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Words and expressions

dramatically

эффектно, поразительно

fiscal systems

налоговая система

recoverable reserves

извлекаемые запасы

net-revenue-interest

доля чистого дохода

компании от общего

дохода по проекту

working-interest

процент участия

take title to

брать право

собственности на товар

wellhead

устье скважины

to pay in cash

платить наличными

to pay in kind

платить товаром

fee

плата

Exercise 9. Discuss the following points.

  1. Have you ever heard or read that a particular company has problems with revenue authorities? What company was it? What was the problem?

  2. Do all businesses in Russia pay taxes in full? Why do you think some of them try to avoid taxes? What should the authorities do with such companies? Do you know what the auditors deal with?

Auditors and their reports

Auditors are usually independent certified accountants who review the financial records of a company. These reviews are called audits. They are usually performed at fixed intervals - quarterly, semiannually or annually. Auditors are employed either regularly or on a part-time basis. Some large companies maintain a continuous internal audit by their own accounting departments. These auditors are called internal auditors.

Not so many years ago the presence of an auditor suggested that a company was having finacial difficulties or that irregularities had been discovered in the records.

Currently, however, outside audits are a normal and regular part of business practice. Auditor's see that current transactions are recordered promptly and completely. Their duty is to reduce the possibility of misappropriation, to identify mistakes or detect fraudulent transactions. Then they are usually requested to propose solutions for these problems.

Thus auditors review financial records and report to the management on the current state of the company's fiscal affairs in the form of Auditor's Report or Auditor's Opinion.

Words and expressions

auditors

accountant

quarterly

semiannually

internal auditor

irregularity

current transaction

misappropriation

fraudulent

аудитор

бухгалтер

по квартально

раз в полгода

внутренний аудитор

нарушение

текущие операции

незаконное

присвоение, растрата

обманный, мошеннический

Exercise 10. Answer the following questions.

  1. What do auditors do?

  2. Audits are planned actions, aren’t they?

  3. What did the presence of an auditor in a company suggest in the past?

  4. What is auditors’ duty?

  5. In what form do the auditors make their report?

  6. What is the difference between internal and independent auditors?

Exercise 11. Say if the statement are true or false.

  1. Auditors are usually chiefs of accounting departments.

  2. It is quite usual when an auditor comes to a company anytime he/she likes.

  3. Internal auditors are employees of the same company where they make audit.

  4. If auditors review the financial records of a company, it doesn’t mean that this company has some problems.

  5. Auditors are supposed to know how to solve financial problems.

Exercise 12. Read the text and find information on the following points.

  1. The names of the auditing and audited companies;

  2. The reason of Transneft’s changing its auditor;

  3. The names of the documents to be complied with while conducting audit;

  4. Characteristics of an emerging market.

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