Discussion

Memorize the word-combination to use them in the discussion:

to contribute cash, to raise funds, to spend time and money, to make a sound judgement, to file a registration statement, to collect a commission, to follow procedure, to exercise control, to cast votes on one’s behalf, to affect the outcome, to make an intelligent decision, to elect directors, to mail material.

1. Discuss the functions and the role of investment banks.

2. Compare the American securities market and the Russian one.

3. Explain the mechanism of control concentration in a big company.

4. Compare positions of the stockholders and the board of directors. What are their relations, if any?

Unit VI. Evaluating Performance of the Firm Glossary

to evaluate	оценивать
account	счёт (банковский)
accountant	бухгалтер
accounting	бухгалтерский учёт
balance sheet	балансовый отчёт
bill	счёт(к оплате)
excise	акциз, акционерный сбор, лицензия
income statement	отчёт о доходах
liabilities	денежные обязательства
assets and liabilities	актив и пассив
tax	налог
to record	записывать, фиксировать
permanence	неизменность, прочность, постоянство

1. Translate the word-combinations :

business firm, market value, retail trade, wholesale trade, revenue service, business tax, company reputation, cash assets, bank account, cash reduction, profits tax, unit cost, production-line economy, mass-production technique, income tax return, production-line basis, business opportunity .

2. Memorize the words. See how they are used in the texts:

income - доход, приход (за какой-либо период)

revenue - доход, источник дохода

revenues - доходные статьи

receipts - денежные поступления, выручка, доход

earnings - заработок, трудовой доход, доход, прибыль, поступления

3. Match the terms with the proper definitions:

a) asset b) liability c) owner’s equity d) balance sheet e) capital stock f) retained earnings g) revenues h) expenses i) income statement

j) current liability k) accounting

1. A financial statement that shows what a firms owns, what it owes, and what the owner’s equity is worth at a given point of time.

2. A claim held by someone against a firm’s assets.

A financial statement that summarizes revenues, expenses, and net profit or loss.

3. The original investment of the stockholder-owners.

4. The amount of resources used by a firm in the pursuit of revenues.

5. Whatever a firm, organization, or person owns that has a dollar value.

6. The amount of cash or accounts receivable a firm receives in payment from others over a period of time.

7. The amount of a firm’s assets minus the amount of its liabilities.

8. The profits the firm has plowed back into the firm.

9. A debt that will be paid off within a year of the balance sheet date.

10. The process of measuring, interpreting, and recording data that reflect the financial condition of a firm.