Vocabulary

partnership – товарищество, партнерство

to form a partnership – организовать, создать партнерство

co-owner – совладелец

rights and duties – права и обязанности

agreement – соглашение, договор

amount – количество

to assume – принимать на себя, брать на себя

“silent partner” – пассивный партнер

to take part in something – принимать в кем-то участие

ownership – собственность

exempt from – освобожденный от

share of earnings – доля заработка

beyond – сверх, вне, свыше

major – главный, более важный

liable for – ответственный за

debt – долг

to bind upon – связывать, переплетаться с

to squander – расточать, проматывать

Say True or False

1. The rights and duties of a partnership are regulated by a legal agreement between the co-owners.

2. A “silent partner” takes part in the management, but does not invest money in the business.

3. The partnership is liable for most of the reporting that the government requires of corporations.

4. Individual partners are taxed on their share of earnings.

5. Decision making is shared.

6. A partner is not legally binding upon all the others.

7. The partnership remains a vital part of the overall business economy.

Choose the right answer

1. A partnership is ________.

a) a business formed for losses by two or more co-owners

b) a firm owned and operated by a single person

c) a business formed for profit by two or more co-owners

2. What specifies the amount of money each co-owners is investing?

1. the laws of the state

2. an agreement entered into by the co-owners

3. A “silent partner” is a co-owner ________.

a) who takes part in the management, but who does not invest money

b) qualified in production

c) who does not take part in the management, but who invests money in the business

4. Federal taxes are paid by individual partners on their ________.

a) share of earnings

b) share of losses

c) share of income

5. A major disadvantage of the partnership is that ________.

a) each partner assumes define rights and duties

b) decision-making is shared

c) each member is liable for all the debts of the partnership

Complete the following sentences.

1. When a proprietor wants to expand a business, one way to do it is … .

2. The rights and duties of a partnership are regulated by laws of the state where …

3. A partnership agreement also may provide for a … .

4. The partnership has the advantage of … .

5. The partnership is exempt from … .

6. If one partner takes a large amount of money from the business and squanders it, … .

7. If partners have serious and constant disagreements, … .

8. The partnership remains … .

Answer the following questions.

1. What are advantages and disadvantages of a business partnership?

2. Compare a partnership with a sole proprietorship. What are principal similarities and differences?

3. Which form of business organization would you choose? Why?

Fill in the blanks using the vocabulary words.

A _____ implies that you will have a _____. You will share _____ and _____ with him. Usually an _____ specifies the _____ of money each is _____ and the duties each partner _____. Your _____ may not _____ in the _____ of the partnership, but can only invest his money in the business. One of the advantages of this form of business organization is that the partnership is _____ from reporting to the government. Federal taxes are paid by individual partners on their _____ _____ that the business is not taxed.

This test will help you to estimate your target orientations of earning a capital.

Test

A POTENTIAL MILLIONAIRE

One of the wealthiest people of the world is the sultan of Brunei. He is the owner of almost 14 billion dollars. The richest Australian is publisher Carl Cahage. He owns almost 2 billion dollars. Of course, the sultan did not earn this money himself. The main part of it was inherited by him and earned by his subjects. Just the other way round, Cahage made his fortune himself. Probably you will be one of the next generation of wealth-holders and millionaires in the future.

Choose one of the suggested options.

1. Which is the easiest way to make money?

a) to work hard, be well-informed, risk and, of course, invest money in business

b) to hope to get your uncle’s inheritance

c) to make a career going step by step to a managing post or to try your hands at politics

2. Which character of Walt Disney makes you smile?

1. Donald Duck

2. Gusto Hans

3. Dogbert Duck

3. In your opinion which income can make the richest people of the world close a bargain?

a) from half a million to a million

b) up to 10 million

c) dozens of million and higher

4. Which of the statements do you agree to?

a) The more money you have the more pleasure you get

b) Money means power

c) Money causes much envy

5. Have you ever heard of the game called “A Fortunate letter”? You put a small sum into an envelope, look for a victim, who also pays and, at last, your investment comes back to you multiplied many times. Which part are you ready to play in it?

a) not to take part in it

b) to take part and also earn

c) to be the initiator of the game

6. Is it important for you to be mentioned in different newspapers and magazines?

1. I would be very glad

2. No

3. I am often mentioned in them anyway

7. How can you win in races?

1. gamble with high stakes

2. save money and just be present at the races

3. buy a horse-winner

8. In your opinion, who has the highest chance to become a rich man quickly and reliably?

1. a director, an actor, a writer, an artist, a sportsman-record holder

2. a lawyer, a doctor, a politician

3. a head of a company, a publisher

9. What is your attitude to the business between friends?

1. I am ready to loan money to my friends. Some time they will also lend me

2. Money and friendship are incompatible

3. I am ready to borrow money from my friends but not to lend it

10. Be frank. If you managed to become a millionaire, would you enjoy this feeling?

1. Of course, I would enjoy it

2. I would demonstrate my enjoyment to everybody who did not trust me or looked at me haughtily

3. No

11. Where would you invest your millions?

1. in real estate, in an art collection

2. in shares or other securities

3. I would do as my wife/husband would say

12. If you already have a couple of million, are you going to try to earn more?

1. No, if we are speaking about a small sum. But I will never refuse to earn a big one

2. Of course

3. No, it is enough for me

1. a) – 6; b) – 0; c) – 3;

2. a) – 3; b) – 0; c) – 6;

3. a) – 0; b) – 3; c) – 6;

4. a) – 6; b) – 3; c) – 0;

5. a) – 3; b) – 0; c) – 6;

6. a) – 0; b) – 6; c) – 3;

7. a) – 0; b) – 3; c) – 6;

8. a) – 0; b) – 3; c) – 6;

9. a) – 3; b) – 6; c) – 0;

10. a) – 0; b) – 3; c) – 6;

11. a) – 3; b) – 6; c) – 0;

12. a) – 3; b) – 6; c) – 0.