3. Give the Ukrainian equivalents of the following words and word combinations:

buying and selling	party-paid shares
a commodity exchange	penny shares
a stock exchange	an instalment
fluctuation	a preference share
a broker	a shareholder
a transaction	a fixed rate
a deal	low price
dealing	to earn a fixed income
securities	gilts
ordinary shares

3. Arrange the words in pairs of synonyms:

trade	to deal with
stocks	to be connected with
commerce	main
types	goods
shares	chief
kinds	commodities

5. Answer the following questions:

1. What is an exchange?

2. What two types of exchanges do you know?

3. What do you know about commodity and stock?

4. What is the difference between commodity and stock exchange?

5. What is a stock?

6. What types of shares do you know?

7. Can you explain the difference between ordinary and preference shares?

8. What is the difference between party-paid and penny shares?

9. Who issues gilts?

Unit 6. Accounting and bookkeeping

1. Read and memorize the following words and word combinations:

• accounting – бухгалтерський облік

• an accountant – бухгалтер

• an account – рахунок

• a financial position – фінансовий стан

• to record – записувати, реєструвати

• relevant financial data – відповідна фінансова інформація

• a financial statement – фінансовий звіт

• a stockholder – акціонер

• a tax – податок

• tax bodies – податкові органи

• a profit and loss account – рахунок доходів та витрат

• balance sheet – баланс

• cash – готівка

• revenue – дохід

• sales – збут, продаж

• costs – вартість, затрати

• overheads – накладні витрати

• appropriation – розподіл

• remains – залишки

• assets – активи

• fixed assets – основні засоби

• current assets – обіговий капітал

• liabilities – зобов’язання

• current liabilities – поточні зобов’язання

• long-term liabilities – довгострокові зобов’язання

• a share – акція

• a double-entry system – система подвійного запису

• bookkeeping – бухгалтерський облік

• a bookkeeper – рахівник

• receipts – одержання, прибуток

• disbursements – витрати, оплата

• a trial – перевірка

• to match – збігатись

2. Read, translate and retell the text.

Accounting is the recording, classifying, summarizing and interpreting of financial events and transactions to provide management and other interested parties the information they need to make better decisions.

Transactionsinclude buying and selling of goods and services, acquiring insurance, using supplies.

The aim of accounting is to show a financial condition of a company. It is an accounting department of a firm that records and measures all relevant financial data of its business activity.

There are the two types of records which are the most important ones. It is the income statement, on the one hand, and balance sheet, on the other hand.

Who are the users of accounting records? There is wide range of different users of these records or, as specialists often say financial reporting or financial statements. They are stockholders, present and potential investor and creditors management, independent analysts, banks, debtors, competitors, tax bodies, government.

Financial Statements are the central feature of accounting because they are the primary means of communicating important accounting information to users. They show business in financial terms.

The most important financial documents are:

1. Profit and Loss Accounts;

2. Balance Sheets;

3. Cash-flow Forecast.

Profit and loss accountsgive a “history” of a company’s finances during the previous year for some period. They have three sections.

1. Trading section.It shows the revenue from sales and the costs in producing those sales.

2. Profit and loss section.It shows the costs of general overheads such as administration and distribution.

3. Appropriation section.It shows how the received profit is distributed to shareholders and how much profit remains as reserves.

Balance sheets show the financial position of a company on a certain date. A balance sheet provides the so called “a shapshot” of a company’s wealth at a very given moment of time. It has three sections:

1. Assets (fixed and current);

2. Creditors (current and long-term liabilities);

3. Capital and Reserves (company’s issued share capital).

If money is often referred to as “the blood of business” and accounting is referred as “the eyes of accounting”.

The double-entry system of accounting requires that for each transaction there must be one or more accounts credited.

After all the rule requires that total debits must equal total credits.

Bookkeepers deal with taxes and cash flow which reflects business transactions of a company, such as sales and purchases, receipts and disbursements.

Bookkeepers are specialists who record business transactions and periodically do a trial to see if both sides of an account book mach.

Accountants analyse financial records and decide how to prevent them. It is a special art to prepare the relevant meaningful financial report from the given data. In short, accountants make financial information understandable for users.

The accountant also determines ways in which the business will grow in the future. They help to expand or reorganize the business.