Word Study

Ex.1. Give noun forms of the following verbs:

to depreciate – to measure –

to tax – to estimate –

to calculate – to assess –

to evaluate – to state –

to account – to record –

Ex.2. Complete the table.

Noun	Adjective	Verb	Meaning
		adjust
account
	payable
		transfer
profit
	expansible
finance
		manage
		accept
system
		require
	total
		estimate
		identify

Ex.3. Form all possible word combinations using the words of both columns and translate them into Russian.

1) accounting expenses

current transaction

cash account

debit records

capital report

financial business

budget information

profitable decision

total audit

excess expenditures

general balance

fraudulent receipt

income revenue

preliminary assets

2) income

account

depreciation profitability

balance expenditure

cost economic activity

inflow of capital

statement assets

analysis cash flows

manufacturing

owner’s equity

3) to account business

to adjust activities

to calculate for mistakes

to draw in records

to expand at money

to record to financial statements

to identify up trial balances

to keep with adjustments

to maintain economic information

to transfer current prices

Ex.4. Look at the terms in the left-hand column and find the correct synonyms or definitions in the right-hand column.

1) property a) assets equal liabilities plus owners' equity

2) equal b) provide information item by item

3) condition c) indicate by word or symbols

4) detail d) have the same value as

5) accounting equation e) a series of transactions, changes, or functions that bring about a particular result

6) monetary f) the existing circumstance

7) process g) anything owned by a person

8) express h) pertaining to money

Ex.5. Match the words given with the dictionary definitions which follow.

assets returns debtors ledgers creditor capital balance liabilities equities depreciation expenditure goodwill dividend auditor

1. The spending of money, on advertising for example.

2. A payment to shareholders when a company has made a profit.

3. Another name for ordinary shares.

4. The person who takes on the responsibility for checking a company's accounts.

5. Possessions which can be converted into cash.

6. Debts which will have to be paid either now or in the future.

7. The situation when the two sides of the accounts are equal.

8. The books of account showing how much we owe and are owed.

9. The proprietor's withdrawal of funds from the business.

10. People who owe us money.

11. The fall in the value of an asset as a result of waste or usage.

12. A person to whom we owe money.

13. Something which is valuable yet intangible.

14. Money received from sales.

Ex.6. Choose the best alternative to complete the sentence.

1. It's up to the accountant to … the various financial statements.

a) interpret b) intercept c) invent d) translate

2. The bookkeeper keeps a record of every financial …

a) action b) transaction c) entry d) transcription

3. By examining the balance … and other documents we were able to find out that the company was not doing as well as they claimed.

a) slip b) ledger c) account d) sheet

4. Do they have enough working … to keep trading?

a) capital b) expenses c) accounts d) currency

5. Such items as buildings and machinery are known as … assets.

a) current b) hidden c) fixed d) liquid

6. When business owners purchase large quantities of goods from a seller, they are usually entitled to a …

a) trade discount b) cash discount c)markdown d)dividend

7. The difference between the cost of an article and its selling price is …

a) profit b) markup c) expense d) margin

8. The form used to record daily transactions is called a …

a) ledger b) statement of operations c) balance sheet d) journal

9. Which one of the following records, in chronological order, all receipts and payments of money for a business?

a) cash book b) ledger c) balance sheet d) time card

10. Which one of the following is a financial record?

a) statement form b) dossier c) balance sheet d) time card

Ex.7. Choose the phrase A, B or C which best completes each sentence.

1. When a trader buys goods on credit he does not have to …

A) pay for them immediately.

B) pay for them until the end of the month.

c) pay for them.

2. The purpose of keeping accounts is to …

A) see how much has been spent.

B) find out why the business has lost money.

C) determine whether the business has made a profit or a loss.

3. The tax authorities want to know how much profit a business has made …

A) during the financial year.

B) in order to calculate any liability for tax.

C) since the business was set up.

4. A firm is said to be insolvent when it …

A) cannot meet its commitments.

B) is making losses.

C) is making profits.

5. By giving customers two months to pay for the goods they buy, the manufacturer is…

A) making it difficult for them.

B) giving them time to sell the goods they have to pay for them.

C) making sure they pay for them.

7. The people who owe money to the business are called …

A) creditors.

B) debtors.

C) suppliers.

Ex.8. The letters in the words on the right are in the wrong order. Rearrange them and put the word, with the letters in the correct order, into the gaps in the sentences. The first letter of each word is given.

1. Items which the business expects to keep for a year or more

are its f… assets. xidfe

2. Money used to operate a business on a day-to-day basis is

its w… capital. girwokn

3. The account which describes the trading activities of a

business over a (stated) period of time is the p… and loss

account. tforpi

4. A statement produced, usually at the end of a financial year,

showing the financial state of the business and including,

among other things, its assets and liabilities, is its b… sheet. nablaec

5. The financial condition of a company is reflected in

its financial s… msentatets

6. When the business began to expand, a second b… was

brought in to help keep the books. ekoperboker