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  1. Give Russian equivalents for the following English words and phrases:

to enter into contracts

to sue

to be sued

to pay debts

to raise capital

to go out of business

to run a business

to employ people

to be responsible for

to share profits

to share liability to debts

to find property at risk

business entity

legal person

sole trader

stock exchange

minimum share capital

shares

listed shares

shareholders

in strict accordance with the law

  1. Word formation. Complete this table by filling in the correct forms.

Verb

Noun

trade

share

employer

hold

entrance

suit

limit

pay

list

risk

  1. Match the columns.

a.

  1. to enter into

  2. to pay

  3. to raise

  4. to go out of

  5. to run

  6. to employ

  7. to share

  8. to find

  1. liability to debts

  2. property at risk

  3. debts

  4. capital

  5. contracts

  6. business

  7. people

  8. profits

b.

  1. business

  2. legal

  3. sole

  4. stock

  5. share

  6. listed

  1. trader

  2. shares

  3. exchange

  4. capital

  5. entity

  6. person

  1. Fill in the gaps with prepositions if necessary.

  1. The state may exercise control ___ your business.

  2. A sole proprietor is subject ___ full personal responsibility ___ all his debts.

  3. If you are a sole proprietor you may engage ___ any type of business you choose.

  4. You are to comply ___ any laws that are applicable ___ the type of business you operate.

  5. You are entitled ___ all the profits the business makes.

  6. A sole owner is personally liable ___ all debts the business incurs.

  7. Partners may carry ___ almost any kind of business activity they wish.

  8. The Partnership Agreement sets ___ the duration of the partnership.

  9. If the company goes ___ ___ business, the responsibility of each shareholder is limited ___ the amount that they have contributed.

  1. Read the text and decide whether the statements are true (t) or false (f).

  1. If you are a sole proprietor, you are free from the government control.

  2. To start business a sole proprietor has to meet a lot of formal requirements.

  3. A sole proprietor risks his own money.

  4. A general partnership may be formed by at least two persons.

  5. Partnerships do not pay federal income tax.

  6. In a limited partnership the general partners have very limited rights in its management.

  7. In a limited liability company each member pays taxes individually.

  8. If a private limited company goes out of business, the liability of each shareholder does not exceed the amount that they have contributed.

  9. A public limited company can sell its shares only to its shareholders.

  10. A corporation is established by Acts of Parliament.

  11. The owners of a corporation are its investors.

  12. The shareholders play an active part in the day-to-day management of a corporation.