 1RZHOO ´/DERUDWRU\ 0DQXDO RI 3K\VLFDO &KHPLVWU\µ -RKQ
:LOH\ 6RQV,QF1HZ<RUN
*0RKDQWD 30DQQD´3K\VLFDO3KDUPDF\3UDFWLFDO7H[Wµ3KDUPD0HG3UHV
+\GHUDEDG
( 3HDFRFN ² /RSH] ´3K\VLFDO &KHPLVWU\ $ SUDFWLFDO DSSURDFKµ :LOOLDPV
&ROOHJH:LOOLDPVWRZQ
3 3DUVDQLD ´3UDFWLFDO %RRN RI 3K\VLFDO &KHPLVWU\µ 6DXUDVKWUD 8QLYHUVLW\
5DMNRW
3DJH_
View publication stats