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Федеральное государственное образовательное бюджетное

учреждение высшего образования


«ФИНАНСОВЫЙ УНИВЕРСИТЕТ ПРИ ПРАВИТЕЛЬСТВЕ
РОССИЙСКОЙ ФЕДЕРАЦИИ»
(Финансовый университет)
Департамент языковой подготовки

Дубинина Г.А.
Драчинская И.Ф.
Кондрахина Н.Г.
Петрова О.Н.

Методические рекомендации
для преподавателя
к учебнику
АНГЛИЙСКИЙ ЯЗЫК:
ЭКОНОМИКА И ФИНАНСЫ
ENVIRONMENT
Часть 3
(издание второе, исправленное и дополненное)

Москва 2016
УДК 81 (072) =111
М54
ББК 81.2 . Англ. М-54

Рецензенты: Артамонова К.А, к.э.н., доцент, зам. декана факультета «Учет и аудит»
(Финансовый университет)
Звягинцева Е.П., к.пед.н., доцент (Финансовый университет)

Дубинина Г.А., Драчинская И.Ф., Кондрахина, Н.Г., Петрова О.Н.

«Методические рекомендации для преподавателя к учебнику


«Английский язык: Экономика и финансы. Environment». Часть 3.
(издание второе, исправленное и дополненное). - М.: Финансовый
университет, 2016. – 115 с.
Методические рекомендации для преподавателя к учебнику
«Environment» - третьему тому серии учебников для студентов финансово-
экономического профиля - содержат подробные пояснения целей и задач
предлагаемой иноязычной учебной деятельности. Тематика разделов
посвящена рынку финансовых услуг; организационно-правовым
вопросам предпринимательской деятельности; бухучету и аудиту в
финансовой системе государства и системе управления предприятием;
страховому рынку, защите бизнеса и личных финансов. Авторы дают
поэтапные инструкции по организации таких активных форм обучения,
как анализ конкретной деловой ситуации, ролевая игра, парная работа,
работа в группах. Все разделы снабжены ключами к упражнениям.
Учебное издание
Дубинина Галина Алексеевна
Драчинская Ирина Фёдоровна
Кондрахина Наталья Геннадиевна
Петрова Оксана Николаевна

«Методические рекомендации для преподавателя


к учебнику
«Английский язык: Экономика и финансы. Environment»
Часть 3

 Коллектив авторов, 2016


 Финуниверситет, 2016
Введение
"Английский язык: экономика и финансы» - это серия учебников, целью
которых является углубление и расширение языковых и экстралингвистических
знаний студентов в пределах тематики, предусмотренной базовой частью
дисциплины «Иностранный язык» для бакалавров финансово-экономического
профиля. Материалы учебника «Environment», третьей части серии, тематически
связаны с общими представлениями о рынке финансовых услуг;
организационно-правовых вопросах предпринимательской деятельности;
бухучете и аудите в финансовой системе государства и системе управления
предприятием; страховом рынке; защите бизнеса и личных финансов.
Методические рекомендации для преподавателя к учебнику
«Environment» содержат три раздела:
I. Общие рекомендации по работе с учебником
II. Методические рекомендации по использованию каждого вида заданий
III. Ключи к упражнениям
Авторы выражают глубокую признательность преподавателям Финансового
университета, принимавшим участие в апробации учебника в рамках
программы Института повышения квалификации преподавателей
«Методология и методика преподавания учебных дисциплин на иностранных
языках», выпускникам Финансового университета, преподавателям
Департамента языковой подготовки за помощь в отборе профессионально
значимых материалов.

I. Общие рекомендации по работе с учебником


Содержание учебника Environment интегрировано в профильный контекст
обучения и предоставляет возможность использования таких активных методов
обучения, как кейс - анализ; мультимедийные презентации с использованием
программы Power Point; ролевые игры и Интернет-поиск.
Учебник содержит три раздела (Unit), которые имеют единую структуру:
 Lead-in – вступительная часть.
 Language Input – словарь урока с примерами и переводом.
 Background Information – профессионально ориентированный текст, дающий
представление о проблематике одного из сегментов финансово-
экономической сферы.
 Comprehension - упражнения, способствующие точному пониманию текста и
оснащенные речевыми формулами.
 Speaking & Writing – упражнения, направленные на совершенствование
умения строить устную и письменную речь на английском языке по
тематике раздела, включая мультимедийную презентацию и Интернет-поиск.
 Skills Focus – профессионально ориентированные диалоги по тематике
раздела, предназначенные для развития навыков ведения диалога и
расширения терминологической базы.
 Reading for Cross-cultural Associations – тексты о межкультурных
особенностях взаимодействия в финансово-экономической сфере.
 Case-study & Role-play – комплексный анализ конкретных деловых ситуаций,
состоящих из кейс-анализа и ролевой игры по тематике раздела.
 Grammar Back up – грамматические упражнения и комментарий (неличные
формы глагола) на лексической основе материалов учебника.
 Topics for the Power Point presentations. Тематика презентаций c
применением программы Power Point.

Работа над структурными частями, направленными на развитие устной


подготовленной и неподготовленной речи проходит в хронологическом
порядке, кроме раздела Grammar Back up. Изучение грамматики рекомендуется
разделить на несколько частей и равномерно дополнять ими выполнение
заданий частей Comprehension, Speaking & Writing, Dialogue, Reading for Cross-
cultural Associations, Case-study & Role-play.

II. Методические рекомендации по использованию


каждого вида заданий
 Lead-in
Вступительная часть каждого раздела предназначена для антисипации
иноязычной деятельности в контексте данного раздела. Студенты под
руководством преподавателя прогнозируют перечень вопросов, которые
будут обсуждены в данном разделе. При прогнозировании происходит
развитие навыков неподготовленной речи студентов на английском языке.
 Language Input – словарь урока с примерами и переводом. Раздел 1.2
(2.2, 3.2) - это справочные материалы, предназначенные для
самостоятельной внеаудиторной работы. Студенты работают с этими
материалами автономно.

- -3
Developing vocabulary. Изучение раздела начинается с работы над
частотными ошибками в произношении – студенты должны выписать
транскрипцию слов и словосочетаний из упражнения 1.2.1 (2.2.1, 3.2.1) и
научиться их правильно произносить. Преподаватель может
семантизировать эти лексические единицы, но на этом этапе не
рекомендуется переводить и проговаривать все словосочетания, - это будет
сделано в последующих упражнениях. Цель данного упражнения – научить
студентов работать со словарем и пользоваться транскрипцией. Упражнение
Matching 1.2.2. (2.2.2, 3.2.2) содержит выражения, перевод которых может
быть затруднительным для студентов, и предназначено для подготовки к
чтению, выборочному переводу и обсуждению текста 1.3.
 Background Information – профессионально ориентированный текст,
дающий представление о проблематике одного из сегментов финансово-
экономической сферы и упражнения, способствующие точному пониманию
текста и оснащенные речевыми формулами. Чтение, перевод текста и ответы
на вопросы к тексту из упражнения 1.4.1 (2.4.1, 3.4.1) предназначены для
самостоятельной внеаудиторной работы и составляют домашнее задание.
Приемы работы над текстом, обучение чтению могут по выбору
преподавателя различаться в группах разного уровня языковой подготовки.
Для групп с хорошей подготовкой работу над текстом можно начинать с
поискового чтения (Найдите в тексте ответ на вопрос из 1.4.1).
 Comprehension - упражнения, способствующие проверке понимания текста и
оснащенные речевыми формулами. На базе упражнений 1.4.2 – True & False
statements студент должен дать аргументированный комментарий не менее,
чем из 4-х фраз, показывая глубокое понимание текста и умение
аргументированно отстаивать свою позицию. (Это правильно потому, что
…/ это неправильно потому, что …). Преподавателю рекомендуется
сочетать различные приемы обучения чтению: чтение с общим охватом
содержания (просмотровое, ознакомительное); чтение с целью детального
понимания прочитанного (изучающее); чтение с целью извлечения
конкретной информации (поисковое).
 Speaking & Writing (1.5, 2.5, 3.5, 4.5) - это упражнения, направленные на
совершенствование умения строить устную и письменную речь на
английском языке по тематике раздела, включая мультимедийную
презентацию и Интернет-поиск. Упражнения сгруппированы по следующим
параметрам:
- Language focus – лексические упражнения, связанные с правильным
употреблением активного словаря в определенном контексте,
словообразованием; особое внимание уделено «ложным друзьям
переводчика».

- -4
- Skills focus - упражнения, обучающие выделению главной и
второстепенной информации, пониманию логических связей в тексте.
- Presenting information – обучение навыкам дискурса как в
подготовленной, так и неподготовленной речи, в том числе с применением
технологии мультимедийной презентации..
 Dialogue – профессионально ориентированные диалоги по тематике раздела,
предназначены для развития навыков ведения диалога и расширения
терминологической базы. На работу с каждым из диалогов отводится два
занятия. На первом занятии студенты под руководством преподавателя
анализируют содержание диалога, выделяя главную и второстепенную
информацию, пересказывают диалог в косвенной речи, отрабатывают
активный словарь (Task 1,2,3). Превалирует неподготовленная
монологическая речь. На втором занятии студенты представляют
подготовленный дома диалог или полилог с обязательным использованием
функциональной лексики (в учебном диалоге 1.6,2.6,3.6,4.6 дана курсивом),
вспомогательных материалов (Supporting Materals) и материалов,
полученным путем Интернет-поиска.
 Reading for Cross-cultural Associations – тексты о межкультурных
особенностях взаимодействия в финансово-экономической сфере.
Учебники Тексты для кросс-культурного сравнения не адаптированы и
предназначены для самостоятельной работы студента под руководством
преподавателя. Тексты содержат редко употребляемые слова и
словосочетания, в то числе идиоматические. Подготовка к обсуждению
текста в аудитории требует от студента способности собрать информацию
по частям из разных источников, обобщить и кратко изложить ее. Более
того, на материале раздела студенты получают социокультурные знания о
лингвистических маркерах социальных отношений и межкультурных
различиях, учатся избегать связанного с этим недопонимания и
конфликтных ситуаций. Преподавателю рекомендуется разделить студентов
на «группы жужжания» (buzz groups) или дискуссионные группы, каждая из
которых проведет кросс-культурное обсуждение определенных аспектов
предложенного текста. Тему обсуждения предлагает преподаватель. Как
правило, аппарат раздела снабжен перечнем тем для обсуждения; либо
словосочетаниями, которые дополняют информацию основного текста; либо
таблицей, позволяющей систематизировать и затем обсудить
представленную информацию.

 Case-study & Role-play – ролевая игра по тематике, соответствующей


учебно-познавательной и социально-культурной направленности
раздела.

 Кейс анализ: конкретные ситуации (кейсы) данного пособия имеют


подзаголовок Consumer skills (Азбука потребителя), так как относятся

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к повседневной жизни, в которой студенты являются, как правило,
потребителями товаров и услуг. Студенты начинают работу над кейсом с
самостоятельного ознакомительного чтения установочного текста. Текст
сопровождается заданиями, имеющими иноязычную речевую и
профессиональную направленность. На аудиторном этапе работы над текстом
кейса происходит совместное первичное обсуждение ситуации под
руководством преподавателя, и студенты получают задание продолжить
самостоятельное изучение кейса и собрать дополнительную информацию, в том
числе с использованием Интернет-ресурсов. Повторный, более глубокий анализ
кейса проходит на втором занятии с использованием технологии
мультимедийной презентации. Презентация выполняет функцию «наглядного
пособия» для публичного выступления, аргументированного высказывания или
дискуссии. Изучение каждого кейса завершается принятием решения или
выработкой рекомендаций по разрешению обсуждаемой ситуации. Решение
представляется индивидуально или группой студентов письменно в виде
протокола, служебной записки или отчета.
 Ролевая игра органично дополняет кейс анализ, так как дает
возможность студентам не только имитировать общение в предлагаемой
ситуации, но и привнести в действия персонажей свою точку зрения,
развернуть дискуссию, моделировать реальные ситуации. Именно в
ролевой игре формируются и вырабатываются навыки
установления контакта; правильного восприятия и оценки
партнера как личности; выработки стратегии и тактики
общения. Но каковой бы ни была фабула ролевой игры, для студентов важна
готовность к кооперации с коллегами, работе в коллективе, что невозможно без
развития социо-культурной компетенции обучаемых, необходимости
соблюдать нормы поведения и этикет. Ролевая игра - это очень важное
дополнение к кейс-анализу, так как именно в ролевой игре формируются и
вырабатываются навыки установления контакта; правильного восприятия и
оценки партнера как личности; выработки стратегии и тактики общения.
На этапе подготовки к ролевой игре преподаватель создает группы из
действующих лиц во главе с модератором. Модератор создает сценарий
ролевой игры в общих чертах (навигацию), не прописывая роли подробно с
репликами, а лишь определяя порядок реплицирования,1 модератор может
играть одну из ролей. При оценке ролевой игры работа модератора оценивается
дополнительными баллами. Модератор также может подготовить проект
решения, которое будет окончательно выработано в ходе ролевой игры.
Последовательность подготовки студента к ролевой игре:
Этап 1. Изучить описанную ситуацию.
Этап 2. Выбрать роль
1
Свойство, заключающееся в том, что говорение определенного собеседника чередуется с говорением другого
или других: 1) либо в порядке смены; 2) либо в порядке прерывания в эмоциональном диалоге . (Словарь
лингвистических терминов Т.В. Жеребило)

- -6
Этап 3. Подготовиться к реплицированию в рамках сценария ролевой игры,
используя активную лексику по теме, обязательную функциональную
лексику из текста ролевой игры, формулы речевого этикета. Power Point
презентация, как добавочный аргумент в дискуссии, или способ
представления решения, оценивается дополнительными баллами.
Этап 4. Завершающий. Предложить решение проблемы/вывод и представить
его в письменном виде, либо написать протокол, отчет, докладную или
служебную записку, либо статью.

 Grammar Back up – грамматические упражнения и комментарий


(модальные глаголы, пассивный залог глагола, местоимение,
согласование времен в косвенной речи) на лексической основе
материалов учебника.

Грамматический комментарий предназначен для самостоятельной


внеаудиторной работы. Студенты работают с этими материалами автономно.
Ознакомившись в ними вне аудитории, студенты самостоятельно выполняют
сопровождающие их упражнения На занятии при проверке упражнений
преподаватель просит объяснить выполнение задания, если это необходимо и
разъясняет сложные явления. Грамматические упражнения в процессе
иноязычной подготовки в нелингвистическом вузе носят функциональный
характер, не выходит за рамки школьной программы. Основная задача
учебника – научить студентов подъязыку специальности и профессиональной
коммуникации, при этом лексико-грамматическая корректность должна быть
достаточной для достижения этой цели.
В конце каждого раздела учебника имеются TOPICS FOR THE POWER
POINT PRESENTATIONS.

В начале работы над разделом рекомендуется предложить студентам этот


перечень с указанием дат, когда преподавателю необходима данная
презентация для дополнения к работе над содержанием текста, ролевой игрой,
диалогом, кейс-анализом, кросс-культурной информацией или
аудиоматериалом. Студенты выбирают тему презентации из этого списка по
желанию, более того, эти темы, как правило, представлены на устном экзамене
в разделе «Ситуативные задания по пройденной тематике». На занятиях
прослушиваются 2-3 презентации согласно календарному плану. Максимальная
оценка 10 баллов. См. прилагаемую схему 1.

Схема 1
ФИО Следование Структура Использование Манера Содержание Уровень Структура Итоговый
студента регламенту презентации функциональной презентации владения и балл
лексики и и языком содержание
активного организация слайдов

- -7
словаря обратной
связи с
аудиторией
Макс.
1 1 1 1 2 2 2 10
балл
1 Иван 9.00-
9.07
ов
И.А.
2

Длительность презентации не более 5 минут.


Количество слайдов – 7-10:
1. Титул
2. План
3. Основное содержание (3-5 слайдов)
4. Заключение
5. Контактная информация и /или ссылка на источники
Слайды содержат лишь схематическое изложение информации - наиболее
важные пункты / ключевые моменты презентации, связные предложения
допустимы только в исключительных случаях (цитирование).
На слайде помещается та информация, которую лектор написал бы на
доске, или демонстрировал бы с помощью наглядных пособий (таблиц,
диаграмм, и т.п.).
Не использовать анимацию и др. средства, способные отвлечь аудиторию от
содержания презентации.
Картинки и иллюстрации используются только, если они поясняются
лектором в ходе презентации.
Шрифт не менее 18 пунктов, желательно Times New Roman или Arial.
Для главной и второстепенной информации – шрифт разного размера.
Цвет шрифта и фона должен быть контрастным, используйте цвет для
выделения информации с осторожностью.
Предпочтителен светлый фон.
Графики и схемы должны содержать заголовки.
Слайды не должны содержать лексико-грамматических ошибок.
Пунктуация на слайдах сведена к минимуму.
Заключительный слайд содержит контактную информацию / либо ссылки на
источники (2-3 самых важных). Не рекомендуются разговорные формулы
(«Спасибо!», «Благодарю за внимание» и пр.)

- -8
III. Ключи к упражнениям

1 Environment of Global Finance


DEVELOPING VOCABULARY
1.2.1 Consult a dictionary and practise the pronunciation of the follo-
wing words and word combinations, quote the sentences in which
they are used in the text or submit the examples of your own:
an irrevocable letter of credit [ɪ'revəkəbl]
an associate [ə'səusɪət, -ʃɪət]
chamber of commerce ['ʧeɪmbə] ['kɔmɜːs]
cooperation in politics [kəuˌɔpə'reɪʃ(ə)n] ['pɔlətɪks]
cooperative [kəu'ɔp(ə)rətɪv]
crucial impact ['kruːʃ(ə)l] ['ɪmpækt]
deposits in foreign currencies [dɪ'pɔzɪt] ['fɔrɪn] ['kʌr(ə)n(t)sɪ]
distributor [dɪ'strɪbjutə]
emphasis ['emfəsɪs]
freight forwarder [freɪt] ['fɔːwədə]
haulage firms ['hɔːlɪʤ]
in monetary terms ['mʌnɪt(ə)rɪ]
maritime ['mærɪtaɪm]
real recital of facts and surmise [rɪ'saɪt(ə)l] [sə'maɪz]
the export of chemicals ['ekspɔːt] ['kemɪk(ə)l]
the import of merchandise ['ɪmpɔːt] ['mɜːʧ(ə)ndaɪz]
the subsequent profits ['sʌbsɪkwənt]
the surplus of petroleum ['sɜːpləs] [pə'trəulɪəm]
to accomplish [əkʌ̱mplɪʃ, AM əkɒ̱m-]
to be operative [ɒ̱pərətɪv]
to be reimbursed [ri͟ːɪmbɜ͟ː(r)s]

- -9
to be vulnerable to dangers [vʌ̱lnərəb(ə)l] [de͟ɪnʤə(r)]
to determine an excess [dɪtɜ͟ː(r)mɪn] [ɪk'ses, ek-]
to export the manufactured goods [ɪk'spɔːt, ek-] [ˌmænjə'fækʧədˌ
ˌmænju'fækʧəd]
to have the expertise [e̱ kspɜː(r)ti͟ːz]
to process raw materials2 ['prəuses] [rɔː]
to produce automobiles [prə'djuːs] ['ɔːtəmə(u)biːl]
to purchase insurance for the cargo’s voyage ['pəːtʃɪs] [ɪnʃʊ͟ərəns]
[kɑ͟ː(r)goʊ] [vɔ͟ɪɪʤ]
to record a debit [rɪ'kɔːd]
to set up a trading subsidiary [səb'sɪdɪ(ə)rɪ]
to transfer title to a middleman [træn(t)s'fɜː, trɑːn-] ['taɪtl]
to yield a profit [jiːld] ['prɔfɪt]
variables ['veərɪəblz]
variety of sources [və'raɪətɪ] [sɔːsiz]

Benelux ['be̱ nɪlʌks]


Brazil / Brazilian [brə'zɪl] [brə'zɪlɪən]
Carlisle [kɑː'laɪl]
China ['ʧaɪnə]
Chinese ['ʧaɪ'niːz]
Cleveland ['kliːvlənd]
Colombia [kə'lɔmbɪə] Колумбия - Republic of Colombia
Columbia [kə'lʌmbɪə] 1) Колумбия (название ряда городов США: в штатах
Южная Каролина, Коннектикут, Иллинойс, Мэриленд и др.)
2) Колумбия (река в США и Канаде, впадает в Тихий океан)
3) Колумбия, Земля Колумба (поэтическое название Америки)
France [frɑːn(t)s]
Germany ['ʤɜːmənɪ]
Greece [griːs]
Guatemala [ˌgwætə'mɑːlə]
Hong Kong [ˌhɔŋ'kɔŋ]
Japan [ʤə'pæn]
Japanese [ˌʤæp(ə)'niːz]
Lagos ['leɪgɔs]
Nigeria [naɪ'ʤɪərɪə] / Nigerian [naɪ'ʤɪərɪən]
Norway ['nɔːweɪ]
Ohio [əu'haɪəu]
Peru [pə'ruː]
2
[prə(u)'ses] - to move in a procession

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-
Scandinavia [ˌskændɪ'neɪvɪə]
Sweden ['swiːd(ə)n]
Swedish ['swiːdɪʃ]
Switzerland ['swɪts(ə)lənd]
Taiwan [ˌtaɪ'wɑːn]
Taiwanese [ˌtaɪwɑː'niːz]
Zaire [zaɪ'ɪə(r)ˌ zɑː'ɪə(r)]
Zurich ['z(j)uərɪk]
1.2.2 Match the English word combinations in the left-hand column with the Russian equivalents in the
right-hand column:

1. to accommodate a deficit in N устранить дефицит


the balance of payments платежного баланса
2. to be insufficient to cover H быть недостаточным для покрытия
further withdrawals дальнейших расходов
3. to assure somebody of the L уверить кого-либо в наличии
means to do something средств для совершения чего-либо
4. payment by bill of exchange V оплата переводным векселем
5. payment on open account Q оплата по открытому счету
6. to be prohibited from S иметь запрещение на что-либо или
something / doing something какое-либо действие
7. to process raw materials into B перерабатывать сырье в
manufactured goods промышленные товары
8. payment by irrevocable K оплата безотзывным аккредитивом
letter of credit
9. to be vulnerable to dangers D подвергаться опасностям
10. to diminish the cargo’s value M уменьшить объем / количество/
стоимость груза
11. VAT(value added tax) rates E ставки налога на добавленную
стоимость
12. to possess little in the way of O иметь мало товаров, пригодных для
exportable commodities экспорта
13. to accomplish something by A добиться чего-либо посредством
imposing tariffs введения пошлин
14. to pay the commissions and P выплачивать комиссионные
salaries вознаграждения и жалованье
15. payment on a cash with U наличный расчет при выдаче заказа
order basis
16. to earn fees for insuring F получать вознаграждение за страхование
other nations’ foreign trade внешней торговли других стран
17. to impose constraints C вводить ограничения, оказывать

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давление
18. to be balanced by an entry G быть уравновешенным
проводкой (сальдировать)
19. to determine a deficit or R установить дефицит или профицит
surplus (excess)
20. to eliminate advantages J потерять/уничтожить преимущества
21. to arrange for transportation I договориться о перевозке
22. OTC market T внебиржевой рынок
Scanning
1.4.2 Scan the text to determine whether these statements are true (T)
or false (F). With a partner, discuss why.
e.g. In my opinion it is true that/I’m afraid it is false that ..., because ...
1. If the country runs a trade deficit, net exports are negative, exports
(T) are less than imports, indicating that the country sells fewer goods
and services abroad than it buys from other countries.
2. As the price in any market serves the important role of coordinating
(T) buyers and sellers in that market, international prices help coordinate
the decisions of consumers and producers as they interact in world
markets.
3. The prudent exporter purchases insurance for his cargo’s voyage
(F) because the exporter who has purchased insurance pays less for his
cargo’s voyage.
4. If the exchange rate changes so that a dollar buys more foreign
(F) currency, that change is called a devaluation of the dollar.
5. An economy’s saving can be used either to finance investment at
(T) home or to buy assets abroad.
1.4.3 Scan the text and find the information to complete the following
lists:
1. Invisible trade involves the exchange of such services between nations,
as
A _insurance_______________________________________________
B _tourism_______________________________________________
C _transportation__________________________________________
D _immigrant remittances____________________
E _foreign workforce, commissions and fees_______

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1. Investments significantly affect a nation’s balance of payments,
because capital enters a country enabling it
A to act as a catalyst in economic growth
B to import manufactured goods and raw materials
C to build plants
D to produce goods for export once the plant is operative
E to provide jobs for the host country (job openings) / to pay workers
once the plant is operative
F to provide taxes for the host country once the plant is operative
1.4.4 Scan the text again and find the English equivalents for the
following (часть выражений в 1.4.5, поменять местами)
 перерабатывать сырье в промышленные товары process['prəuses]
raw materials into manufactured goods
 договориться о перевозке to arrange transportation
 производить на внутреннем рынке to produce domestically
 соответствующая прибыль subsequent profit
 подвергаться опасностям to be vulnerable to dangers
 оплата безотзывным аккредитивом payment by irrevocable letter of
credit
 вкратце, ... In a nutshell, ..
 короче говоря, … To cut a long story short, ...
 выплачивать комиссионное вознаграждение to pay commissions
 оплата переводным векселем payment by bill of exchange
 предусмотрительный экспортер prudent exporter
 получить возмещение to be reimbursed
 места (размещение, проживание) в отелях accomodation
 посмотрим на это с другой стороны Let’s look beneath the cabbage
leaf
 получить сравнительное преимущество to derive a comparative
advantage
 понести абсолютные убытки (потерять все) to suffer a complete
loss
 уверить кого-либо в наличии средств для совершения чего-либо
to assure somebody of the means to do something
 морской флот maritime fleet
 отрицательное сальдо торгового баланса unfavourable balance of
trade
 жалованье salary

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 уменьшить стоимость (количество, объем) груза to diminish the
value
 наличный расчет при выдаче заказа payment on a cash with order
basis
 получить вознаграждение за страхование внешней торговли
других стран to earn fees for insuring other nations’ foreign trade
 иметь мало товаров, пригодных для экспорта to possess little in the
way of exportable commodities
 экспортировать готовую продукцию to export the finished goods

1.5 SPEAKING & WRITING


Language focus
Word Building
1.5.1 a. Consult a dictionary and practise the pronunciation of the
following words and word combinations:
b. Fill in articles “a” or “the” wherever necessary.
1. The Chinese don’t like Japanese. That’s a matter of history.
2. The British have got richer, but not as fast as other countries.
3. Helped by increasing popularity of - English as an international
language and London’s position mid-way between the Asian and
American time zones, the British financial institutions seem more
dynamic than ever.
4. A Vietnamese is a native or inhabitant of Vietnam, or a person of -
Vietnamese descent.
5. - English is the most widely learnt second language.
6. The two most important minorities in the Philippines include the
Chinese and the Spaniards.
7. - English is the principal language of Great Britain, the US, Ireland,
Canada, Australia, New Zealand, and many other countries.
8. A large majority of - Danes speak - English as a second language.
9. As a foreign language, - Dutch is mainly taught in primary and
secondary schools in areas around the Netherlands.
10. the Japanese also improved public education and made it compulsory
for all residents of - Taiwan.
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-
11. After World War II, when - Japan lost, the Chinese of Taiwanese
origin persecuted, robbed and sometimes beat up the Japanese.
12. In - Finland as a whole - Swedish is one of the two "national"
languages, with the same official status as the Finnish language.
13. the Swiss provide money a safe, boring place where nothing dramatic
will happen to it.
14. The Bureau of the Census counts anyone - Indian who declares himself
or herself to be one.

c. Chose the correct variant.


Scandinavia/Scandinavian people, mainly Sweden/Swedes and
Norwegian/Norwegians, were both listed and sent over 10,000
immigrants each, with the presence of around 17,000 Danes/Danish.
Finns/Finnish and Estonians/Estonian were also present, especially in
the Southeast, and often forgotten Icelanders/Iceland and Faroese, were
pretty rare, but left descendants. The Baltic Region was also entirely
present, where Lithuanians/Lithuania composed the most numerous
group, with ~50,000 entrances, followed by Latvians/Latvia. Jews/
Jewish, mostly of Askhenazic origin, also arrived as around 48,000
Jewish/Jew citizens from several countries chose Brazil/Brazilian as their
destination.
Skills focus
1.5.2 a. Read the extract and fill in prepositions wherever necessary.
b. Discuss the text.
c. Give the text the appropriate heading.
_________________________________
Financial decisions in Britain are heavily influenced by what happens
overseas. The exchange rate of the pound, foreign interest rates, and the
view that outside investors take of Britain as a profitable place to park
their money all profoundly influence - decisions about saving and
investment by British people. It is important, however, to distinguish
between the impact on ordinary people and the impact on professional
investors who manage trillions (thousands of billions) of pounds in
pension funds, life insurance, and bonds on behalf of individuals. If I
find the interest rate on my house mortgage has gone up because German
interest rates have risen, there is little I can do, at least in the short run. I
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may be able to counteract the effect on my mortgage by shifting
savings into accounts which offer higher interest rates, and many British
people have become skilled at hunting down the banks which offer the
most favourable returns. In the long run, these innumerable individual
decisions can and do move markets.

1.5.3 a. Complete the text by using the following word combinations


from the box and fill in the grid.
b. Discuss the text.

A stock market G industrial country


B wealthy H collective investment
C invest heavily I goods
D savings J financial centre
E Fund managers K Insurance companies, pension funds
F assets L trading nation

…(1)… Fund managers can move markets immediately. Their power has
grown immensely. …(2)… Insurance companies, pension funds and
other types of …(3)… collective investment own at least 60 per cent of
the …(4)… stock market. British fund managers …(5)… invest heavily
overseas. About a quarter of pension fund …(6)… assets are abroad, a
much bigger proportion than for any other major …(7)… industrial
country. Partly this is historical. In the nineteenth century, when Britain
was an imperial power and the richest country in the world, the
increasingly …(8)… wealthy middle class invested in …(9)… savings
everywhere from Shanghai to San Francisco. It also reflects Britain’s
continued importance as a …(10)… trading nation, exporting more …
(11)… goods per head of population than most other countries. Above all,
London has survived Britain’s relative economic decline (the British have
got richer, but not as fast as other countries) and remained the world’s
most important international …(12)… financial centre.
1 2 3 4 5 6 7 8 9 10 11 12
E K H A C F G B D L I J

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1.5.4 a. Read the text, ignoring the missing parts.
…(1)… The Foreign Exchange market, where people buy and sell
foreign currency, also referred to as the “Forex” or “FX” market, …(2)…
is the largest financial market in the world, 30 times larger than the
combined volume of all US equity markets. Currencies are traded in pairs,
for example Euro/US Dollar (EUR/USD) or US Dollar/Japanese Yen
(USD/JPY).
…(3)… There are two reasons to buy and sell currencies. About 5%
of daily turnover is from companies and governments that buy or sell
products and services in a foreign country or must convert profits made in
foreign currencies into their domestic currency….(4)… The other 95% is
trading for profit, or speculation. For speculators, the best trading
opportunities are with the most commonly traded (and therefore most
liquid) currencies, called “the Majors”. …(5)… Today, more than 85%
of all daily transactions involve trading of the Majors, which include
the US Dollar, Japanese Yen, Euro, British Pound, Swiss Franc, Canadian
Dollar and Australian Dollar. Forex trading begins each day in Sydney,
and moves around the globe as the business day begins in each financial
center, first to Tokyo, London, and New York. …(6)… It’s a 24-hour
market, and investors can respond to currency fluctuations caused by
economic, social and political events at the time they occur – day or night.
…(7)… The FX market is considered an Over The Counter (OTC) or
“interbank” market, due to the fact that transactions are conducted
between two counterparts over the telephone or via an electronic network.

b. Look at the missing parts A-H and fit them in the gaps. There is one
extra you don’t need.

A The other 95% is trading for profit


B is the largest financial market in the world
C It’s a 24-hour market
D The Foreign Exchange market
E The FX market is considered an Over The Counter (OTC) or
“interbank” market
F Today, more than 85% of all daily transactions involve trading of the
Majors
G There are two reasons to buy and sell currencies
H Foreign money held by a government to support its own currency

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1 2 3 4 5 6 7
D B G A F C E

c. Find words or word combinations in the text that mean the following.

the Foreign Exchange market where people buy and sell foreign
market currencies
foreign currency money of another country
daily turnover number of times something is used or sold in a
period (e.g. a day); amount of sales of goods or
services by a company
profit money gained from a sale which is more than the
money spent
speculation deal which is it is hoped will produce a profit
counterpart someone that has the same job or purpose but in a
different country or organisation
equity another word for stocks and shares
currency fluctuations up and down movements of the exchange rate
an Over The Counter market in shares which are not listed on the
(OTC) or “interbank” official Stock Exchange, usually carried out by
market phone or using electronic means
via by way of
an electronic network set of computers which are connected to each
other and operate as part of the same system, able
to exchange information and messages

1.5.5

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-
Substitute the words and word combinations given in bold type by
synonyms or synonymous expressions from the active.
A
1. The basic components (key variables) that describe dealings
(interaction) in the world product and financial markets are exports,
imports, the trade balance, and exchange rates.
2. With a minimum of trade restrictions (barriers), international trade and
investment usually makes everyone more prosperous (better off).
3. Surveyors (adjusters) take into account the lost value (depreciated), for
instance, if the value of the lorry has gone down because it is two years
old.
B
Economic activity began with a caveman, who was economically
self-sufficient. He did his own hunting, found his own shelter, and made
sure that he had the things that he needed (provided for his own needs).
As primitive populations grew and developed, the principle of division of
labour evolved. One person was more able to perform some activity than
another, and therefore each person concentrated on what he did best.
While one hunted, another fished. The hunter then traded his excess of
production or supply (surplus) to the fisherman, and thus each profited
(benefited) from the variety of diet.
In today’s complex economic world, neither individuals nor nations
are self-sufficient. Nations have utilized different economic resources;
people have developed different skills. This is the foundation of world
commerce (trade) and economic activity. As a result, international finance
and banking have evolved. For example, the United States is a major
purchaser (consumer) of coffee, yet it does not have the climate to grow
any of his own. Consequently, the United States must bring coffee into a
country from (import) countries (such as Brazil, Colombia, and
Guatemala) that grow coffee efficiently. On the other hand, the United
States has large industrial plants capable of producing an assortment (a
variety) of goods, such as chemicals and aeroplanes, which can be sold to
nations that need them. If nations counter traded (traded item for item),
such as one automobile for 10,000 bags of coffee, foreign trade would be
extremely cumbersome and limited (restrictive). But instead of barter
(countertrade), which is the trade of goods without an exchange of money,
the United States receives money in payment for what it sells. It pays for
Brazilian coffee with dollars, which Brazil can use to obtain in exchange
for payment (buy) wool from Australia, which in turn can buy textiles
from Great Britain, which can then buy tobacco from the United States.

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1.6 DIALOGUE 1
Read and translate the following dialogue:
Import and Export
Task 3. Say it in English (word combinations from Task 4 including):
• организовывать перевозку грузов по железной дороге arrange for the
goods to be shipped by rail
• я не очень разбираюсь в этом вопросе I’m not quite at subject.
• страховать транспортируемые товары to insure goods in transit
• к тому же, в дополнение Moreover,
• страховое свидетельство Certificate of Insurance Task 4
• безотзывный аккредитив irrevocable letter of credit
• коносамент Bill of Lading Task 4
• компания, страхующая экспортное кредитование export credit
insurance company
• сертификат происхождения товара Certificate of Origin
• транспортная морская накладная Sea Waybill
• расставим точки над "i" Let’s dot the “i”s and cross the “t”s
• экспедиционное агентство, организующее перевозки партий грузов
или перерабатывающее экспортно-импортные грузы -freight
forwarder
• налог на добавленную стоимость в разных странах разный VAT
rates vary from country to country.
• железнодорожное или автодорожное агентство - railway or road
haulage firm
• торгово-промышленная палата - chamber of commerce
 иметь опыт - have the expertise
• оплата с наличным расчетом при выдаче заказа - on a cash with order
basis
• экспедитор, агент по погрузке и отправке товаров freight forwarder
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• переводной вексель Bill of Exchange
• соответствовать принятой в мире международной торговой
терминологии - conform to the international standard Incoterms
• взимать таможенную пошлину и/или налог на добавленную
стоимость (НДС) - charge duty and/or VAT
• доставлять товары за границу -deliver goods across frontier
• условия поставки - terms of delivery
• указывать цены в твердой валюте "третьей страны"- to quote in a
third “hard” currency
• таможенник - customs officer
b. Match each group of Incoterms to the four paragraphs. Expand on them.

Group 1 - The E Term Paragraph _____D____


Group 2 - The F terms Paragraph ______A___
Group 3 - The C terms Paragraph ______B___
Group 4 - The D terms Paragraph _____C____
A
The seller arranges and pays for the pre-carriage in the country of export. The goods
are delivered to a carrier appointed by the buyer. The buyer arranges insurance
against damage to the goods in transit.
B
In this group the seller arranges and pays for the main contract of carriage. In some of
the terms the seller arranges insurance against damage to the goods in transit.
C
These terms maximize the seller’s cost and risk, as he has to make the goods
available at the agreed destination. The seller bears the costs and risks of bringing the
goods to the country of destination, and arranges and pays for insurance against
damage to the goods in transit.
D
Under this shipping term the seller makes the goods available for collection by the
buyer at the seller’s own premises. This term involves the least risk for, and requires
the least effort by, the seller, but should not be used where the buyer cannot carry out
export formalities.

Group 1 Under this shipping term the seller makes the goods
The E Term available for collection by the buyer at the seller’s own
premises. This term involves the least risk for, and requires
the least effort by, the seller, but should not be used where
the buyer cannot carry out export formalities.
Group 2 The seller arranges and pays for the pre-carriage in the
The F terms country of export. The goods are delivered to a carrier
appointed by the buyer. The buyer arranges insurance

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against damage to the goods in transit.
Group 3 In this group the seller arranges and pays for the main
The C terms contract of carriage. In some of the terms the seller arranges
insurance against damage to the goods in transit.
Group 4 These terms maximize the seller’s cost and risk, as he has to
The D terms make the goods available at the agreed destination. The
seller bears the costs and risks of bringing the goods to the
country of destination, and arranges and pays for insurance
against damage to the goods in transit.
DIALOGUE 2
Read and translate the following dialogue:

Trade Restrictions

Task 3. Say it in English:


 поощрять приобретение чего-либо (обуви) на внутреннем рынке -
encourage domestic (shoe) purchase / encourage people to buy
something produced in their own country
 фискальный тариф, фискальные пошлины – revenue tariffs
 расценка; пошлина; налог, которым облагают ввозимые в страну
товары на основе их стоимости или количества, - инструмент
государственной экономической политики (например, для защиты
внутреннего рынка)- tariff
 обеспечить занятость на внутреннем рынке труда – provide domestic
job protection (обеспечить защиту внутреннего рынка труда)
 протекционистский тариф - protective tariff
 собирать/занимать/добывать/получать деньги – raise money
 облагать тарифом в размере ... долларов с единицы какого-либо
товара - levy a tariff of $... per unit on something (a commodity)
 покрыть производственные расходы с помощью субсидии – to meet
the production costs through the subsidy
 соглашение между производителями или потребителями
одноименной продукции, предусматривающее взаимные
обязательства по соблюдению и поддержанию устанавливаемых

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цен на соответствующие виды продукции, согласованных квот
производства, разграничение основных районов сбыта и т.п. - cartel
 объединиться для обуздания конкуренции - band together to restrict
competition
 применять на какой-либо основе – to apply on a basis
 взыскивать/начислять за что-либо меньше, чем зарубежные
производители – to charge less than foreign producers for their
products
 В любом случае, я за ... . - At all events, I am all for …
 вводить норму, долю, квоту касательно чего-либо – impose a quota
 уменьшить общее количество производимых товаров и услуг -
reduce the total number of goods and services produced
 судя по тому, что я извлек из (содержания) лекции ... . - Judging by
what I’ve derived from
 выделить основные виды чего-либо – to single out the main types of
something
 предоставлять субсидию – to grant a subsidy
 получить в результате взаимную зависимость – to result in
interdependence
 Я понимаю, что вы имеете в виду. - I take your point.
 ограничить поставку и контролировать цену - to limit the supply and
control the price
 страдать от конкуренции (товаров) из-за рубежа – to suffer from
foreign competition
 наоборот – in reverse
 взаимно отменить тарифы/ налоги – eliminate tariffs among
themselves
 запретить импорт – to ban imports
 Вот уж не знаю. - Ask me another
 заключать в себе что-либо – to encompass
 подробное изложение фактов и предположений - a real recital of
facts and surmise
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 облагать товар налогом или пошлиной – to tax

1.8 CASE STUDY & ROLE PLAY


Case 1

1.8.3 Say it in English using the word combinations from both the
Case-study and Role-play sections:
 заработать что-либо в качестве комиссионного вознаграждения -
earn money through a commission
 заняться бартером – to be engaged in barter
 обеспечить прибыль с продажи – to ensure a return on sales
 посредник, действующий от лица к-л. – middleman, representing
smb.
 нехватка иностранной валюты (валютных ресурсов) – the lack of
foreign exchange
 развивающиеся страны (страны третьего мира) – third world
countries
 разрешение (этой проблемы) маловероятно из-за постоянных
проблем с кредитами – to have little solution because of chronic credit
problems
 торговый маклер – commodities broker
 счесть предложение смехотворным – to find something ludicrous
 выслать предварительный заказ – to send a tentative order
 производить станки и оборудование, разнообразные шестерни,
клапаны и подшипники - manufactur large and small machine tools
and parts, gears, valves, and bearings
 недопонимание – lack of understading

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 отказаться от сделки – to reject a deal
 зд. быть в отчаянном положении – to be desperate
 сделать что-либо, поразмыслив – on second thought
 связанный с чем-либо риск – risk involved
 объем продаж начал падать – sales had declined
 прислать спецификацию какого-либо товара вместе с образцами - to
send the specs (specifications) on a commodity together with some
samples
 начальник отдела внешних продаж – overseas sales manager
 перечень (смета, разбивка) того, что кто-либо хочет купить – a
tentative order for something
 учредить торговое представительство – to set up a trading subsidiary
 стоит принять что-либо для того, чтобы сделать что-либо – to be
worthwhile to accept something
 акцент в чьих-либо доводах – the point in somebody’s reasoning
 передать полномочия посреднику – to transfer title to a middleman

Case 2
1.8.5 Say it in English:
 плавающий валютный курс, уровень которого определяется на
рынке под воздействием спроса и предложения - floating exchange
rates
 возрасти по сравнению с другими валютами – to rise against other
major currencies
 добровольно согласиться на количественные ограничения на
импорт / экспорт товара в объеме ... в год – to agree to a voluntary
quota of … per year
 быть продленным еще на год – to be extended a year
 во время экономического спада - during the recession
 понизить стоимостную(ценовую) конкурентоспособность экспорта
– to decrease the cost competitiveness of exports
 практиковать демпинг (предлагать большое количество товара на
рынке по низким ценам) - to use dumping - selling a product in a
foreign country at a price lower than the cost in the home market
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 достичь самого низкого за последние 24 года уровня в 5,7 млн. – to
reach a 24-year low of 5.7 million
 составлять почти четверть чего-либо – to account for almost one-forth
of
 быть вытесненным из бизнеса - to be forced out of business

1.9 GRAMMAR BACK UP: The Infinitive

PRACTICE
Ask yourself these questions when checking the infinitives.
1. Is the verb followed by a full or bare Infinitive?
We often use the base form of a verb (go) as an infinitive. We call this
form the bare infinitive because we use it without to. It should be
distinguished from the to-infinitive, where we always use to in front of the
base form of the verb (to go). The most common use of the bare infinitive
is after modal verbs (He may/can/must go).
Exercise 1
Insert to before the infinitive where required. Translate the sentences
into Russian.
1. To succeed a corporation must - pay stockholders regular dividends.
2. Where would you - like to have your goods delivered?
3. You needn’t - say anything, just nod your head and the claim will - be
met.
4. Does the manager need to make decisions that maximize the returns?
5. A number of the problems need to be solved before any recovery can -
be achieved.
6. The insurance company ought to be able to meet your claim.
7. They ought to have asked my advice in order to avoid this disastrous
mistake.
8. Many different arrangements have to be made when nations trade with
each other.

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9. He appeared to have plenty of money, which was said to have been
gained in Latin America.
10. ”Harper and Grant Ltd“ was one of the first companies to open up a
new market in Abraca.
11. Why not - go up and give us an opinion about the value of the
damaged goods?
12. The view that outside investors take of Britain as a profitable place to
park their money influences decisions about investment.
13. I cannot but - think that we should cancel our order in this firm.
14. International prices help to coordinate the decisions of consumers and
producers as they interact in world markets.

Exercise 2
a. Complete these sentences so that they refer to other people.
Model: I don’t want to speak to the adjuster. I want Tom to speak to
him.
1. Coburn doesn’t expect to sell the shoes. It expects the commodity
specialist to sell them.
2. I don’t want to explain how to ensure the return on the sale. I’d like
an expert to do it.
3. You won’t listen to me. How many times do I have to ask you to do
it?
4. John McEnroe doesn’t want anyone to know about Garcia’s strange
idea. He’d hate anybody to know it .
5. I can’t draw up a special contract myself. I need a lawyer to do it .
6. We can’t provide funds to support this unexpected proposal. Perhaps
our partners can help us to do it .
b. Rewrite these sentences to begin with the words in italics.

Model: He’d like to remit some money to his “old country”.


He can’t afford it.
He can’t afford to remit some money.
1. The transport company must cover the loss to the property of Harper
& Grant. It intends to cover the loss.
2. He’ll send a tentative order for the gears. He’s offering to send it.

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3. He wants to rent space in the cargo compartment of a ship for one
voyage. He’s just applied to rent it .
4. Purchase insurance? I refuse to purchase it.
5. The exporter didn’t sell directly to a firm in his own country. He failed
to sell directly to a firm in his own country.
6. Can you inspect the damaged goods tomorrow? Can you manage to
inspect the damaged goods tomorrow?
7. Coburn Tool Corporation manufactures large and small machine tools
and parts, gears, valves, and bearings. It offers to supply large and
small machine tools and parts, gears, valves, and bearings.
8. He would suffer a complete loss. He couldn’t afford to suffer a
complete loss.

c. Supply suitable infinitive forms for the verbs given in brackets.

Model: Let’s buy Japaneese radios. (buy)


1. He made me clear up the mess. (to clear up)
2. John Martin thought that he had better try to find an agent to act for
Harper & Grant Ltd. (to try)
3. Mary would sooner starve than ask him for another penny. (to starve, to
ask)
4. “What makes you think that someone from the firm ought to go up and
give us an opinion of the damage?”(to think)
5. Sally is sure there’s nobody in the world she would rather work with or
have greater respect for. (to work, to have)
6. You had better change the way of life, Peter. (to change)
7. Do let’s go somewhere a little more forward-looking! Or I would rather
die! (to go, to die)
8. Don’t let Mr. Duncan leave so early. He is a very valuable customer.
(to leave).
9. What made you think that their quotations were reasonable? (to think)
10. I watched the customs officers examine (to examine) the airway bill
carefully.
11. The insurance broker saw his client’s face change (to change).
12. Ben had the secretary bring (to bring) him the insurance policy for
the load.
13. Let us consider (to consider) the responsibility of the carriers
because the damage is caused by negligence on the part of the driver.
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d. Rewrite these sentences in the passive voice.
1. He made me repeat the instructions. I was made to repeat the
instructions .
2. He saw the lorry begin to roll forward. The lorry was seen to begin to
roll forward.
3. The Chief Executive Officer reluctantly let me go on a leave. I was
reluctantly allowed to go on a leave.
4. We must send him a Dangerous Goods Note. He must be sent a
Dangerous Goods Note .
5. I advised him to ask for a Certificate of Insurance. He was advised to
ask for a Certificate of Insurance .
6. The bank robbers made the cashier show them how to open the safe.
The cashier was made to show them how to open the safe.
7. She saw the visitor fill in the application form. The visitor was seen to
fill in the application form.
8. The police made him sign a paper admitting his offence against the
regulations. He was made to sign a paper admitting his offence against
the regulations.
9. The Managing Director let the old craftsman make a mahogany desk for
the Minister’s personal use. The old craftsman was permitted to make a
mahogany desk for the Minister’s personal use.
e. Complete the sentences using an object +to-infinitive after the verbs.
Model 1: Take out an all-risks policy. My partner advised me to take
out an all-risks policy .
1. She didn’t advise our principals that the proceeds of our transfer had
been credited to the beneficiary’s account only on the 1st of July. You
didn’t tell her to advise our principals.
2. We work hard. Our instructor taught us to work hard .
3. The bank executed the payment. The beneficiary ordered the bank to
execute this payment.
4. You should not delay this payment. The manager has warned us not to
delay this payment.
5. Garcia wants to send a tentative order for gears. His experts advised
him to send a tentative order for gears .
6. Citizens can’t take more than a specified amount of money with them
when they travel abroad. The government forbids the citizens take more
than a specified amount of money with them when they travel abroad.

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7. Doreen’s score is high and she will go to Green Coats, one of the
principle schools in London. Her high score entitles her to go to Green
Coats.
8. The driver of the lorry neglected the regulations. The adjusters
acknowledged the driver to neglect the regulations .

Model 2: People know that he is an expert in risk analysis. People


know him to be an expert in risk analysis.
1. The insurance agents discovered (that) the claim was false. The
insurance agents discovered claims to be false.
2. Mr. Roberts imagines that the damage is caused by negligence on the
part of the driver. _ Mr. Roberts imagines the damage to be caused by
negligence on the part of the driver.
3. William Buckhurst believes that all goods are covered by a blanket
insurance policy. William Buckhurst believes all goods to be covered
by a blanket insurance policy .
4. H.G. found that the news concerning the hi-jacked lorry was too
discouraging. H.G. found the news concerning the hi-jacked lorry to
be too discouraging .
5. Everybody knows that Harper & Grant Ltd. is insured with a syndicate
of Lloyds underwriters. Everybody knows Harper & Grant Ltd. To be
insured with a syndicate of Lloyds underwriters .
6. He discovered that the invoice had been sent. He discovered the
invoice to have been sent.
7. She pretended that she knew next to nothing about a comprehensive
policy. She pretended herself to know next to nothing about a
comprehensive policy .
8. They hope that their firm will succeed. They hope their firm to
succeed .
Model 3: He claims that he is an expert in work study surveys. He
claims himself to be an expert in work study surveys.
9. I expect that I will hear from my suppliers soon. I expect myself to
hear from my suppliers soon .
10. He claimed that he had reduced the fees. He claimed himself to have
reduced the fees .
11. I arranged that I should do the accounts. I arranged myself to do the
accounts .
12. The inspection threatened that it would impose a penalty. _________ .
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13. We consider that we are experienced enough to meet the special
requirements. We consider ourselves to be experienced enough to
meet the special requirements .
f. Chose the correct variant.
1. I heard the partners had signed a mutually advantageous contract.
2. John noticed Sally was very pale and excited.
3. Kevin saw a new visitor enclose a statement with the letter.
4. I hear Peter reported on the expenditure against budget twice last
month but the Board still want him to do it again.
5. I felt something crawl on my back.
6. We feel this takeover bid threatens the future of our firm.
7. I see someone got away from prison this morning. It’s in today’s news.

3. Is the infinitive or the ing-form used after the verbs of perception?


Exercise 3
Join these pairs of sentences, deciding when to use a bare infinitive or
ing.
Model 1: Mr. Roberts was examining the furniture. Mr. Thorn saw him.
– Mr. Thorn saw him examining the furniture.
1. She was informing the beneficiaries. I heard her.
I heard her informing the beneficiaries .
2. The beneficiaries were instructing the bank manager. They were seen.
The beneficiaries were seen instructing the bank manager .
3. Mr. Roberts was reading the piece of paper stuck on the windscreen.
Mr. Thorn saw it.
Mr. Thorn saw Mr. Roberts reading the piece of paper stuck on the
windscreen.
4. A man in the transport café was asking what Andersons’ driver was
carrying. The barman heard that.
The barman heard a man in the transport café asking what Andersons’
driver was carrying.
5. The newcomer was looking through the catalogues very thoughtfully.
Elizabeth Corby noticed that.
Elizabeth noticed the newcomer looking through the catalogues very
thoughtfully.

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6. The operators were showing the new machines in operation. The visitors
of the exhibition watched it.
The visitors of the exhibition watched the operators showing the new
machines in operation
7. Christopher Thorn was making his comments about the confidential
file. Because of the noise in the room nobody heard that.
Nobody heard Christopher Thorn making his comments about the
confidential file.
Model 2: Mr. Roberts examined the furniture. Mr. Thorn saw him.
– Mr. Thorn saw him examine the furniture.
1. The customs officer examined the goods. We saw it.
We saw the customs officer examine the goods.
2 They discussed the invoice in question. I listened to them.
I listened to them discuss the invoice in question.
3. One of the clerks told a lie. Everybody heard it.
Everybody heard one of the clerks tell a lie.
4 Fenella made a lot of spelling mistakes in the letters. J.Martin noticed it.
John Martin noticed Fenella make a lot of spelling mistakes in the
letters.
5. The typist said the shipping documents were enclosed. She was heard.
The typist was heard to say the shipping documents were enclosed.
Model 3: The furniture was examined. Mr. Thorn watched it.
– Mr. Thorn watched the furniture examined.
1. The goods were loaded on the steamer. The ship owner saw it.
The ship owner saw the goods loaded on the steamer .
2. The workers packed the crates. I saw it.
I saw the crates packed by the worker.
3. The captain signed the Bill of Lading. The seller watched it.
The seller watched the Bill of Lading signed by the captain .

Model 3: Mr. Grant wanted John to comment on the amount spent.


- Mr. Grant asked John to comment on it.
- Mr. Grant asked for the commentary.
- Mr. Grant asked for the commentary to be made.

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1. The exporters wanted the beneficiary to draw the irrevocable letter of
credit.
The exporters asked the beneficiary to draw the irrevocable letter of credit.
The exporters asked for the irrevocable letter of credit.
The exporters asked for the irrevocable letter of credit to be drawn.
2. The seller required the buyer to deliver the gears on FOB terms.
The seller asked the buyer to deliver the gears on FOB terms.
The seller asked for the gears on FOB terms.
The seller asked for the gears to be delivered on FOB terms.
3. I’d like the contractor to provide materials as soon as possible.
4. We ordered the trainee to set the letter of inquiry.

4. What do we use after “have” + object?

Exercise 4

Use the bare infinitive or the -ing form after have in these sentences.

Model: Have him bring the complaints about unexecuted orders.(to


bring)
(We cause someone to do something for us)

1. Mr. Grant had his secretary interrupt the interview with the
unwilling customer. (to interrupt)
2. I won’t have anyone interfere in my business affairs. (to interfere)
3. I’ll have you know I’m a qualified accountant. (to know)
4. He had her believe they executed payment as per the debit-note to
her. (to believe)
5. When the United States encountered serious balance of payments
problems in the 1960s, the government had all the banks reduce the
number of loans they could extend abroad. (to reduce)
6. I would not have you think (to think), Mr. Thorn, that your insurers
need be liable for the damage.

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7. Don’t let’s have them reduce the quantity of subsidies. (to reduce)
Model: We have people complaining about unexecuted orders all
hours. (to complain)
(We speak about intended results or unintended consequences)

8. Greece and Norway have their large maritime fleets providing


transportation services. (to provide)
9. He is an excellent manager. He’ll have you operating without a loss
in no time. (to operate)
10. He had never had anything like that happening to him before. (to
happen)
11. If we do not reschedule the production line, we will have employees
failing to execute orders on time. (to fail)

5. What is Complex Subject and when do we use it?

Exercise 5
A. Complete the following sentences using a Complex Subject.
a) with the verb “ turn out “.
1. They hired him but he turned out to be quite unfit for it (to be quite unfit
for it).
2. We signed what we thought the profitable contract but it turned out to
gain no profit (to gain no profit).
3. The prudent exporter purchased insurance for his cargoe’s voyage,
because a cargo turned out to be vulnerable to many dangers (to be
vulnerable to many dangers).
b) with the verb “happen”.
1. The contractors happened to fail to deliver the goods on time (to fail
to deliver the goods on time).
2. The pro forma invoice happened to be the only solution to the
problem (to be the only solution to the problem)
3. They happened to pick the wrong person for the job (to pick the
wrong person for the job).

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B. Paraphrase the following using a Complex Subject with the verbs
in brackets.

1. The Annual Board Meeting will be attended by all the shareholders of


Harper & Grant Ltd. (to suppose). The Annual Board Meeting is
supposed to be attended by all the shareholders of Harper & Grant Ltd.
2. The company will have to hire more engineers and construction
supervisors in connection with the rush of urgent orders (to expect). The
company is expected to have to hire more engineers and construction
supervisors in connection with the rush of urgent orders.
3. Invisible trade involves the exchange of services between nations (to
know). Invisible trade is known to involve the exchange of services
between nations
4. Foreign trade occurs because a country often does not have enough of a
particular item to meet its needs (to believe). Foreign trade is believed to
occur because a country often does not have enough of a particular item
to meet its needs.

C. Translate the following. Sentences. Pay attention to the way the


Complex Subject is translated.

1. They are supposed to know these things. Полагают, что они знают
это.
2. Today Britain is unlikely to join EMU. В настоящее время
Великобритания вряд ли присоединится к Европейскому
валютному союзу.
3. Euro-scepticism seems to be related to the functioning of the EU
rather than to the idea as such. Евро скептицизм, как
представляется, связан с работой ЕС, а не идеей как таковой.
4. They were seen to load the filing cabinets. Видели как они грузят
картотечные шкафы.
5. The Senator was reported to be badly injured in the accident.
Сообщается, что сенатор был серьезно травмирован в
результате несчастного случая.
6. A week later the lorry was found abandoned. Спустя неделю
грузовик был найден брошенным.
7. He was reported to be preparing the yearly breakdown of overheads.
Сообщили, что он готовит квартальный отчет (разбивку по) о
накладных расходах.

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8. She was not expected to reply, but she did. Не ожидали, что она
ответит, но она это сделала.
9. I just happen to be passing, so I dropped in. Я просто случайно
проходил мимо и поэтому зашел.
10. The expenditure against budget is sure to be outrageous. Расходы
по сравнению с бюджетом точно чрезмерны.

REVISION
Exercise 1
Choose the only correct answer. Use the Complex Object and
Complex Subject.
1. During the winter, the Bahamas would like … large numbers of tourists
who spend money for hotel accommodation, meals, taxis, and so on.
(A) attract (C) to attract
(B) attracted (D) to be attracted
2. Tourism is known … another form of invisible trade.
(A) be (C) to have been
(B) being (D) to be
3. The railroads of the United States and South America are said … by
British capital.
(A) to have been build (C) have been built
(B) to have been built (D) to have been building
4. Peter made Ghristopher Thorn … to the Moorland Valley and … his
opinion of the damage.
(A) to go up … give (C) has gone … has given
(B) go up … give (D) go up …gives

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5. The Managing Director ordered … without further delay.
(A) to type the letter (C) the letter to be typed
(B) the letter being typed (D) the letter be typed
6. Mr. Morgan was made … that their firm had put “Harper & Grant Ltd
“ in a nice mess.
(A) to understand (C) to have understood
(B) understand (D) have understood
7. Have you heard the secretary … our partners?
(A) to phone (C) have phoned
(B) phone (D) phoned
8. Mr. Grant was heard … the way he had managed to salvage the lot of
office furniture.
(A) explain (C) explaining
(B) be explaining (D) to have been explaining
9. The goods are reported … since early morning.
(A) to have been examined (C) to be examined
(B) to have been examining (D) to be examining
10 Everybody heard his name … during the negotiations.
(A) to be mentioned (C) be mentioned
(B) mentioned (D) to have been mentioned
11. She seems … the letter already. She looks happy.
(A) to have been reading (C) to have read
(B) to be reading (D) to read
12. Hector Grant was heard … William Buckhurst to discuss the vital
problems concerning the missing lorry full of office furniture.
(A) summon (C) to summon
(B) to have summoned (D) have summoned
Exercise 2
Translate into English, using the Infinitive.
1. Первое, что надо сделать, - это проинформировать наших
страховых брокеров о краже грузовика как можно скорее. The first
thing to do is inform our insurance brokers about the high-jacking of
the lorry as soon as possible.
2. «Я не допущу, чтобы Вы понесли убытки по нашей вине.» I won’t
have you suffering a loss through the fault of ours.
3. Вот интересное предложение, которое можно принять. Here is an
interesting offer to be accepted.
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4. «Я предпочел бы скорее умереть, чем позволить нашей фирме
работать без страховки на все случаи жизни,»- вскричал Гектор.
I’d rather die than let our firm work without blanket insurance.
5. Мистер Грант обратился в транспортную компанию Андерсонс,
чтобы договориться о найме машин для перевозки партии
офисной мебели. Mr. Grant applied to the Andersons transport
company to hire cars for the delivery of the lot of office furniture.
6. Мистер Робертс имел достаточно опыта и знаний в области
страхового дела, чтобы обследовать поврежденный товар и
рекомендовать возместить ущерб в размере 75% от стоимости
страховки. Mr Roberts had enough experience and expertise in
insurance to inspect the damaged item and recommend to repay
damage in the amount of 75% of the cost of insurance.
7. Чтобы получить работу, Вам нужно отправить Ваше резюме
нескольким работодателям. To get the job, you have to send your CV
to several employers.
8. Мистер Бакхерст ожидал, что представитель фирмы оценщиков
выскажет свое мнение относительно стоимости ущерба,
нанесенного грузу. Mr Buckhurst expected the adjuster to give his
opinion about the value of the damage to the goods.
9. Кристофер Торн был не согласен с представителем компании
страховых оценщиков. Он хотел бы, чтобы компания выплатила
больше, чем 75% от стоимости страховки. Christopher Thorne did
not agree with the adjuster. He’d like the company to pay more than
75% of the cost of insurance.
10. Мы намеревались заказать эти товары, но не заказали. We
intended to order these goods but we didn’t.
11. Было трудно отказать в его просьбе пригласить независимого
оценщика для расследования происшествия. It was difficult to reject
his request to invite an independent adjuster to investigate accident.
12. Короче говоря, я не хотел оставаться в страховой компании, но
мне пришлось. To put it briefly, I didn’t want to stay at the insurance
company, but I had to.
Exercise 3
Translate into English, using Complex Object where possible.

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1. Я заставил стажера прочитать инструкцию еще раз, а затем
разрешил включить прибор. I made the trainee read the instruction
again and then allowed him to switch the device.
2. Поставщик хочет, чтобы груз был застрахован. The supplier wants
the cargo to be insured.
3. Я слышал, что представители наших фирм подписали
взаимовыгодное соглашение. I heard (that)the representatives of our
firms had signed the mutually advantageous agreement.
4. Мистер Мартин слышал, что его коллега уже докладывал
Мистеру Гранту о результатах своей командировки в Абраку. Mr.
Martin heard (that) his colleague had already reported to Mr. Grant
about the results of his business trip.
5. Он не слышал, как я постучал в дверь. He didn’t hear me knock on
the door.
6. Джон заметил, что Салли очень взволнована. Он ожидал, что
Салли объяснит, в чем дело. John noticed (that) Sally was very
excited. He expected Sally to explain what the matter was.
7. Никто не заметил, как водитель посадил в машину мужчину,
который явно не являлся работником транспортной компании
Андерсонс. Nobody noticed the driver give a lift to a man evidently
not belonging to the Anderson’s transport company.
8. Я слышал, что имя Джона Мартина упоминалось несколько раз
на заседании Совета Директоров. Я вел протокол заседания. At
the Board meeting I heard John Martin’ name mentioned several
times. I was drawing/drew the minutes of the meeting.
9. Покупатели видели, как ящики упаковали и погрузили на судно.
The buyers saw the boxes packed and loaded on the vessel.
10. Секретарь видела, что вошел новый посетитель, и ожидала, что
он представится. The secretary saw the new visitor come in and
expected him to introduce himself.
11. Мы рассчитываем на то, что Вы немедленно зафрахтуете судно и
купите страховой полис, покрывающий все риски. We count on
you to charter the ship and buy the blanket insurance policy.
12. Заказчики ожидают, что столы будут доставлены через три дня.
The buyers/ customers expect the tables to be delivered in three days.

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13. Управляющий разрешил менеджеру по продажам отправить
товары самолетом. The Managing Director allowed the sales
manager to send/dispatch the goods by plane/air.
14. Покупатели просили отгрузить товары первым судном. The
buyers asked for the goods to be shipped by the first vessel.
15. Я почувствовал, что кто-то дотронулся до моей руки. I felt
somebody touch my hand.
16. Управляющий директор приказал отгрузить товары без задержки.
The Managing Director ordered the goods to be sent without delay.
17. Гектор Грант приказал своему агенту застраховать партию
офисной мебели как можно скорее. Hector Grant ordered his agent
to insure the lot of office furniture as soon as possible.
18. Он приказал доставить каталоги немедленно. He ordered the
catalogues to be delivered immediately.
19. Слушатели чувствовали, что его рассказ был правдив. The liteners
felt (that) his story was true.
20. Я никому не позволю вмешиваться в мои дела. I won’t have
anybody interfering in my affaires. / I will not allow anyone to
interfere in my affairs/ / I will not let anyone interfere in my affairs.
21. Им позволили отослать деньги обратно родственникам. We were
allowed/permitted to send the money back to their relatives.
22. Нам не позволили подать жалобу. We were not allowed/permitted to
put in a claim.
23. Пусть производители потребуют, чтобы правительство
предоставило им субсидию для производства этого товара, т.к.
они страдают от конкуренции зарубежных соперников. Let the
manufacturers require the Government to provide them with the
subsidy for the production of these goods because they are suffering
from foreign competition.

Exercise 4
Translate the following sentences using the Complex Subject.

1. Отгрузочные документы, казалось, были в полном порядке.The


shipping documents seemed to be in full order.

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2. Вероятно, заказчики были недовольны качеством товара.
Customers were unlikely to be satisfied with the quality of the product.
3. Похоже на то, что смерть мистера Харпера вызовет серьезный
кризис в компании. Mr. Harper’s death is likely to cause a serious
crisis in the company.
4. Мистер Робертс и мистер Торн, кажется, не достигли соглашения
по вопросу оплаты страхового полиса. Mr. Roberts and Mr. Thorn do
not seem to have reached agreement on the subject of paying out the
insurance policy.
5. Вы, случайно, не знаете причину задержки платежа? Do you happen
to know the reason for the delay?
6. Случилось так, что два контейнера офисной мебели остались в
порту. Two containers with office furniture happened to be left in the
dock.
7. Говорят, что Гектор Грант возглавляет фирму “ Харпер и Грант “
уже много лет. Она занимается производством офисного
оборудования. Я случайно узнал, что они планируют выйти со
своей продукцией на новые рынки. Hector Grant is said to have
headed "Harper and Grant Ltd." for many years. It produces office
equipment. I happened to learn that they are planning enter new markets
with their goods.
9. Мистер Грант наверняка проверил репутацию страховой компании.
Сообщалось, что он оформил полис комбинированного
страхования. Он наверняка не отправит товар без страховки,
покрывающей все риски. Hector Grant is sure to have checked the
reputation of the insurance company. He is reported to have taken out
the comprehensive insurance policy. He is unlikely to dispatch the goods
without the all-risks policy.
10. Полагают, что фирма “Харпер и Грант” выдает выписку по счету
в конце отчетного периода (раз в месяц или раз в квартал) на
полную стоимость всех товаров, которыми занимается фирма.
"Harper and Grant Ltd.". Is believed to release the statement of
account at the end of the accounting period (once a month or once a
quarter) for the full insured value of the goods handled.

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11. Гектора Гранта вынудили позволить Бобу Хардиману работать до
его выхода на пенсию. Hector Grant was made to let Bob Hardiman
work till his pension.
12. Так как ущерб, нанесенный грузу, вызван халатностью водителя
транспортной компании Андерсонс, страховщики компании
Ллоидс, вероятно, не будут нести ответственность за убыток.
Lloyds underwriters are unlikely to be responsible (to be liable) for the
damage to the load, since it was caused by the negligence on behalf of
Anderson’s driver.
13. В конце концов, заказчиков заставили подтвердить дату платежа.
Finally, customers were forced to confirm the date of payment
14. Кажется, Ваша выписка по нашему счету от 25 августа не
соответствует нашим записям. You statement of account of August,
25 does not seem to comply with (correspond to)our records.
15. Наши партнёры наверняка подпишут контракт. Говорят, что они
согласились на скидку в 1,5%. Our partners are sure to sign the
contract. They are said to have agreed to the 1,5 % discount.

2 The Firm and Its Environment


DEVELOPING VOCABULARY
2.2.1 Consult a dictionary and practise the pronunciation of the
following words and word combinations, quote the sentences in
which they are used in the text or submit the examples of your own:
Articles of Association [əˌsəusɪ'eɪʃ(ə)n, -ʃɪeɪʃ(ə)n]
assets and liabilities ['æset] [ˌlaɪə'bɪlətɪ]
authority [ɔː'θɔrɪtɪ]
characteristics haracteristic [ˌkærəktə'rɪstɪks]
charter of incorporation ['ʧɑːtə] [ɪnˌkɔːp(ə)'reɪʃ(ə)n]
consequently ['kɔn(t)sɪkwəntlɪ]
contingency [kən'tɪnʤ(ə)n(t)sɪ]
detailed records ['diːteɪld] ['rekɔːdz]
dividend ['dɪvɪdend]
entrepreneur [ˌɔntrəprə'nɜː] амер. [ˌɑːntrəprə'nɜː]
entrepreneurship [ˌɔntrəprə'nɜːʃɪp]

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fiduciary [fɪ'djuːʃɪərɪ]
hierarchical [ˌhaɪə'rɑːkɪk((ə)l)]
high-geared company [gɪəd]
inventory ['ɪnv(ə)nt(ə)rɪ]
legal entity ['liːg(ə)l]
legislative ['leʤɪslətɪv]
legislature ['leʤɪsləʧə, -leɪʧə]
liability for debts [ˌlaɪə'bɪlətɪ] [dets]
margin ['mɑːʤɪn]
obsolete equipment ['ɔbs(ə)liːt] [ɪ'kwɪpmənt]
ownership transfer ['træn(t)sfɜː, 'trɑːn-]
profile of a company ['prəufaɪl] ['kʌmpənɪ]
sole proprietorship [prə'praɪətəʃɪp]
the case of bankruptcy ['bæŋkrʌptsɪ]
the gearing of the company ['gɪərɪŋ]
the registrar of companies [ˌreʤɪ'strɑː]
three-year tenure ['tenjuə]
to be sued [s(j)uːd]
venture capital institutions ['venʧə]
2.2.2 Match the English word combinations in the left-hand column with the Russian equivalents in the
right-hand column:

1. to be liable for the amount of R нести ответственность в пределах


capital somebody has invested инвестированного капитала
2. a sole proprietorship S единоличное владение (хозяйство)
3. to be taxed B облагаться налогом
4. to hire and fire workers J нанимать и увольнять служащих
5. the rate of return on stocks / C норма прибыли на акцию / облигацию
bonds
6. to be sued I выступать в качестве ответчика в суде
7. the assets of a company L имущество, активы, фонды, авуары,
капитал, ресурсы компании
8. venture capital institutions E организации, вкладывающие средства в
создание новых компаний, часто с
повышенным уровнем риска
9. to be fined G быть оштрафованным
10. general partnership H полное товарищество (с
неограниченной ответственностью)
11. the gap between payment due to D кассовый разрыв
suppliers and payment owed by
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customers
12. to replace obsolete equipment F заменить устаревшее оборудование
13. to raise the amount of money Q мобилизовать/добыть/занять
needed необходимую сумму денег
14. ownership transfer N передача собственности
15. limited liability T ограниченная ответственность
(акционера)
16. to keep detailed records P вести подробные учетные записи
17. high geared company K компания с высокой долей заемного
капитала (со значительными
долговыми обязательствами)
18. overdraft facility A возможность списания со счета большей
суммы, чем имевшийся к моменту
списания остаток средств
19. inventory M материально-производственные запасы;
опись имущества, инвентаризация:
20. to make capital gains O получить доход от прироста капитала
21. to obtain a charter of U получить сертификат об инкорпорации
incorporation (лицензию)

Scanning
2.4.1. Scan the text to determine whether these statements are
true (T) or false (F), and if they are false say why.
e.g. In my opinion it is true that ... / I’m afraid it is false that ... because ...
1. If the business has debts and one of the partners dies, the others are
(F) barely responsible for his debts.
2. Corporations Partnerships are easy to organize, decisions can be made
(F) quickly, profits are shared with only a few people, and the owners are
responsible for success or failure of the business.
3. If the corporation goes bankrupt or is sued, the stockholders lose the
(F) value of their stock. They are personally responsible for any money
the corporation owes.
4. Bonds Shares represent ownership in the corporation.
(F)
5. In corporations with many owners or stockholders the individual share
(T) of profits in the form of dividends is comparatively small.

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2.4.4 Match each of the phrases on the left with an appropriate
explanation on the right. Use the grid below:
1. company (UK) / C an organization operating to make a profit
corporation (US)
2. public company O a company whose shares are publicly available

3. private company A a company whose shares are not publicly


available
4. cooperative N a democratic firm owned by its workers
5. enterprise I a new commercial activity
6. government agency B an organization which is part of the state
organisation
7. limited company E a firm where shareholders’ liability is limited

8. offshore company M a firm based in a tax haven to avoid higher


taxation
9. minority interest K company in which another firm has less than a
50% interest
10. parent company D a company which owns another

11. partnership H two or more partners working together for


profit, without limited liability
12. subsidiary F firm owned by a parent company
(affiliate)
13. company accounts G documents showing income, expenditure, assets
and liabilities, sales records, etc.
14. fixed assets L items of value which are not easily changed into
cash but which the business needs.
15. current assets J cash items, or items that can easily be changed
into cash for the present financial year

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
C O A N I B E M K D H F G L J

2.4.5 There are five main types of legally constituted company. Tick
the correct characteristics for each business type, or write
“possibly” if the characteristic could apply. Give a brief
description of the companies:

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public private sole trader partnership co-
limited limited operative
company company

single possibly 
individual
owns a
company
two or more   
owners /
directors
quoted on 
stock
exchange
workers run 
the company
unlimited  
libility
limited   possibly
liability
owner is self-  possibly
employed

2.4.6 Scan the text again and find the English equivalents for the
following:
A.
1. оборотный капитал, оборотные фонды, оборотные средства
current assets
2. мобилизовать необходимую сумму денег to raise the amount of
money needed
3. устав акционерной компании Articles of Association
4. передача собственности ownership transfer
5. норма прибыли на акцию/ облигацию the rate of return on
stocks / bonds
6. единоличное владение (хозяйство) a sole proprietorship
7. нанимать и увольнять служащих to hire and fire workers
8. разрешенный к выпуску акционерный капитал authorized share
capital
9. организации, вкладывающие средства в создание новых
компаний, часто с повышенным уровнем риска venture capital
institutions
10. быть оштрафованным to be fined

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11. имущество, активы, фонды, капитал, ресурсы компании the
assets of a company
12. вести подробные учетные записи to keep detailed records
13. нести ответственность в пределах инвестированного капитала
to be liable for the amount of capital somebody has invested
14. полное товарищество (с неограниченной имущественной
ответственностью) general partnership
15. акционерная компания с ограниченной ответственностью
(США) - corporation
16. выступать в качестве ответчика в суде to be sued
17. часть прибыли компании, распределяемая среди акционеров -
dividend
18. ограниченная ответственность (акционера)-limited liability
19. получить сертификат об инкорпорации (лицензию)- to obtain a
charter of incorporation
B.
A private limited company (private joint stock company) in England can
have from two to fifty members (this figure does not include those who work
in it). A private company does not have to send accounting records to the
Registrar of companies (the Registrar), but every year it must state that it had
not offered its shares or bonds to the public. A private company is often a
family affair, whose capital was raised among the family members who, as a
consequence, own shares in the company. But the shares ownership may be
transferred to other people only with the consent of the Board of the
company. Of course, it's a big disadvantage for the holder of the shares of
private companies. Since each share has one vote, the holder must own at
least 51% of the shares, to get the majority of votes required for permission
to transfer shares to another person. Shares of the public limited company
(PLC) can be freely sold on the stock exchange or during private
negotiations.

2.5 PRACTICE

Language focus

2.5.1 d. Read the extract and fill in prepositions wherever


necessary.
e. Discuss the text.
f. Give the text the appropriate heading.
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_________________________________

To operate the business successfully, the manager needs to make


decisions that maximize the returns to the owners of the company. Such
decisions range from buying supplies from high-quality, low-cost
suppliers, to hiring the best available workers, to investing in the best
available projects.
The first form of equity is owner’s capital. This is the most exposed
form of capital since a return is received only after all other calls on a
company’s profits have been satisfied.
Then in an extreme case – bankruptcy – the owner’s equity will be
repaid only after everyone else, including employees, creditors, banks,
etc., has received what they are owed.
In successful times, the owners have a claim on all the net profit of the
company. They can go to other sources of equity finance: firstly, venture
capital (it is usually provided by venture firms interested in financing
high-growth companies). However, the provider usually demands a much
faster and higher rate of return than an owner would expect to form his
/her own capital. On the other hand, the venture capital company doesn’t
usually interfere in the running of the company.

2.5.2 a. Complete the text by using the following word combinations


from the box and fill in the grid.
b. Explain why, despite the technical and financial advantages of
large firms, there are so many small firms.
c. Make a list of advantages and disadvantages of small businesses in
relation to large firms.

A a small percentage J to be dominated by


B to stimulate the supply side of the economy K the division of labour
C on advantageous terms L encourage
D exploit economies of scale M the unemployed
E reduce N benefit
F share of the market O a low rate of interest
G amounts of capital P have access
H capital Q the cost advantage;
I employ

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Small businesses are managed by their owner(s) and have a relatively small
(1) … share of the market. Small manufacturing firms (2) … employ fewer
than 200 people. Large firms are typically incorporated (limited companies),
where ownership and management are separated. Large companies that (3) …
exploit economies of scale enjoy a cost advantage over small firms in the
same industry. In particular, large firms have access to the following
technical and financial economies.
Technical economies occur in the production of a good. As the firm expands,
there is greater scope for specialisation and (4)… the division of labour .
Large factories can employ specialist skilled workers to do the same job all
day with no time lost in changing tools or doing unfamiliar tasks. The
indivisibility of certain types of (5) capital means that many production
processes are impossible on a small scale. Large firms can (6) benefit by
linking production processes that would otherwise be car-ried out in separate
factories (a large manufacturer of shirts can (7) reduce transport costs by
combining the weaving and cutting of cotton under the same roof).
Financial economies allow large firms to raise capital (8) on advantageous
terms. Large firms are considered to be reliable and are therefore charged (9)
a low rate of interest and (10) have access to capital markets such as the stock
exchange. Selling shares is a relatively inexpensive method of raising large
(11) amounts of capital. Despite (12) the cost advantage to large firms of
producing in bulk, small businesses find a niche by providing specialized
products for small markets (e.g. hairdressing cannot easily achieve a large
scale of operation, and tends (13) to be dominated by small firms). An
irregular or limited demand for a product pre-vents mass production. Small
firms have the required flexibility and low over-heads. Often small firms
survive by accepting subcontracting work from large companies. In printing,
where fixed costs form only (14) a small percentage of total costs, low set-up
costs (15) encourage the development of small firms. Where the market for a
good is restricted and highly localized, small firms survive, e.g. village shops.
In an attempt (16) to stimulate the supply side of the economy the
government has introduced a number of schemes to help small firms to
survive: the Enterprise Allowance is a weekly sum paid to (17) the
unemployed while they are setting up their own businesses; the Business
Expansion Scheme provides relief against income tax to investors in
unquoted companies.

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17
f i d k h n e c o p g q j a l b m

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Skills focus
2.5.3 a. Read the text, ignoring the missing parts.
The greater the proportion of long-term debt, …(1) the more exposed
the company is in times of economic difficulty . This is connected with
making decisions about the gearing of the company.
When a company is said to be “high geared”, the level of borrowing is
high when compared to its ordinary share capital. A lowly-geared
company has borrowings which are relatively low. High gearing has the
effect of increasing a company’s profitability when the company’s trading
is expanding; if it slows down, …(2) then the high interest charges
associated with gearing will increase the rate of slowdown . There will
also be a drop in profits if working capital is raised without a
corresponding rise in production or margins.
We can distinguish between permanent and temporary working
capital. …(3) The former keeps the business flowing throughout the year,
while the latter is needed from time to time to take account of seasoned,
cyclical or unexpected fluctuations in the business. . The temporary
working capital is usually serviced from an overdraft facility.
Inventories (raw materials, work in progress and finished goods) are
part and parcel of working capital. …(4) If inventories are not well
managed there will be an enormous amount of excess working capital . It
is the job of financial manager to minimize the stocks of raw materials, the
level of the work in progress and the quantity of finished goods. His task is
also to see that generous credit terms are negotiated with suppliers but
minimal credit is offered to customers. …(5) It is often referred to as the
debtor side, because working capital is required to finance the gap between
payment due to suppliers and payment owed by customers . A balance
must be achieved between getting and giving good credit terms …(6) in
order to attract customers and maintain positive relationships on the one
hand, and minimizing cash outlay on the other hand .
Another thing is that adequate cash should always be available for
meeting the company’s day-to-day debts and …(7) there should always be
a reserve on hand to meet contingencies . The expected cash flows that
will result from potential investment projects should be measured
carefully.
b. Look at the missing parts A-H and fit them in the gaps. There is one extra you don’t need.

A The former keeps the business flowing throughout the year, while the
latter is needed from time to time to take account of seasoned, cyclical
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or unexpected fluctuations in the business.
B In the UK a public company raises its capital by inviting the public to
take up shares.
C there should always be a reserve on hand to meet contingencies
D the more exposed the company is in times of economic difficulty
E If inventories are not well managed there will be an enormous amount
of excess working capital
F in order to attract customers and maintain positive relationships on the
one hand, and minimizing cash outlay on the other hand
G then the high interest charges associated with gearing will increase the
rate of slowdown
H It is often referred to as the debtor side, because working capital is
required to finance the gap between payment due to suppliers and
payment owed by customers3

1 2 3 4 5 6 7
D G A E H F C
2.5.3 a. Read the text, ignoring the missing parts.
The greater the proportion of long-term debt, …(1)… the more
exposed the company is in times of economic difficulty. This is connected
with making decisions about the gearing of the company.
When a company is said to be “high geared”, the level of borrowing is
high when compared to its ordinary share capital. A lowly-geared
company has borrowings which are relatively low. High gearing has the
effect of increasing a company’s profitability when the company’s trading
is expanding; if it slows down, …(2)… then the high interest charges
associated with gearing will increase the rate of slowdown. There will also
be a drop in profits if working capital is raised without a corresponding
rise in production or margins.
We can distinguish between permanent and temporary working
capital. …(3)… The former keeps the business flowing throughout the
year, while the latter is needed from time to time to take account of
seasoned, cyclical or unexpected fluctuations in the business. The
temporary working capital is usually serviced from an overdraft facility.
Inventories (raw materials, work in progress and finished goods) are
part and parcel of working capital. …(4)… If inventories are not well
managed there will be an enormous amount of excess working capital.

3
Кассовый разрыв

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It is the job of financial manager to minimize the stocks of raw
materials, the level of the work in progress and the quantity of finished
goods. His task is also to see that generous credit terms are negotiated with
suppliers but minimal credit is offered to customers. …(5)… It is often
referred to as the debtor side, because working capital is required to
finance the gap between payment due to suppliers and payment owed by
customers.
A balance must be achieved between getting and giving good credit
terms …(6)… in order to attract customers and maintain positive
relationships on the one hand, and minimizing cash outlay on the other
hand.
Another thing is that adequate cash should always be available for
meeting the company’s day-to-day debts and …(7)… there should always
be a reserve on hand to meet contingencies.
The expected cash flows that will result from potential investment
projects should be measured carefully.

b. Look at the missing parts A-H and fit them in the gaps. There is one extra you don’t need.

A The former keeps the business flowing throughout the year, while the
latter is needed from time to time to take account of seasoned, cyclical
or unexpected fluctuations in the business.
B In the UK a public company raises its capital by inviting the public to
take up shares.
C there should always be a reserve on hand to meet contingencies
D the more exposed the company is in times of economic difficulty
E The former keeps the business flowing throughout the year, while the
latter is needed from time to time to take account of seasoned, cyclical
or unexpected fluctuations in the business.
F in order to attract customers and maintain positive relationships on the
one hand, and minimizing cash outlay on the other hand
G then the high interest charges associated with gearing will increase the
rate of slowdown
H It is often referred to as the debtor side, because working capital is
required to finance the gap between payment due to suppliers and
payment owed by customers

1 2 3 4 5 6 7
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D G A E H F C

с. Complete the chart and elaborate upon the uses of working capital:

Working capital
permanent a. temporary

fixed investments inventories debtors cash


assets
b. raw c. work in d. finished e. normal contingencies
materials progress goods requirements (abnormal
(day-to-day requirements)
debts)

WATCH OUT: translator's "false friends"


business – company – firm - enterprise
a. Change the expressions written in bold type by the synonyms from
the box if any.
A to hire help from outside E to promote growth
B to invest in capital resources F to contribute to something
C to enable somebody to do something G returns from
D to replace equipment H to cover the costs
A.: I think we can get down to the text right away.
B.: Very good. Let’s start. On the whole the text suits me quite well, but
there are some points I’d like to clarify.
A.: All right. Shall we go point by point then, in order to (1) to enable
(permit) you to clarify the matter?
B.: Yes, first comes the difference between the use of the words
“company”, “firm” and “enterprise”.
A.: Most business organisations in Britain and the USA are officially
called “companies”, for instance:
 He works for a company which does not (2) to hire help from
outside (employ outside workers).

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 He works for a firm that is (3) replacing equipment (restoring
tools) at the moment.
Mind that “company” occurs in conversation and informal writing but
“firm” is often used instead. “Firm” is preferable to “company” in any
style when followed by “of”, as in “the firm of L’Oreal”. However,
“firm” is not used as an alternative to “company” in all spheres.
B.: Could you be more specific, please?
A.: For example, “firm” is not used instead of “company” in “film /
television company”. Note also that neither firm nor company is used
of an organization which organizes air travel. This is “airline”.
B.: This does (4) contribute to (supply me with) understanding of the
term! Shall we go on?
A.: Certainly. “Enterprise” is not widely used in the sense of a business
organisation.
 His (5) returns from (rewards from) business are so small because
he has no enterprise4.
B.: But sometimes the meaning of it is “a business organisation”, or a
“business concern”.
A.: Exactly. And note the following economic terms: “private enterprise”,
“free enterprise”5.
 The Conservative Party (6) promotes growth of (supports) private
enterprise whereas the Labour Party favours nationalisation.
 The supporters of free enterprise very often (7) to invest in capital
resources put into the money or the property used to produce
consumer goods or services with the aim (8) to cover the costs (to
gain profits).
B.: May I suggest a break now?
A.: No objections.
2.6 DIALOGUE 1
Task 3. Say it in English:
1 bid (buying) price
цена покупателя (самая высокая цена, по которой
кто-л. из покупателей согласен купить предлагаемый
финансовый инструмент или другой актив; термин
обычно относится к биржевой торговле или к
продажам товаров с аукциона, но может относиться
и к любой другой торговой операции)
2 buy into the company купить долю компании
4
Предприимчивость.
5
Частное предпринимательство, свободное предпринимательство.
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3 call option опцион покупателя ["колл", на покупку] (право
купить определенный финансовый инструмент или
товар по оговоренной цене до истечения
оговоренного срока, предоставленное продавцом
опциона в обмен на полученную при продаже
опциона премию; конкретные условия зависят от
типа опционного контракта)
4 capital gains прирост капитала, прибыль на капитал, прирост
капитальной стоимости
5 dividend payments выплата дивидендов
6 equity or equities обыкновенная акция или обычные акции в
компаниях с ограниченной ответственностью; так
называются потому, что дает право на дивиденд, т.е.
чистые доходы предприятия, и право голоса на
собрании акционеров
7 face value, нарицательная цена, номинальная стоимость
nominal value
8 go bankrupt обанкротиться
9 initial outlay первоначальный платеж
10 listed or quoted котируемая компания (акции которой
companies зарегистрированы на фондовой бирже)
11 offer (selling) price запрашиваемая цена, цена продавца, цена предложе-
ния (минимальная цена, по которой производитель
или другой владелец товара, финансового инстру-
мента и т. п. хотел бы его продать (напр. цена
товара, предлагаемая биржевым брокером, либо
начальная цена, объявленная на аукционе, либо цена,
по которой осуществляется размещение нового
выпуска акций среди инвесторов и т. п.); термин
обычно встречается в биржевой торговле, но может
относиться к любой торговой операции)
12 perks дополнительные блага, привилегии, льготы; от perquisite
1) приработок, халтура, дополнительный [случайный]
доход the perquisites of wastage and leakage —
дополнительные доходы от усушки и утечки
2) "чаевые" They paid the man a shilling as his perquisites.
— Они дали этому человеку шиллинг на чай.
3) = perk
Among the president's perquisites were free use of a
company car and paid membership in a country club. —
Привилегиями президента компании были служебный
автомобиль и членство в загородном клубе.
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= benefit - . 1) преимущество, привилегия 2) польза,
благо 3) выгода, прибыль 4) пособие (страховое по
безработице, по болезни и т.п.) 5) пенсия
13 preference shares привилегированные акции, акции с фиксированным
or preferred stock дивидендом
14 option опцион (разновидность срочной сделки, которую
необязательно исполнять; обусловленное уплатой
премии право купить или продать ценные бумаги
(товар) по установленному курсу и в определенное
время (до определенного момента времени))
15 put option опцион продавца [на продажу], опцион "пут"
(контракт, дающий покупателю право (но не
обязанность) продать соответствующий финансовый
инструмент по оговоренной цене в течение
определенного времени в обмен на уплату премии;
покупаются инвесторами, которые верят в снижение
цен инструментов в основе опционов)
16 quote prices назначать цену; устанавливать расценки
17 securities ценные бумаги
18 share option привилегированное право служащего компании на
покупку акции компании по сниженной или
фиксированной цене
19 spread спред, спрэд, маржа
а) (разница между ценами покупки и продажи ценных
бумаг, валюты) Syn: margin , agio
б) (разница между ценами фьючерсных контрактов на
одном и том же рынке, но с разными сроками
исполнения) See: futures contract
в) (разница между ценами разных фьючерсных
контрактов, напр., превышение доходности
Казначейских векселей над доходностью Казначейских
облигаций) See: municipals-over-bonds spread , notes over
bonds spread , Treasuries over Eurodollars spread
г) (разница между доходностью ценных бумаг одного
итого же инвестиционного качества, но с разным сроком
погашения; напр., разница в 4 процентных пункта между
6% краткосрочными казначейскими векселями и 10%
долгосрочными казначейскими облигациями)
20 stock markets or фондовая биржа
stock exchanges
21 stockholder брит. акционер, владелец госуд. ценных бумаг;
shareholder амер. акционер; пайщик, владелец акции

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22 subscription right право [привилегия] подписки (преимущественное
право акционера на подписку на вновь эмитируемые
акции компании, выпускаемые с целью увеличения
ее капитала)
23 to come to grips заняться (чем-л.), приступить (к чему-л.) , взяться (за
with something что-л.)
24 to earn a return приносить прибыль
25 to find oneself in a попасть в затруднительное положение
real predicament
26 to issue shares выпускать (эмитировать) акции
27 to pay the going заплатить текущую (действующую) цену
price
28 to sell an entitlement продать документ, дающий право на долю в
to share in the profits прибылях
29 tradable derivative торгуемый финансовый инструмент (производная
ценная бумага, производный (финанс.) инструмент;
(финанс. инструмент, стоимость которого зависит от
цены базового актива, валюты или другого
финансового инструмента, напр., опцион, фьючерс)
30 warrant платежный документ , варрант (краткосрочное
долговое обязательство, выдаваемое гос.
учреждением; дает своему держателю право на
получение определенной суммы и обычно
подразумевает выплату процентного дохода)

DIALOGUE 2
Task 3. Say it in English:
1. "налет" (осуществляется в виде массированной скупки акций
компании-жертвы с целью получить контрольный пакет ее
акций) - raid
2. приобретение, аквизиция (приобретение контрольного пакета
акций компании) - aquisition
3. борьба за контроль над компанией с использованием
доверенностей на голосование на общем собрании – proxy fight
4. враждебное поглощение (попытка получить контроль над
компанией путем скупки ее акций на рынке против воли
руководства или ведущих акционеров этой компании) – hostile
takeover
5. заинтересованная сторона (любое лицо или группа лиц, имеющих
интерес в компании: акционеры, работники, пользователи
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отчетности, поставщики, клиенты, кредиторы, государство,
общественность и т. д.) - stakeholder
6. назначенная цена; объявленная цена; прокотированная цена –
quoted price
7. покупка (акций) осведомленным лицом; незаконные операции с
ценными бумагами на основе внутренней информации о
деятельности компании-эмитента – insider trading
8. предложение о поглощении (предложение о покупке
контрольного пакета акций, сделанное акционерам поглощаемой
компании другой компанией) /публичная офферта – takeover bid
9. слияние или объединение компаний – merger
10. компания-мишень - target company
11. "фирма-налетчик", компания, потенциально способная поглотить
другие компании. – raider
12. проголосовать за привлечение к руководству компанией нового
состава директоров - to vote into office a new team of directors
2.8 GRAMMAR BACK UP: The ing-Form & Past Participle
ANTICIPATION
Task 1
Translate the sentences into Russian paying attention to the function
of the ing-forms.
The ing-form as a subject.
1. Avoiding difficulties is not my method. – Избегать трудности – это
не мой метод.
2. It was no good chasing the insider trader. –Бесполезно было
пытаться поймать (гоняться за) инсайдера (лицо, имеющие
доступ к внутренней закрытой информации о корпорации)
3. It’s no use influencing the Board before the shareholders’ meeting. –
Бесполезно влиять на членов правления до заседания.
The ing-form as part of a predicate (to form continuous tenses).
1. The government gives a subsidy to the industry that is suffering
from foreign competition. – Правительство предоставляет
субсидию той отрасли промышленности, которая страдает от
иностранной конкуренции.

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2. The terms of payment depend on the countries between which the
trade is taking place. – Условия оплаты зависят от того, между
какими странами происходит торговля.
The ing-form as an attribute.
1. If the call you receive is a direct incoming call you state the name of
your company. – Если принятый вами вызов – это прямой
входящий звонок, вы называете имя своей компании.
2. They won a convincing margin. – Они добились убедительного
преимущества.
3. The terms of delivery depend on the kinds of goods being traded. –
Условия поставки зависят от того, какими товарами торгуют.
4. A nation must at all times combine devaluation with other effective
measures to balance its economy, resulting in a reasonable level of
employment and low rate of inflation. – Во все времена страна
должна сочетать девальвацию с другими эффективными
способами поддержания экономики, чтобы достичь
приемлемого уровня занятости и низкого уровня инфляции.
5. The WTO has more than 130 members, accounting for 90% of
world trade. – ВТО насчитывает более 130 членов, на долю
которых приходится 90% мировой торговли
6. During 1982, the dollar rose against other major currencies to its
highest level since the beginning of floating exchange rates in 1973.
- В 1982 году доллар вырос по отношению к другим основным
валютам до своего самого высокого уровня с момента введения
плавающих обменных курсов в 1973 году.
The ing-form as an object.
1. The statistics used in determining a deficit or an excess are non-
perfect. - Статистические данные, используемые при
определении дефицита или избытка небезупречны (неидеальны).
2. They postponed giving a definite answer. – Они откладывали дачу
положительного ответа (тянули с положительным ответом).
The ing-form used as a part of Complex Object.
1. I saw him speaking to the manager. – Я видел как (что0 он говорит
с менеджером).

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2. I left him making printouts. – Когда я оставил его, онделал
распечатки.
3. If she catches you reading the quarterly breakdown of overheads,
she’ll be furious. – Если она застанет тебя за чтением
квартального отчета о наклажных расходах, она будет в ярости.
The ing-form used as an adverbial modifier of time.
1. While working so hard he still receives all profits. –Работая так
усердно, он тем-не-менее получает всю прибыль.
2. On arriving at the office he realized that the staff were upset. –По
прибытии в офис он понял, что сотрудники расстроены.
The ing-form used as an adverbial modifier of cause.
1. Considering the complexity of the problem, the decision was
reached at a rather early date. –Решение было достигнуто
довольно рано, учитывая сложность проблемы.
2. Having been persuaded by the Sales Manager, Hector Grant opened
up a new export Market in Abraca. – Вняв убеждениям менеджера
по продажам, Гектор Грант открыл новый рынок в Абраке.
3. Being invited to Hector Grant John Martin, Sales Manager, told him
about the chances of getting a large order in Abraca. – Будучи
приглашенным к Гектору Гранту, Джон Мартин, менеджер по
продажам, рассказал ему о шансах получить крупных заказ в
Абраке.
4. Having failed twice I was not at subject. – Поскольку я дважды
потерпел неудачу, я был не в теме (курсе).

The ing-form used as an adverbial modifier of manner or attending


circumstances.
1. McEnroe can make an extra profit on this deal, taking a small
commission on the sale of the shoes. – Беря небольшие
комиссионные, Макинроу может получить от сделки по продаже
обуви небольшую прибыль.
2. We wasted a whole afternoon trying to detail actual expenditure
against budget and the amount spent on travelling and entertainment.
– Мы потратили впустую всю вторую половину дня, пытаясь

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детализировать соотношение фактических и плановых расходов,
а также суммы, потраченные на поездки и развлечения.

The ing-form used as an adverbial participle phrase to express time.


1. Having bought a corporate bond, you have bought a portion of a
large loan, and your rights are those of a lender. – При покупке
корпоративных облигаций вы покупаете часть крупного займа,
и получаете права заимодавца.
2. Having increased sales by almost forty per cent John Martin has
had a very successful year. Увеличив продажи почти на 40%, у
Джона Мартина получил в результате очень успешный год.

Task 2
Translate the sentences into Russian paying attention to the function
of the Past Participle in the sentences.
The Past Participle as an attribute.
1. Protective tariffs make imported products more expensive and
encourage people to buy goods produced in their own country –
Протекционистские тарифы делают импортные товары более
дешевыми и побуждают население покупать товары,
произведенные в своей стране.
2. Exporters and importers often prefer the security of payment by
confirmed irrevocable letter of credit when dealing with unknown
firms in distant countries.- Экспортеры и импортеры часто
предпочитают безопасность оплаты подтвержденным
безотзывным аккредитивом, когда ведут дела в незнакомыми
фирмами в далеких странах.
3. The main reasons given were the large amount of work
commissioned by the Government. – Основными приведенными
причинами были большие объемы работ по заказу
Правительства.

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The Past Participle as part of a predicate (to form the perfect tenses and the
passive voice).
1. John Martin has received an enquiry from the Abracan government.
– Джон Мартин получил запрос от Правительства Абраки.
2. He has been asked to give a quotation to supply office furniture. –
Его попросили предоставить расценки на поставку офисной
мебели.
3. As he was convinced that it would be the largest single order in the
history of the firm, John Martin informed the boss about it. –
Поскольку он был убежден, что это будет крупнейший разовый
заказ в истории фирмы, Джон Мартин проинформировал об
этом шефа.

Task 3
Familiarize yourself with the text and fill in the following chart with
the italicized words from the text. Consult the Grammar notes below.
Translate the text into Russian. Supply it with the suitable title.
The death of Ambrose Harper, one of the two men who founded the
company Harper & Grant Ltd., causes a crisis in the firm. Harper & Grant
is a private company. It was started originally by Hector Grant's father and
the late Ambrose Harper together. A private company can be formed by
two or more people. They sign a Memorandum of Association, stating the
number of shares they agree to take, and their signature is followed by the
signatures of anyone else, often members of the family, who will also take
shares in the company. In a private company there cannot be more than
fifty members, or shareholders. The authorised capital of Harper & Grant
Ltd was originally 5,000, but the company has grown, and each 1 share is
now worth about 100. Each share carries a vote at a shareholders' meeting.
Wentworths, a large and successful firm who manufacture mattresses
for beds, own 10% of Harper & Grant shares. Mr. Wentworth senior was a
personal friend of Ambrose Harper. His firm now has an opportunity of
buying some of the shares formerly belonging to Harper. Hector Grant
wants to stop Wentworth getting as many shares as he owns himself for

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fear of upsetting the voting power at shareholders' meetings. If Wentworth
owned fifty-one per cent of the shares they would have a controlling
interest, and would be in a very good position to take over Harper & Grant
completely. This being done, it will become a fully owned subsidiary.
Hector Grant does not want Alfred Wentworth to own too many of the
shares. Having raised a loan, he buys enough of the shares to outvote A.
Wentworth. It is a personal loan. It is also a short-term loan. Obtaining a
loan he does not only have to pay back the money he borrowed, he also
has to pay interest on it: in this case nine per cent, this is the rate of
interest. The bank manager asked for security. He wanted to hold the deeds
of Grant's house. But a building society lent him money long ago to buy
the property, and every year he repays a proportion of the loan to them,
plus interest. By now, a lot of this loan has been paid back to the building
society. Probably for this reason the bank agreed to a second mortgage. If
Grant could not pay back the loan within the time limit his house would
have to be sold and the first mortgage paid up. Then the remainder would
go to the holder of the second mortgage, in this case, the bank. Very few
banks will give an unsecured loan, one without any security or guarantee
they will get their money back.
Hector Grant has been to hear the reading of Ambrose Harper's will.
Having been informed about the distribution of Ambrose Harper’s shares,
he summons his nephew Peter, the Production Manager, to talk things over.

The ing-Form
non-perfect perfect Past Participle
active passive active passive
doing being done having having been done
done done
stating being done Having Having been started
raised informed
belonging formed
buying followed
getting authorised
upsetting grown
voting paid
controlling sold
Obtaining paid
building unsecured
reading
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PRACTICE
Ask yourselves these questions when considering the -ing form.

1. When do we use the -ing form?


Exercise 1
Choose the correct form of the participles used as adjectives in the
following sentences.
1. Garcia is a middleman (represented / representing) a newly
independent country.
2. Explain the possible problems (associating / associated) with
countertrade.
3. It’s natural that Coburn will be reluctant to ship $400,000 worth of
gears without first having some assurance they will actually get
(paying / paid).
4. You will agree this is a most (encouraging / encouraged) proposal.
5. An export transaction usually requires a lot of (complicating
complicated) documentation.
6. The price (quoting / quoted) always indicates the terms of delivery.
7. Numerous (specializing / specialized) committees and (working /
worked) groups deal with the individual agreements and other areas.
8. If you are spelling a word to an English-(speaking / spoken) person
on the phone, use the official Post Office alphabetical code.
9. 70 members concluded a deal (covering / covered) more than 95%
of trade in banking, insurance, securities and financial information.
10. When an investment is made, capital enters a country, enabling it to
import (manufacturing / manufactured) materials to build a new
(manufacturing / manufactured) plant and to pay workers to build it.
11. (Imported / Importing) Japanese cars accounted for almost one-
forth of all cars (selling / sold) in the United States in the early 80s.
12. Mr. Thompson’s (approving / approved) smile let the agent know
that he was one hundred per cent right when he presented the
middleman with a (hand-making / hand-made) briefcase.
13. The sales representative offered the (approving / approved) specs to
the partner.
14. A sentence in which some information is unnecessarily (repeating /
repeated) is (calling / called) redundant.

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15. (Giving / given) here are some quotations that are always (sending /
sent) first and thus should be (keeping / kept) ready.
16. I am deeply honoured by the invitation (extending / extended) to me.
17. (Contributing / contributed) to the view of (declining / declined)
competitiveness is the United States deficit in merchandise trade,
especially the imbalance in trade with Japan.
18. Between sixty and fifty per cent of the gains in productivity
(making / made) in the West in the last half-century spring from
better (training / trained) minds, from more research, and more
systematic use of the economy’s brain power.
19. The secretary opened the door to find colonel Usman (standing /
stood) to attention, (waiting / waited) to escort Eduardo to the bank.
20. That position (establishing / established), he went on to check the
bank’s reserves, long-term deposits, overseas commitments, and
(estimating / estimated) oil revenues for the next five years.

2. What form of the participle should be used?


Exercise 2.
Join each of the following pairs of sentences, using either a present or
a perfect participle. Translate the new sentences into Russian.
Model: She hoped to find a will. She searched it everywhere.
Hoping to find the will, she searched it everywhere

1. I knew that he was poor. I offered to pay his fare. Knowing that he was
poor, I offered to pay his fare.
2. She became tired of my complaints about the plan. She turned it off.
Becoming tired of my complaints about the plan, she turned it off.
3. She asked me to help. She realised that she couldn’t move it alone.
Realising that she couldn’t move it alone, she asked me to help.
4. He thought he must have made a mistake somewhere. He went through
his calculations again. Thinking he must have made a mistake
somewhere, he went through his calculations again.

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5. She saw that she could trust him absolutely. She gave him a blank
cheque. Seeing that she could trust him absolutely, she gave him a blank
cheque
6. The government once tried to tax people according to the size of their
houses. They put a tax on windows. Once, trying to tax people according
to the size of their houses, the government put a tax on windows.
7. They announced the new plan (yesterday). They admitted that it was the
worst economic settlement they’d ever had. Admitting that it was the
worst economic settlement they’d ever had, they announced the new
plan.
8. I spelled a word to an English-speaking person on the phone. I used the
official Post Office alphabetical code. Spelling a word to an English-
speaking person on the phone, I used the official Post Office
alphabetical code
Model: The criminal removed all traces of his crime. He left the building.
Having removed all traces of his crime the criminal
left the building.
1. He had spent all his money. He decided to go home and ask for a job.
Having spent all his money, he decided to go home and ask for a job
2. They found the money. They began quarrelling about how to divide it.
Having found the money, they began quarrelling about how to divide it.
3. He returned from a business trip. He felt exhausted by his work.
Having returned from a business trip he felt exhausted by his work.
4. Hector Grant was persuaded by the Sales Manager. Hector Grant
opened up a new export Market in Abraca. Having been persuaded by
the Sales Manager, Hector Grant opened up a new export Market in
Abraca.
5. I failed the exam twice. I agreed that I was not at subject. Having
failed the exam twice, I agreed that I was not at subject
6. The manager increased sales by almost twenty per cent. The manager
decided to plough the profit into his business. Having increased sales
by almost twenty per cent, the manager decided to plough the profit
into his business.
7. He was warned about the audit. He prepared the monthly statements of
account. Having been warned about the audit, he prepared the monthly
statements of account.
8. General Mohammed studied the proposal. He invited Eduardo de
Silveira to visit Nigeria as his guest. Having studied the proposal,

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General Mohammed invited Eduardo de Silveira to visit Nigeria as his
guest.
3. What forms of participles do we use in the negative meaning?
Exercise 3
Choose “not” or “without” in the given sentences. Define the function of
the participles in the sentences.
Model: Without / not having a signature on the payment order we
couldn’t execute payment.
1. Not / without knowing all the details, he couldn’t consult her.
2. Not / without making an exceptionally high profit you won’t be
criticised.
3. Not/ without being guilty he didn’t feel his fault.
4. Not / without having been instructed by the manager of the firm, they
insisted on the reduction of the financial backing of the company.
5. John sat not / without speaking to anybody and looked very worried.
6. You won’t manage to strike a balance not / without participating in the
bank’s money policy committee.
7. Depository institutions can’t work not / without offering their
customers the opportunity to pay recurring bills by telephone.
8. The annual simple interest states how much money the bank will pay on
a deposit at the end of one year not / without compounding.
9. Not / without having their own lorries they couldn’t keep the budget.
10. Not / without having placed the order with the firm, they won’t
receive a quotation to supply office furniture.
11. Not / without having a capacity to produce the order, they refused to
take it in addition to the budgeted turnover.
12. It’s natural that Coburn will be reluctant to ship $400,000 worth of
gears not / without first having some assurance they will get paid.
4. When do we use the perfect participle passive?
Exercise 4
A
Change the Infinitive in brackets for Participle I or Participle II
(passive). Translate the sentences into Russian.

Model: That was the best advice (to give) by him.

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That was the best advice given by him.
He was very kind (to give) advice to me.
He was very kind giving advice to me.
1. Accounts not paid in time are called overdue accounts.
2. I helped him in handling problems created by other departments.
3. Late at night he received an e-mail asking him to come home at once.
4. I saw at once he had a heart attack coming on.
5. I could hear voices of the kids waiting for the bell to ring.
6. They required an irrevocable letter of credit confirmed on a London
bank.
7. Peter Wiles wants the Sales Manager John Martin on the Board feeling
that the Board is already rather over-weighted with members like
Hector Grant and William Buckhurst.
8. Being a master craftsman of the old school, Bob Hardiman could
produce a magnificent piece of furniture.
9. The Rules of Association drawn up by Harper & H.G.`s father state that
the qualification holding is only two shares.
10. The remaining two hundred and fifty shares were bought, as Hector
Grant feared they would be, by Alfred Wentworth.
B
Change the Infinitive in brackets for Perfect Participle (active or
passive). Translate the sentences into Russian.

Model 1: (To receive) the money he left for London.


Having received the money, he left for London.
1. Having received an enquiry from the Abracan government John
Martin decided to wait until the order was definite.
2. Having quoted in local currency they wished to be protected if the
Abracan currency devalued in relation to sterling.
3. Having booked their representative into a hotel, the firm also put a
car at his disposal.
4. Having sent an invoice to the customer, the firm submits an account,
which shows the total amount due at the end of the month.
5. Having received long credit from its suppliers any company would
like to give short credit to its customers.

Model 2: (To pay) the money for the goods the seller left for London.

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Having been paid the money for the goods, the seller left
Rome.

6. Having been supplied with goods the firm has become insolvent and
cannot pay.
7. Harper & Grant mainly do business on wholesale terms: Having been
given credit, shops or stores can have the goods they want and
defer payment
8. Having been provided with information about the financial situation
in the company, suppliers can judge whether they are a good credit
risk.
9. Having been packed and marked the goods were ready for shipment.
10. Having been deliverd the order, the export manager requested his
assistant to check prices.
C
Choose and fill in the necessary form of the Participle. Define the
function of the Participle in the sentence. Translate the sentences into
Russian.
1. The following table shows the position of each of the London clearing
banks in August on the date (having indicated / indicated)
2. Show me the catalogues (receiving / received) yesterday.
3. The figures (mentioned / having been mentioned) in his report are
(publishing / published) in this journal.
4. (Having been read / having read) much on this matter he could make an
interesting report.
5. The guarantee (presenting / presented) by the firm is (signed / signing)
by the bank manager.
6. The quality of goods is in accordance with the specification (enclosing /
enclosed).
7. They were reluctant to fill out the forms (describing / described) the
expenses (made / having made).
8. He didn`t usually utter a word unless (speaking to / spoken to).
9. The meeting of the Board (calling / called) by Jim Gardner two days
later was a particularly strong one.
10. With some show of reluctance I made Tom (requiring/required) promise.
11. She sat (having done / done / doing) nothing at all, neither (reading /
being read) nor (sewing / being sewed).
12. (Having examined/examined) the goods the client signed the bill.

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D
Do it in English
1. Не будучи предупрежденным об аудиторской проверке, он не
представил ежеквартальный отчет. Not being warned about the audit,
he did not submit the quarterly statement.
2. Тарифы и субсидии, применяемые в общегосударственном
масштабе, важны для обороны страны. Tariffs and subsidies applied
on the nation-wide scale are important for national defense.
3. Будучи введены, все ограничительные меры держат мировую
торговлю в определенных пределах (лимитируют), снижая общее
количество произведенных товаров и услуг. Being introduced, all
restrictive measures limit world trade, reducing the total number of
produced goods and services.
4. Реанимировав когда-то успешную, но забытую торговую марку,
компания потратила меньше, чем на создание нового продукта.
Having revived a once successful, but forgotten brand, the company
spent less than creating of a new brand.
5. Услышав закрытую информацию о надвигающейся отставке
чиновника, курирующего продажу акций, они немедленно
избавились от своих ценных бумаг. Having heard insider
information about the pending retirement of an important officer in
charge of selling shares, they got rid of their securities immediately.
6. Послав клиенту счет-фактуру, поставщик информирует его об
общей сумме, подлежащей оплате в конце месяца. Having sent an
invoice to the customer, the supplier informs him about the total amount
to be paid.
5 What do we call misrelated participles?
Exercise 5
Correct the sentences with misrelated participles. Sometimes only a
change of order is required.
Model:
Incorrect form:
Reading the letter a second time, the meaning becomes clearer.
Correct form:
When I read the letter a second time, the meaning
becomes clearer.

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1. When paying by cheque, a bank card should be shown. one should show
a bank card.
2. Misunderstanding the question, the wrong answer was sent in. they sent
in the wrong answer.
3. When driving carelessly it is easy to one can easily have an accident.
4. Leaving the cinema, When he was leaving the cinema, it seemed to him
that the film had been exceptionally bad.
5. Written in large letters They read the words “No entry”, written in large
letters.
6. Wondering When I was wondering where to go, an advertisement
caught my eye.
7. Falling from such a height, We thought he would never survive, falling
from such a height.
8. Writing When I was writing my name in the hotel register, a familiar
voice attracted my attention.
9. Having After I have paid my taxes, the amount left in the bank is hardly
worth mentioning.
10. Weakened Since he was weakened by his last illness, I felt sure that
another winter in this country would kill him.
11. Looking When Hector Grant had looked through the actual
expenditures against the budget, the amount spent turned out rather
high. (about Hector Grant)

6. What is the meaning of the structure to have (get) something done?


Exercise 6
A
Complete these sentences with the correct forms of the verbs in brackets if
possible if possible. Translate the sentences into Russian. Follow the model.
Model:
Have you had your statements ……checked…. recently? (to check)
1. Your preliminary desk research sounds dreadful. You ought to have it
rewritten.
2. This Dangerous Goods Note is so important. I’m going to have it
checked by an expert.
3. I’d like to have the statistical difference between these sources
balanced by an entry entitled “Net Errors and Omissions”. I would like
you to comment upon an increase as well as a decrease in the nation’s
reserves.
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4. We can’t take more than a specified amount of money with us when we
travel abroad as the nation is having its invisible trade expenditures
limited at the moment. They are going to have capital for investments
abroad restricted by requiring government approval for any new foreign
investments.
5. If other measures are insufficient, a country may have its currency
devalued.
6. Can we get devaluation combined with other effective measures to
balance the economy?
B
Do it in English. Use the construction to have something done in each
sentence.
1. Мы можем добиться, чтобы эти ограничения были отменены?
Can we have these restrictions canceled?
2. Когда им предоставят эти доверенности? When will they have
these proxies provided?
3. Соединенные Штаты хотели бы, чтобы японцами была введена
пошлина в 6-8 % на запчасти к автомобилям. The US would like to
have the 6-8% tariffs on car spare parts introduced by the Japanese.
4. Мне бы хотелось, чтобы мои распоряжения выполнялись. I would
like to have my orders followed.
5. По поручению Кристофера Торна компании Буш и Грин послали
пару достаточно жестких писем. Christopher Thorn had Bush &
Green sent a couple of quite strict letters.
6. Им могут отложить платеж до конца месяца. They may have the
payment delayed till the end of the month.
7. Пусть вам приготовят счет сразу же. Get the bill prepared at once.
8. Проследите, чтобы документ был напечатан в двух экземплярах.
Get the document typed in duplicate.
9. Пусть бухгалтеру-стажеру напомнят о долгах, давно подлежащих
погашению. Get the accountant trainee reminded about the long
outstanding debts.
10. Импортные автомобили были проверены для них по-отдельности.
They had imported cars checked separately.
11. Когда вам пришлют извещение о доставке? When will you have the
delivery note sent?
12. Когда мы приехали, все торговые ограничения были уже сняты.
When we came they had all the trade restrictions canceled.

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13. Мы должны рассмотреть этот вопрос в понедельник. We must
have this question considered on Monday.
14. Как часто им предоставляют перечень товаров? How often do they
have the quotation submitted?
15. Мне бы хотелось, чтобы была избрана рабочая группа из 3-5
человек для того, чтобы выработать и записать все возможные
аргументы «за» и «против». I’d like to have the panel of from 3 to 5
people elected in order to have all the possible pro & cons worked out
and put down.
7. What participial constructions do the participles build?
Exercise 7
A
Change the given sentences using the verbs in brackets into sentences
with the Complex Object. Mind the verbs “to have” and “to get”.

Model: We heard him … speaking … over the phone. (to speak)


But: You can get these statements … checked … . (to check)

1. We could hear John Martin discussing with Peter Wiles an article about
the discovery of oil in Abraca.
2. Businessmen consider him actively involved with the project.
3. That morning we found a Transport Manager Bruce Hill seeing off a
load of office desks and chairs for a new liner in Scotland.
4. He saw Mrs. Margaret Wiles, who rarely attended Board meetings,
sitting among the Board members.
5. At the Board meeting the directors had budgeting control discussed.
6. The company has quarterly accounts drawn up every three months in a
financial year.
7. Peter watched Christopher studying invoices in the Accounts
Department.
8. It is difficult to get the lorries fully emplyed, and you’ve got to calculate
depreciation.
9. I stopped talking and observed the auditors leaving the building.
10. You can have a mahogany desk made by Bob Hardiman, who is a
master craftsman of the old school.
B
Paraphrase these sentences using the Subjective Participial
Construction. Use the verb in brackets.
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Model: She was opening a current account. (to see)
She was seen opening a current account.

1. Hector Grant was seen giving recommendations to the Sales Manager,


asking him to book accommodation for the representative of the
Ministry of Works.
2. The Company Secretary William Buckhurst was heard discussing the
problem of Wentworth & Company with Hector Grant.
3. FMA shares listed on the New York Stock Exchange were noticed
falling five and a half points.
4. Rosco Heyward was noticed smiling when Alex Vandervoort insisted on
defining reasonable and excessive profit.
5. They were heard discussing an irrevocable letter of credit as a method of
payment.
6. The secretary was seen opening the letter with the enclosed shipping
documents.
7. The client was heard speaking over the telephone with the Manager.
8. The customs officer was noticed examining the goods. (to notice)

C
Translate the sentences into Russian. Note the Absolute Participial
Construction.

1. The goods having been unloaded, the workers left the port. Т.К. товары
были разгружены, рабочие покинули порт.
2. There being a hard day, he felt very tired. Он чувствовал себя
уставшим, т.к. день был тяжелым. / День был тяжелым и он
устал.
3. We are not giving you any particulars, the enclosed letter containing the
necessary information. Мы не предоставляем вам никаких
подробностей, т.к. вся необходимая информация содержится в
прилагаемом письме.
4. There being not a single contract from Abraca, Hector Grant summoned
the Sales Manager for an interview. Т.к. не было не одного
контракта с Абракой, Гектор Грант вызвал менеджера по
продажам на беседу.
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5. All this having been settled, the bank manager agreed to provide a
personal loan. Когда все было урегулировоно , менеджер банка
согласился предоставить персональный кредит
6. Judging by the silence nobody being there, he left the office. Судя по
тишине, в офисе никого не было и он его покинул.
7. With Peter being on a business trip, John had to do his work. Питер был
в командировке, и Джону приходилось выполнять его работу.
8. The negotiations between the American and British representatives were
conducted behind closed doors, measures having been taken that no
correspondent should receive any information. Т.к. переговоры
между американскими и британскими представителями
проходили за закрытыми дверями, были приняты меры, чтобы ни
один корреспондент не получил никакой информации.
9. There being no further business, the meeting adjourned. Поскольку
больше дел не было, заседание было отложено.
10. With a buyer from Abraca visiting the factory, his hotel was booked
for him and a car put at his disposal. Т.к. покупатель из Абраки
приехал на фабрику, ему забронировали номер в отеле и
предоставили в его распоряжение автомобиль.
11. The contract quantity was 5.000 tons, the sellers having an option to
deliver 2% more or less. Количество по контракту составляло
5.000 тонн, и продавцы имели возможность их поставить с
разницей в плюс-минус 2%.
12. The Board Meeting of directors discussed budgetary control with
William Buckhurst having attended a course on the subject. Заседание
Совета директоров обсудило бюджетный контроль, т.к. Уильям
Бакхерст рошел курс обучения по этому вопросу.
13. Having a look at the quarterly breakdown of overheads, his
impression of the amount spent was not pleasant. Просмотрев
ежеквартальную разбивку накладных расходов, он получил
неприятное впечатление и потраченных суммах.
14. Having increased sales by almost forty per cent, that was a very
successful year for John Martin. Т.к. Джон Мартин увеличил
продажи почти на 40 %, этот год для него был очень успешным.
15. Owning so many shares, the election of Alfred Wentworth in the
Board was inevitable. Поскольку Альфред Уэнтворт владел таким
большим количеством акций, его избрание в Совет директоров
было неизбежным.

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16. Requiring an irrevocable letter of credit confirmed on a London Bank,
our quotation in local currency was conditional. Наши расценки в
местной валюте были обусловлены нашим требованием оплаты
безотзывным аккредитивом, подтвержденным лондонским
банком.
17. Not having anything his own way, while Harper was a chairman,
everybody found Hector Grant a clever man and a strong personality.
Все считали Гектора Гранта умным человеком и сильной
личностью, но, пока Харпер был председателем правления,
Гектор Грант ничего не мог делать по своему усмотрению.
18. Being rather over-weighted with conservative members, there was the
need for young forward-looking people in the Board. Поскольку в
Правлении было явный перевес числа консервативных членов,
была нужда в ( в привлечении) молодых перспективных членах.
19. Being responsible for at least one cost centre, the forecast of the
income and expenditure was required from each manager. Каждый
менеджер отвечал по крайней мере за одну учетно-
калькуляционную единицу, и от каждого менеджера требовался
прогноз доходов и расходов.

Revision
Exercise 1
Find a mistake if any and give the right variant.
1. Requiring goods can’t be shipped at the customer`s request. They
A B C
aren’t available now.
D
2. The price having been mentioned was 5 per cent lower than the
A B
price paid by the previous contract.
C D
3. Even if posting now the letter can’t reach John till Monday.
A B C D
4. He didn`t usually utter a word unless speaking to.
A B C D
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5. Being received the required information the sellers sent their order
A B C D
to the buyers.

6. Payment will be executed against cable signing by the captain


A B C
of the vessel.
D
7. The letter having been typed by the typist now should be sent
A B
as soon as it`s ready.
C D
8. We received a letter from the suppliers advised that they are ready
A B
to fulfil the order according to the terms stipulated.
C D
9. I hear him raise a big personal short-term loan. Frankly speaking he
A B C
agreed to offer his business as collateral required.
D

10. But the Western leaders, though forced to give way on some questions,
A
will stick to the policies which have brought about a fallen standard
B C
of living for working people.
D
11. The Civil Service unions, represented more than a half-million
A B
government workers, demanded a 15-percent pay raise.
C D
12 We asked them to write immediately having advised the terms of
A B C D
payment and delivery.

13. If the presented documents comply with the terms of the credit
A
the buyer cannot refuse to pay on the grounds of the goods not
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B C
corresponded to the order or contract.
D

Exercise 3

CONTEXT

Read the text below. In most of the lines 3-27 there is one wrong word or
word combination. Some lines, however, are correct.

 If a line is correct, put a tick () in the space in the right-hand column.

 If there is a mistake in the line, circle out the mistake and write the
correct word in the right-hand column.

1 When we say working capital, we are referring to the net ()


2 working capital. Firm’s investment in current assets called is called
3 gross working capital. The different between current difference
4 assets and current liabilities called net working capital. is called
5 Net working capital can be positive or negative. When ()
6 current assets are in excess of current liabilities, net ()
7 working capital is positive. On another hand, when the other
8 current liabilities exceed current assets, net working capital ()
9 is negative. ()
10 Gross working capital indicates firm’s investment and ()
11 finance of current assets. Net working capital, on the financing
12 other hand, shows the liquidity of a firm. As the result, net ()
13 working capital indicates the financing needs of a firm, ()

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14 both through long-term as well as short-term financing and
15 sources. Working capital is the part of firm’s capital is used for that is
16 routine day-to-day business operations. In other words, ()
17 working capital refers to the funds needing by the business needed
18 to run it’s operations for one accounting year. Working its
19 capital reflects the number of money a firm has at its amount
20 immediate disposal. ()
21 Adequate working capital is important for any business ()

22 operations. Working capital financed, however, can be a financing

23 challenge for a business, especially for a small firm. In ()

24 order to understand the best way to finance working ()

25 capital, it is important understanding the difference between to understand

26 the two types of working capital: permanent working ()

27 capital and temporary working capital ()

3 Environment of Accounting

3.2.1 Consult a dictionary and practice the pronunciation of the


following words and word combinations, quote the sentences in
which they are used in the text or submit the examples of your
own:

approximately [ə'prɔksɪmətlɪ]
consistency [kən'sɪst(ə)n(t)sɪ]
control process [kən'trəul] ['prəuses]
current assets ['kʌr(ə)nt ]; ['kɜːr(ə)nt] ['æsets]
debtor ['detə]
dual aspect ['djuːəl] ['æspekt]
entire debt [ɪn'taɪə ], [en-] [det]
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equation [ɪ'kweɪʒ(ə)n]
financial analysts [faɪ'nænʃ(ə)l] ['æn(ə)lɪsts]
forecast of the ['fɔːkɑːst] [ɔv] / [əv] [ðiː] / [ðɪ] [ˌənan'tisəˌpātid]
unanticipated events [ɪ'vent]
implementation [ˌɪmplɪmen'teɪʃ(ə)n]
in monetary terms [ɪn] ['mʌnɪt(ə)rɪ] [tɜːmz]
intangible [ɪn'tænʤəbl]
investment [ɪn'vestmənt] ['kaun(t)s(ə)lə]
counsel(l)ors
managerial [ˌmænə'ʤɪərɪəl] [ə'kauntɪŋ]
accounting
mortgage ['mɔːgɪʤ]
primary objective ['praɪm(ə)rɪ] [əb'ʤektɪv ], [ɔb-
prudence ['pruːd(ə)n(t)s]
revenue ['rev(ə)njuː]
routine [ruː'tiːn]
tangible ['tænʤəbl]
the uses are varied [ðiː] / [ðɪ] [juːziz] [ɑː(r)] / [ə] ['vɛərɪd]
to compare the [tuː] / [tu] / [tə] [kəm'pɛə] [ðiː] / [ðɪ]
consequences ['kɔn(t)sɪkwən(t)s]
to control equipment [tuː] / [tu] / [tə] [kən'trəul] [ɪ'kwɪpmənt]
to harmonize with [tuː] / [tu] / [tə] ['hɑːmənaɪz][wɪð]
to implement [tuː] / [tu] / [tə] ['ɪmplɪment]
to indicate targets [tuː] / [tu] / [tə] ['ɪndɪkeɪt] ['tɑːgɪts]
to induce [tuː] / [tu] / [tə] [ɪn'djuːs]
to pertain to [tuː] / [tu] / [tə] [pə'teɪn ] / [pɜː-] [tuː] / [tu] / [tə]
various segments of ['vɛərɪəs] ['segmənts] [ɔv] / [əv]
organization [ˌɔːg(ə)naɪ'zeɪʃ(ə)n]

3.2.2 Match the English word combinations in the left-hand column


with the Russian equivalents in the right-hand column:
1. to accomplish objectives A утвержденный бюджет
2. to generate statements B основа (база) успеха
3. managerial accounting C достигать цели
4. to be encompassed in the D соответствовать определенным
approved budget стандартам
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5. to react to unanticipated E нераспределенная прибыль
events
6. to be consistent with overall F реагировать на непредвиденные
goals and objectives события
7. benchmarks of success G снабжать компанию капиталом
8. retained earnings H отчет об изменениях капитала
9. to provide capital to a I вопросы, относящиеся к фирме в
company целом
10. to earn a rate of return on J быть включенным в
one’s capital investment утвержденный бюджет
11. matters pertaining to the K отчет об изменениях в
firm in its entirety финансовом положении
12. to conform to certain L получать норму прибыли на
standards капиталовложения
13. generally accepted M не противоречить
accounting principles всеобъемлющим целям и
(GAAP) стремлениям
14. going concern N отчет о прибылях и убытках
15. Securities and Exchange O общепринятые принципы и
Commission (SEC) правила бухучета
16. income statement P создавать отчеты
17. statement of changes in R комиссия по ценным бумагам и
equity биржам
18. statement of changes in S хозяйственная (коммерческая)
financial position операция
19. business transaction T заинтересованные лица
20. interested parties U коммерческая деятельность
21. approved budget V внешние пользователи
22. business activity W управленческий учет
23 parties external to the X допущениe о непрерывности
organization деятельности предприятия

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23
c p w j f m b e g l i d o x r n h k s t a u v

3.3 BACKGROUND INFORMATION

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Scanning
3.4.2 Scan the text to determine whether these statements are true (T)
or false (F), and if they are false say why:

T 1. Accounting involves recording and summarizing an


organization’s transactions and reporting them in the form of
financial statements.
F 2. Accounting is basically similar only for charitable and
governmental organizations, but for-profit organizations keep
to their own accounting rules.
F 3. Most accounting information is stated in monetary terms and is
designed to be useless (useful) in making economic decisions
outside the firm.
F 4. Managerial accounting information specifically prepared to aid
managers is used in different (three) management functions: a)
planning, b) budgeting, c) implementation, d) control, e)
decision-making process.
T 5. The manager must forecast unanticipated events and alter
previous plans if it is indispensable to adjust for the new
conditions.
F 6. The accountants (managers) make use of accounting
information in the control process to see that the work is done
properly by the employees of the organization.
T 7. In most companies, managerial accounting provides the
information for such types of the managerial decisions as
financing, resource allocation, production and marketing ones.
F 8. As a rule, shareholders, bankers and other internal (external)
users need financial accounting information to find out how
well the company is doing.
F 9. Many companies publish the information provided on a firm’s
financial condition by different financial statements twice
(once) a year in a special (annual) report. This report also
contains the auditor’s opinion as to the changes (fairness) of
the financial statements.
T 10. Accounting information must conform to certain standards in
order to make the process of interfirm comparisons easier.

3.4.4 Scan the text and find the English equivalents for the following:

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 адаптировать к новым условиям - to adjust for the new conditions
 бухгалтерский учет - accounting
 коммерческая организация – (for) profit organisation
 благотворительное общество – charitable organisation
 основная цель – a primary objective
 процесс принятия решений – the decision-making process
 реагировать на неожиданные события – to react to unanticipated
events
 быть включенным в утвержденный бюджет - to be encompassed
in the approved budget
 вопросы, относящиеся к фирме в целом - matters pertaining to the
firm in its entirety
 для внутренних и внешних пользователей – for parties internal
and external to the organization
 долгосрочное и краткосрочное планирование – long-range and
short-range planning
 вести учет – to maintain records / keep records / keep record of
 отчет о прибылях и убытках – the income statement
 отчет об изменениях в финансовом положении – the statement of
changes in financial position
 промежуточный отчет – the interim report
 аудиторское заключение – the auditor’s opinion
 годовой отчет – the annual report
 отчет о нераспределенной прибыли – the statement of retained
earnings
 соответствовать определенным стандартам - to conform to
certain standards
 информация, относящаяся к предыдущему периоду отчетности
(ретроспективная информация, информация о прошлых
периодах) – historical information
 кредиторы и заимодавцы – creditors and lenders
 быть наделенным ответственностью – to be charged with the
responsibility of (doing smth)
 достоверность финансовой отчетности - the fairness of the
financial statements

3.5 PRACTICE
Language focus
Word Building
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3.5.1 Complete the table with words from the text and related forms. Put a stress mark in front of the
stressed syllable.

Verb Concrete and Nouns for Adjectives Negative


abstract noun people and adjectives
organization
s
Account Accounts Accountant accountable Unaccountable
(for) Accounting
Accountancy
accountabilit
y
- consistency - consistent inconsistent
invest investment investor Invested p.p. -
divested(opposite
)
Measur Measure - Measurable Measureless
e Measurement Measured p.p. Unmeasured
measurer
organiz organization organizer Organized disorganized
e p.p.
manage management manager Manageable unmanageable
managerial
control control controller Controlling\e uncontrolled
d
profit profit profiteer profitable unprofitable

3.5.2. a. Read the text, ignoring the missing parts.


Accounting assumptions and principles
Accounting principles are built on a foundation of a number of basic
concepts. One of them is known as the consistency principle. Companies
can choose their accounting policies – 1. (G) their way of doing their
accounts. But in choosing accounting policies they have to be consistent –
which means using the same methods every year, unless there is a good
reason to change a policy. The policies have to be disclosed to the
shareholders in the “Statement of Accounting Policies” included in the
Annual Report.
The historical cost principle states that companies 2. (E) record the
original purchase price of assets and not their (estimated) current selling
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price or replacement cost. The current price is not important if the business
is a going concern – a successful company that will continue to do
business – as its assets are not going to be sold, or 3. (C) do not currently
need to be replaced. However some countries with regular high inflation
use replacement cost accounting, which values all assets at their current
replacement cost – the amount that would have to be paid to replace them
now.
Other accounting principles are as follows. The full-disclosure
principle states that 4. (B) financial reporting must include all
significant information. The principle of materiality says that very small
and unimportant amounts do not need to be shown. The principle of
conservatism is that 5. (D) where different accounting methods are
possible, you choose the one that is least likely to overstate or over-
estimate assets or income. The objectivity principle says that accounts
should be based on facts and not on personal opinions or feelings. The
revenue recognition principle is that revenue is recognized in the
accounting period in which it is earned. This means the revenue is
recorded 6. (F) when a service is provided or goods delivered, not when
they are paid for. The matching principle states that each cost or expense
related to revenue earned must be recorded in the same accounting period
as the revenue it helped to earn.

b. Fit the missing parts A-H in the gaps. There is one extra.

1 2 3 4 5 6
G E C B D F

c. When writing accounts and financial statements, accountants have to follow a number of assumptions,
principles and conventions. The following are the main assumptions used by accountants. Match them with
their definitions.

1. Separate (business) a. a business is an accounting unit separate from its


entity owners, creditors, managers and their assets
2. Time-period b. the economic life of the business can be divided
into (artificial) time periods such as the financial
year, or a quarter of it
3. Continuity or going c. a business will continue into the future
concern

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4. Unit-of-measure d. all financial transactions are in a single monetary
unit or currency

1 2 3 4
C D A B

d. Find words or word combinations in the text that mean the


following.

Accounting a rule or an idea used for preparing accounts in a


principle particular country or place
Consistency when a company uses the same accounting methods
each year when it reports its results
Historic(al) cost the price paid for an asset when it was bought,
rather than what it is worth now
Replacement cost cost of buying an asset rather than the price that was
paid for it in the past
Going concern a business that is making a profit
High inflation a rapid rise in prices that damages a country’s
economy
Disclosure the duty of someone in a professional position to
inform customers, shareholders etc. about the facts
that will influence their decisions

Skills Focus
Financial Statements
3.5.2 a. Fill in the gaps with the suitable expressions from the box:

A) accruals principle B) balance sheet C) reserves


D) bottom line E) sales revenue F) bank loans
G) gross profit H) share prices I) pre-tax profit
Each year a company produces an annual report with three key sets of
figures: profit and loss account, ___ (1) B ___ and cashflow statement.
These are three key financial statements in financial reporting. They give
the basic information about a company’s financial results. The results a

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company publishes can affect____(2) H___: good results cause prices to
rise, if the market believes the company is undervalued. However, poor
results often cause a drop in share price, as investors feel the company is
overvalued.
The profit and loss (P&L) account (the income statement in the
USA) records the money a company makes or loses during a particular
reporting period, using the accruals principle. The ____(3) A ______
means that events in a particular reporting period, for example sales of
goods or purchases of supplies, are recorded in that period, rather that
when money is actually received or paid out: this may happen in a later
period. Accounts record money received from sales (____(4) E _____,
referred to as turnover in BrE), minus the labour and cost of materials used
to produce them, which is called the cost of goods sold (COGS). The
difference between the sales revenue and the cost of sales is ___(5) G
______ .
Then selling and general expenses – the cost related to making these
sales – employees’ salaries, rent for buildings, etc. - are taken away.
These other costs and expenses are often grouped together as selling,
general and administrative expenses (SG&A). There is also cost of
depreciation – this is not an actual sum of money paid out, but is shown in
the account to allow for the way that machinery wears out and declines in
value over time and will have to be replaced. This leaves a company with
its operating profit.
Then we subtract the interest payable on money borrowed in the form
of bonds and ___(6) F_____. This gives the profit before tax or ____(7) I
_____. Sometimes there are exceptional items to report, for example the
cost of closing a particular operation. A company pays tax on its profit,
which in the UK is called corporation tax (corporate income tax in the
USA). So, the statement also shows EBITDA (earnings before interest,
tax, depreciation and amortization) and EBIT (earnings before interest and
tax). After all the expenses and deductions there is the net profit, often
called the ___(8) D ______.
Dividends to shareholders (dividends per share) are usually paid to
shareholders from profit after tax, also referred to as earnings. However
dividends may be omitted, passed or skipped when business is bad. Not
all profit is paid out in dividends. Some is kept to invest in future activities
- these are retained earnings, or __(9) C _______.
Non-profit organizations such as charities, public universities and museums produce an income and
expenditure account. If they have more income than expenditure this is called a surplus rather than a
profit.

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1 2 3 4 5 6 7 8 9

B H A E G F I D C

c. Give the English equivalents for the following:


принцип начисления - Accruals principle/basis
выручка от продаж - Sales revenue/turnover
себестоимость проданных товаров - cost of goods sold COGS
валовая прибыль - gross profit
коммерческие, общехозяйственные и административные расходы -
selling, general and administrative expenses (SG&A)
операционная прибыль - operating profit
стоимость прекращения определенного вида деятельности - the cost of
closing a particular operation
износ оборудования и амортизация основных фондов - depreciation
and amortization
прибыль до вычета процентов, налогов и амортизационных
отчислений - EBITDA (earnings before interest, tax, depreciation and
amortization)
 стоимость реализованной продукции – cost of sales
d. Match the words in two columns to make expressions and complete
each sentence with the correct expression.
Exceptional items
Interest payable
Operating profit
P&L account
Reporting period
Retained earnings
Selling and general expenses

1. All businesses maintain records based on reporting periods of 12


months.
2. The company’s operating profit has increased by 10 per cent this
year.
3. We kept $30.000 from our profits as retained earnings to be
transferred to reserves.

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4. This year we fortunately didn’t have any exceptional items in the
income statement.
5. Profit and Loss (P & L) Account compares the revenue earned for a
period of time with the expenses incurred for the same period.
3.5.4 a. Read the text, give the English equivalents for the words in
brackets, and single out the main items of the income statement.
The purpose of (the income statement) (sometimes called the earnings
statement) is to report upon (the profitability) of a business organization
for a stated period of time. In accounting, profitability is measured by
comparing the revenues generated in a period with the expenses incurred
to produce those (revenues). Revenue is defined as (the inflow of assets)
resulting from the delivery of products or (the rendering) to customers.
Many firms earn their revenues by selling their customers (tangible
products), such as automobiles, office equipment, cameras, or paint.
Others, called service firms or businesses, earn their revenues in the form
of (fees or commissions) by rendering various types of services to
customers, such as the fees for the professional services rendered by
accountants, architects, lawyers, or physicians or commissions from the
sale of (life, property, and casualty insurance) or (real estate). Other types
of services generate revenues for other firms – (the interest earned) by
banks and small (loan companies), the premiums received by (insurance
companies), the admissions charged by theatres, or the rents collected by
firms (owning) apartment buildings. The revenues earned are measured by
(the value of the assets) customers are willing to surrender for the products
or services received.
Expense is defined as the (sacrifice) made or the cost incurred (to
generate revenues). The expenses incurred can be classified into a number
of categories that differ among firms. Common expense categories are
(wages and salaries), (utilities) (electricity, gas, oil, telephone, and water),
insurance, taxes (both on property and on income or earnings), supplies
used, (advertising), and interest. Expense is measured by the cost of the
assets surrendered or consumed in serving customers. The process of
comparing the revenues earned with the expenses incurred is referred to
as matching. Expenses are matched against revenues (to determine net

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income). If revenues (exceed) expenses, net income results. If the reverse
is true, the business is operating at a loss.
In a technical sense, the income statement is subordinate to the
balance sheet. This is because it shows in some detail the items that
collectively (account for) most of the period’s net change in only one
balance sheet item, (retained earnings). (“Most” excludes dividends as
well as a few relatively unusual retained earnings changes). Nevertheless,
the information on the income statement is regarded by many to be more
important than information on the balance sheet. This is because the
income statement reports the results of operations and indicates reasons for
(the entity’s profitabilty) (or lack thereof).
The importance of the income statement is illustrated by this fact: in
situations where accountants, in recording an event, must choose between
a procedure that (distorts) the balance sheet or one that (distorts) the
income statement, they usually choose not (to distort) the income
statement.
In practice, there is (a considerable variety) in the formats and degree
of detail used in income statements. Less detailed income statements are
published in (corporations’ annual reports) to their shareholders. Income
statements prepared for the managers of an entity usually contain more
detailed information.
The heading of a statement must show (1) the entity to which it
relates, (2) the name of the statement, and (3) the time period covered. To
provide the basis for comparison (the SEC, the USA) requires that
corporate annual reports contain income statements for the most recent
years and balance sheets as of the end of the most recent two years.
Illustration 5.1.
PROFF COMPANY
Income Statement
For the Month of July 200X
Service revenues $5,700
Expenses:
Wages $2,600
Gas and oil 400
Rent 300
Advertising 200
Utilities 100
Interest 30 3,630
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Net income $2,070
Illustration 5.1 (contains) the statement of the PROFF Company for the
Month of July 20XX. It shows that revenues in the amount of $5,700 were
generated by serving customers. Expenses for the month (amounted to)
$3,630, resulting in net income before taxes for the month of $2,070.
It is easy to determine from (a balance sheet) and (an income
statement) whether the issuing company was a merchandiser or a
manufacturer.

b. Consider the CONSOLIDATED INCOME STATEMENT given


below. Match the English word combinations in the left-hand
column with the Russian equivalents in the right-hand column:
CONSOLIDATED INCOME STATEMENT
For the sixth months ended in June 30, 200X
In EUR thousand

June 30, June 30, Change


in %
200X 200X
1. Revenue A Совокупный доход
2. Licensing 55,250 100,311 -45 B Прочее
3. Maintenance 102,323 93,689 9 C Консолидированная
чистая прибыль
4. Professional 81,503 91,908 -11 D Стоимость материалов
Services и обслуживания
5. Other 734 1,533 -52 E Лицензирование
6. Total Revenue 239,810 287,441 -17 F Прочие операционные
расходы (3)
7. Increase/decrease 2,869 2,058 39 G Доля меньшинства /
in finished goods доля дочерних
and work in компаний
progress
8. Other operating 40,235 14,646 175 H Услуги профессио-
income (1) нального характера
9. Expenses I Дополнительные
расходы
10. Cost of materials -21,871 -25,297 -14 J Прибыль до
and services налогообложения
11. Personnel -136,252 -137,738 -1 K Налог на прибыль
expenses
12. Depreciation and -16,036 -15,771 2 L Общефирменные

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amortization (2) расходы
(административные
расходы плюс
расходы на сбыт и
распространение)
13. Other operating -84,820 -87,962 -4 M Обесценение и
expenses (3) амортизация
нематериальных
активов (2)
14. Total operating -258,979 -266,768 -3 N Прочая операционная
expenses прибыль (прибыль от
ведения операций) (1)
15. Net financial -1,728 2,747 -163 O Расходы на содержание
income / expense персонала
16. Extra expenses 0 -20,179 -100 P Доход
17. Income before 22,207 19,945 11 Q Финансовый
taxes (before-tax доход/расход чистый
income)
18. Taxes -10,437 -9,175 14 R Расходы (издержки,
затраты)
19. Income after 11,770 10,770 9 S Увеличение / уменьше-
taxes (after-tax ние количества готовых
income, income изделий и незавершен-
net of tax) ного производства
20. Minority interests 0 0 T Прибыль после
налогообложения
21. Consolidated net 11,770 10,770 9 U Эксплуатационные
income расходы

1 2 3 4 5 6 7 8 9 1 1 1 1 1 1 1 1 1 1 2 21
0 1 2 3 4 5 6 7 8 9 0
p e u h b a s n r d o m f l q i j k t g c

3.5.5 a. Read the text and single out the main items of the balance
sheet.
In the course of operations a corporation needs numerous reports and
statements to provide a permanent record of its financial activities. These
statements and reports are prepared by the corporation’s own staff, and
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most are done in a standardized format. The financial position of an
accounting entity as of a specified moment in time is shown by a balance
sheet. In fact, its formal name is statement of financial position. More
specifically, the balance sheet reports the assets and equities and liabilities
(liabilities and owner’s equity) of the entity at the specified moment in
time.
In Illustration 5.2, the assets of the PROFF Company amount to
$35,670.
Illustration 5.2.
PROFF COMPANY
Balance Sheet
July 31, 200X
In dollars
Assets Liabilities & Stockholders’ Equity

Current assets: Current


liabilities:
Cash 12,470 Accounts payable 600
Accounts receivable 700 Notes payable 3,000
13,170 3,600
Property, plant and Stockholders’
equipment: equity:
Delivery equipment 20,000 Capital stock 30,000
Office equipment 2,500 Retained earnings 2,070
22,500 32,070
Total assets 35,670 Total liabilities 35,670
and
stockholders’
equity

They consist of current assets of cash and accounts receivable


(amounts due from customers) and property, plant, and equipment
consisting of delivery equipment and office equipment. Current assets
consist of cash and other short-lived assets reasonably expected to be
converted into cash or to be consumed or used up in the operations of the
business within a short period, usually one year. Property, plant, and
equipment refer to relatively long-lived assets that are to be used in the
production or sale of other assets or services rather than being sold.

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Liabilities are the debts owed by a firm. Typically, they must be paid at
certain known moments in time. The liabilities of the PROFF Company
are both relatively short-lived current liabilities. They consist of accounts
payable (amounts owed to suppliers) and notes payable (written promises
to pay) totaling $3,600. Other firms may have long-term liabilities on their
balance sheets. Such long-term liabilities could include mortgages or
bonds due in periods beyond one year.
The PROFF Company is a corporation. It is customary to refer to the
owners’ interest in a corporation as stockholders’ equity. The PROFF
Company’s stockholders’ equity consists of $30,000 paid in for shares of
capital stock and retained earnings (earnings not paid out to stockholders)
of $2,070. The balance sheet heading includes the name of the
organization, the title of the statement, and the date of the statement, also
note that the claims upon or interests in assets equal the assets. Every
transaction affects at least two items and preserves the fundamental
equation: Assets = Liabilities + Stockholders’ equity. The dual-aspect
concept is evident from the fact that the assets listed on the left-hand side
of a balance sheet are equal in total to the liabilities and shareholders’
equity listed on the right-hand side.
Because of the dual-aspect concept, the two sides necessarily add up to
the same total. This equality does not tell anything about the company’s
financial health. The label “balance sheet” can give an impression that
there is something significant about the fact that the two sides balance.
This is not so; the two sides always balance.
An alternative practice is to list assets at the top of the page and to list
liabilities and owner’s equity beneath them. The former format is called
the account form6, and the latter is called the report form7 of balance sheet.
b. Decide whether the following statements are true or false. Account for your decision:

F 1. Companies give information about their financial situation in


financial statements. The balance sheet shows the company’s
assets – the things it owns; its liabilities – the money it owes
and its revenue at the end of the reporting period.
T 2. The balance sheet shows the financial position of the economic
entity at the particular moment in time. So the balance sheet is
a status report rather than a flow report.
F 3. Property, plant, equipment and cash are long-lived assets.
6
Горизонтальная форма баланса, в которой активы отражаются слева, а пассивы - справа
7
Вертикальная форма баланса, в которой активы отражаются в верхней части, а обязательства и собственный
капитал - под ними.

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F 4. Accounts payable, notes payable, mortgages, bonds are the
debts owned by a firm.
T 5. The dual-aspect concept means that the assets listed on the left-
hand side of a balance sheet are equal in total to the liabilities
and shareholders’ equity listed on the right-hand side.

e. Match the two parts of the sentences:


1. The historical cost principle is that the price paid to buy assets
2. Intangible assets are usually long-term in nature
3. Liabilities are considered to be current liabilities
4. Some things of value are never shown on a balance sheet,
5. When you deduct a company’s liabilities from its assets

a. you are left with shareholders’ funds.


b. and not their current value is recorded in accounts.
c. if the obligation is to be settled within the current accounting period.
d. and lack physical substance.
e. for example, the knowledge and skills of the company’s employees.

1 2 3 4 5
B D C E A
f. Test your ability to assign specific assets to various categories.
Here are 28 specific assets: traveler’s checks, tables, truck, calculator,
computers, lamp, pencils, typing paper, chairs, stationery, wrapping paper,
automobiles, coins, vans, money in bank, light bulbs, desk, correction
fluid, currency, staplers, showcases, folders, removable cartridge,
facsimile, lorry, files, computer disks, overhead projector, shredder.

Place each of these assets under the appropriate specific asset category
heading in the following form:

Cash Furniture Delivery Office Office


and Fixtures equipment equipment supplies
traveler’s tables truck typewriter pencils
checks
Coins lamp automobiles adding typing paper
machine

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money in Chairs computers stationery
bank
currency desk facsimile wrapping
paper
showcases desk blotters
light bulbs
correction
fluid
typewriter
ribbon
computer
disks

1. What is the difference between office supplies and office equipment?


(Supplies are expected to be used up within less than 1 year. Equipment
usually has a useful life in excess of 1 year.)
2. Why is a typewriter ribbon considered an office supply, even though it
is an integral part of the typewriter? (As a supply it will be used up in less
than 1 year.)
3. What type of asset (short-life or long-life) is a supply? (Short-life)
4. What type of asset (short-life or long-life) is a typewriter? (Long-life)
5. What type of asset (short-life or long life) is a computer disk? Why?
(A short-life asset. It is expected to be used up in that time.)
g. Place each of these 16 assets in the appropriate column of the
following form:
Cash in bank, office equipment, First National City bonds, patents,
accounts receivables, office supplies, notes receivables (due in 90 days),
building, office machines, furniture and fixtures, mortgage notes
receivables (due in 6 years), store equipment, petty cash, goodwill, factory
supplies, and merchandise.

Current Asset Investment Intangible Asset Plant asset


Cash in bank First National patents office equipment
City bonds
accounts mortgage notes goodwill building
receivables receivables
office supplies office machines

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notes furniture and
receivables fixtures
petty cash store equipment
factory supplies
Merchandise

3.5.6 a. Read the text and supply the prepositions where necessary.
b. Explain the purpose of the financial statements described in the
text.

The purpose of the statement of retained earnings is to explain the


changes in retained earnings that occurred between two balance sheet
dates. Usually, these changes consist of the addition of net income (or the
deduction of net loss) and the deduction of dividends paid out.
If we assume that the PROFF Company’s net income for August was
$1,500 (revenues of $5,600 less expenses of $4,100) and that it declared
and paid dividends of $1,000. Its statement of retained earnings for August
is shown in Illustration 5.3.
Illustration 5. 3.
PROFF COMPANY
Statement of Retained Earnings
For the Month Ended August 31, 200X

Retained earnings, July 31 $2,070


Add: Net income for August 1,500
$3,570
Less: Dividends 1,000
Retained earnings, August 31 $2,570

Information on the financing and investing activities of a business may


be helpful in appraising its continued profitability and solvency. The
income statement, statement of retained earnings, and balance sheet often
do not provide ready answers to such questions as: How much cash was
generated by operations? Why is such a profitable firm only able to pay
such meagre dividends? How much money was spent on plant and
equipment, and where did it come from? The statement of changes in
financial position - the fourth major financial statement - provides answers
to such questions. It reports the flow of funds into and out of a business
and is often called a funds statement or a cash flow statement. The
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statement of cash flow is a derived statement in the sense that it is usually
prepared from data originally collected for the balance sheet or income
statement.
Cashflow statement shows money actually coming into and going out
of a company in a particular period: cash inflows and outflows. It
represents a restructuring and a more detailed presentation of entries found
in other statements. The cashflow statement reports actual cash generated
at a point in time, thus avoiding the problem of accruals. Usually, the
cashflow statement breaks down the cash inflow and outflow activities into
three broad categories: cash from operating activities, cash from
investment activities and cash from financing activities.
Net cashflow from operations is the money generated by the sales of
the company’s goods or services, minus the money spent on supplies, staff
salaries, etc. in the period.
Net cashflow from investment activities is the result of purchases of
securities in other companies, money received from sales of securities in
other companies, loans made to borrows, loans repaid and loan interest
paid by borrowers, purchase of land, buildings and equipment.
Net cashflow from financing activities is the result of money received
through short-term borrowing, money repaid in short-term borrowing,
money received through issuing new shares and/or bonds in the company,
dividends paid to shareholders.
Adding and subtracting the figures above, the company calculates its
net cash position at the end of the year. Investors check the cashflow
statements to see how the company is obtaining and using its cash – how
much is made from its operations, how much it has raised through new
share issues, etc.
Other names are sometimes used for it, including funds flow statement
and source and application of funds statement.

3.5.7 Say it in English:


Section A
 to fall due
 current (short-term / short-lived / short life) assets
 fixed (noncurrent) (long-term / long-lived / long-life) assets
 current (short-term) liabilities / fixed (long-term) liabilities
 owner’s equity
 shareholders’ (stockholders’) equity / share capital

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 balance sheet, balance, statement of financial position; asset-and-liability
statement (Am.)
 income statement, profit and loss account, profit and loss statement,
statement of earnings, statement of operations
 managerial (management) accounting / financial accounting
 accounts payable, payables
 accounts receivable, receivables
 statement of retained earnings
 to furnish (to provide) capital to a company
 to conform to certain standards
 generally accepted accounting principles (GAAP)
 Securities and Exchange Commission (SEC)
 feedback
 the internal user
 the external user
 notes payable

Section B
The Profit and Loss Account (and Statement of retained earnings related
to it / associated with it) is the flow statement as it accounts for some
changes that occurred in an account of retained earnings demonstrating
(reflecting / showing) an increase (revenues) and decrease (expenses and
dividends) of the retained earnings for the accounting (reporting) period.
The data / information on (about / concerning) economic results of the
operative (operating) activity for a certain (particular / stated / specified /
indicated / given) period are / is collected in the profit and Loss account.
The key notions used for the income measurement for the period are
accounting of revenues and their matching with (against) expenses.
Revenues are accounted in (during / within) the period of activity,
resulting in their receipt (e.g. = for example / for instance, the delivery of
goods or rendering services) regardless of (irrespective of / without
reference to) the fact when payment is executed (made / effected).
Expenses include (encompass) resources used for the generation of income
of the certain period and funds spent on the administration of the firm
during the same period, also without accounting (taking into account /

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taking into consideration) when the appropriate cash assets(cash means /
cash facilities / cash resources / monetary funds) were spent. So (thus),
income for a certain period is not directly connected with the cash flow
associated with the operations undertaken (performed / conducted / carried
out) within the same period. Besides (moreover / furthermore / else), as the
Profit and Loss Account is based on the results of the operations it doesn’t
contain any information on (about) investing or financing (financial)
policy of the firm for a given period of time.
The data (information is) concerning (on / about) the cash flow of the
operations (transactions) undertaken (carried out / effected) for the
accounting (reporting) period, as well as on the investing and financing
activity during the same period are provided in the cash flow statement.
Section C
The Balance Sheet (B / S) of an enterprise is one of the forms of Financial
Statements in which the information on the Assets, Liabilities and Capital
of an accounting entity is reported (shown) as of a specified moment in
time. (The balance sheet reports the assets and equities and liabilities
(liabilities and owner’s equity) of the entity at the specified moment in
time.) Companies Act stipulates the definite Balance Sheet Formats and
requires that it should provide a true and fair view concerning (about / on /
of) the status of the company (the co’s status / state of affairs in the
company).
Section D
Balance Sheet Formats (of the enterprise / of the accounting entity / of
the company). In Great Britain (in the UK) it is allowed by Companies Act
to present (produce / render / submit) the Balance Sheet in two formats:
Horizontal Format and Vertical Format. The Balance Sheet Format of the
American corporations differs from that adopted in Great Britain by
terminology and due to the fact that firstly it gives (provides) the
information on the most liquid asset items (Assets) and obtained funds
(Liabilities), but not vice versa as it is exercised (executed / made) in Great
Britain. Most English companies prefer Vertical Format. As for (as to)
other states-EU members only Germany and Italy must present (submit)
their Balance Sheet in the Horizontal Format only / exclusively.

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5.5.8 a. What do the following abbreviations stand for?
SEC - (Securities and Exchange Commission)
Ltd - (Limited / with Limited Liability)
A = L + C - (Assets = Liabilities + Capital)
COGS - (cost of goods sold)
SG&A - (selling, general and administrative expenses)
EBITDA - (earnings before interest, tax, depreciation and amortization)
EBIT - (earnings before interest and tax)
GAAP - (Generally Accepted Accounting Principles)
IFRS - (International Financial Reporting Standards)
SAP - (Statutory Accounting Principles) (in Insurance)
A/c - (account)
ACCA - (Association of Certified and Corporate Accountants, USA);
(Association of Chartered Certified Accountants, UK)
Acct - (account, accountant)
A/cs. Pay - (accounts payable)
A/cs. Rec - (accounts receivable)
Aud - (audit, auditor)
Bal - (balance sheet)
B/p - (bills payable)
B/r - (bills receivable)
Int - (interest)
IOU - (I owe you)
MU - (monetary unit)
O/H - (overheads)
PFD - (preferred stock)
P/L (profit and loss)
PPD - (prepaid)
SE (2) - (Stock exchange; shareholders’ equity)

3.6 DIALOGUE 1
Task 2. Say it in English:
1. общественный (независимый) бухгалтер – a public accountant
2. бухгалтер компании, штатный бухгалтер – a private accountant
3. аудиторский отдел – the Audit division
4. составлять финансовые отчеты – to compile financial statements
5. основываться на общепризнанных принципах бухгалтерского
учета – to base on GAAP
6. финансовые неточности – material misstatements
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7. финансовое положение (состояние), финансовая позиция компании
– the financial standing of the company
8. уплачивать сборы; налоги; пошлины; платить за услуги – to pay
one’s dues
9. бухгалтер; счетовод (уничижительное наименование бухгалтеров)
– a bean-counter
Task 3. Use Supporting Materials to continue the dialogue about jobs
in accounting and auditing. Make use of helpful phrases from
the dialogue above.
Supporting Materials
b. Match the two parts of sentences below to find out what different types of accountants do.

1. Bookkeepers A check the complete accounts before they are


presented to the external auditors and make
sure that the management has sufficient
control over what is going on in the company
2. Management B record transactions in purchase ledgers and
accountants sales ledgers
3. Internal auditors C have to verify that a company’s published
financial statements give a true and fair view
of its profit, its assets and liabilities
4. External auditors D calculate how much tax an individual or a
company should pay – or try to reduce this
figure
5. Cost accountants E analyse the sales figures from different
departments and make decisions about their
future activity
6. Tax accountants F work out the real cost of every item the
company makes which means finding a way
to allocate all the overheads to different
products

1. 2. 3. 4. 5. 6.
B E A C F D

DIALOGUE 2
Task 2. Indicate whether each of the following statements is true (T) or false (F):

F 1. Only individual citizens, not businesses, pay income taxes in

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the United States.
T 2. Many larger corporations in the United States pay more than
50 percent of their net income to federal and state
governments in the form of income taxes.
F 3. No form of organization or method of handling transactions
can give a tax advantage.
T 4. A corporation enjoys certain nontax advantages over
individual proprietorships or partnerships, such as limited
liability, continuity of existence, and ease of raising capital.
T 5. The owners of individual proprietorships and partnerships
show the income from their businesses on their individual
tax returns.
F 6. In a progressive income tax, all earnings are taxed at the
same percentage rate.
F 7. Corporations may claim a tax deduction for the dividends
they pay out to stockholders.
F 8. There is no tax advantage available to a small-business type
of corporation.
Task 3. Say it in English:
 налоговый учет – tax accounting
 подсчитывать чью-либо задолженность по налоговым платежам
– to compute one’s tax liability
 обложение налогами и взимание налогов – the imposition and
collection of taxes
 бланк налоговой декларации – a tax-return form
 облагать налогом, взимать налог – to levy / to impose taxes
 вычитать все положенные по закону удержания – to subtract all
legal deductions
 валовая прибыль – gross income / gross profit / gross margin
 положения (оговорки) в налоговом законодательстве – provisions
in the tax laws
 предлагать альтернативные методы проведения специфических
операций и учетных процедур – to offer alternative methods for
handling particular transactions or accounting procedures
 иметь результатом либо сумму, сэкономленную за счет
уменьшения налоговых платежей, либо отсрочку задолженности

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по налоговым платежам – to result in either a tax saving or a
postponement of the tax liability
 самостоятельный хозяйствующий субъект – an individual entity
 оценивать необлагаемые налогом позиции компании – to
evaluate nontax features
 непрерывность существования и легкость получения капитала -
continuity of existence and the ease of raising capital
 получать капитал от продажи акций - to raise capital by selling
shares
 платить ставку прогрессивного подоходного налога для
физических лиц с их дохода от предпринимательской
деятельности – to pay the progressive income tax rate for individuals
on their business income
 уплата процентов по закладной (на недвижимое имущество) -
interest payments on mortgages
 устранять или уменьшать двойной налог – to eliminate or reduce
the double tax
 получить налоговый вычет на сумму полученных дивидендов -
to receive a dividend exemption
 корпорация имеет статус юридического лица – a corporation has
status as a legal entity; the corporation enjoys legal status as an
individual entity
 относить окончательную или оцененную задолженность по
налоговым платежам на счет расходов по подоходным налогам и
вычитать в отчете о прибылях и убытках – to charge the final or
estimated tax liability to the income-taxes expense account and to
deduct on the income statement
 отражать по кредиту счета – to credit the liability to the estimated-
income-taxes payable account

Task 4. Use Supporting Materials to continue the dialogue about tax


accounting. Make use of helpful phrases from the dialogue
above.
Supporting Materials

Say it in English:

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 добиваться режима долгосрочного прироста капитала (прироста
капитальной стоимости) – to obtain long-term capital-gains
treatment
 получить льготный налоговый режим – to get preferential tax
treatment
 учет износа (учет амортизации) - accounting for depreciation /
depreciation accounting
 отсрочка двойного налогообложения – the deferral or postponement
of double taxation
 дробление дохода (в целях снижения налоговых платежей) –
income splitting
 поощрять (стимулировать) дополнительные выплаты – to
encourage fringe benefits
 допускать отсроченные выплаты налогов – to allow deferred tax
payments
 метод уменьшения остатка – the declining-balance method
 первое поступление - первый отпуск (ФИФО); учет по методу
ФИФО – FIFO (first-in, first-out)
 последнее поступление - первый отпуск (ЛИФО); учет по методу
ЛИФО – LIFO (last-in, first-out)
 с точки зрения обложения налогом – from a tax standpoint
 на основе платежей в рассрочку – on the installment basis
 истощимые активы (в процессе добычи, эксплуатации, обычно-
природные ресурсы) – depletive assets
 допускать вычеты (удержания) из валовой прибыли – to allow a
deduction on the gross income / gross profit / gross margin

3.9 GRAMMAR BACK UP

The Infinitive, Past Participle and the “-ing” form


(Revision)
Exercise 3.9.1
Choose the correct form of the Verbals.
Figures (appearing/appeared) in the balance sheet represent the
historical value of the stock of assets available to the firm (to
generate/generating) sales and profits. Because the value of assets is
(base/based) on original purchase price they tend to understate the real
value of these assets if they had to be (replacing/replaced). In high

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inflationary periods, the cost of replacing (existing/existed) assets is
relatively high. As a result, by (understating/having understated) the value
of these assets, the returns on these assets become (overstating/overstated).
Attempts have been made (state/to state) assets on a replacement basis, but
accountants have been unable to resolve this problem to everyone’s
satisfaction.
Generally (spoken/speaking), however, the balance sheet is a
statement of assets, liabilities, and stockholders’ equity. As of a certain
date, the left side on this statement shows a breakdown of current assets in
the form of cash and other assets that (constituting/constitute) the working
capital of the firm. Fixed assets are mainly long-term investments,
including plant and equipment.
The right side of the balance sheet shows current liabilities,
(consisting/consisted) of accounts payable, notes payable, and other short-
term liabilities. From this point on you find long-term debt, which has a
maturity date of over 1 year. This part of the balance sheet may also
include the capitalized value of financial leases. After you
(deduct/deducted) the liabilities from the assets, the (remaining/remained)
value is the net worth of the firm. The components of net worth include the
par value of common stock outstanding 8, paid-in capital surplus9, and
retained earnings (being accumulated/accumulated) from previous profits
generated by the firm after the deduction of dividend payments. If the firm
were (liquidated/liquidating) and all creditors’ claims (paid off/paying off),
the net worth is what would be (left/leave) over for distribution to the
stockholders.
By (deducting/deduct) current liabilities from current assets, you can
find out something about the liquidity of the firm, and by matching profits
against the assets invested in the firm, you can gain some idea of how
effectively the firm has utilized assets to generate profits.
Exercise 3.9.2
Open the brackets, putting the verbs in the correct forms. Make use of
the table above.

1. You can find out this bank’s phone number by looking (look) in the
directory.
2. Last year our company attempted to take over (take over) its nearest
competitor.
8
Номинальная стоимость выпущенных простых акций
9
Эмиссионный доход

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3. The growth in multinational corporations manufacturing and trading
(to manufacture and trade) on a worldwide basis has led to the growth
in the overseas operations of major banks over the last twenty years.
4. As is known, a bank’s size is a significant factor in determining
(determine) how banks are organized.
5. One of the most important functions of a central bank is to accept
responsibility for advising (advise) the government.
6. Earning (Earn) profits cannot be the responsibility of business,
because its main exercise is to create organizations with a real
commitment to the community.
7. The Anti-Monopoly Minister was accused of being inefficient (to be
inefficient) because he discourages original ideas and postpones
decision-making.
8. Increasing / To increase / Having increased (Increase) its range of
services to private individuals, our bank is installing (install) and is
continuing to develop its own electronic transaction card system.
9. Hoping (Hope) to restore investor confidence, the US administration
has adopted a law tightening (tighten) regulation of companies’
financial reporting.
10. Deposits, payments and credits are the basis of the services offered (to
offer) by banks.
11. The services make it possible for banks to generate profits and achieve
their operating (to operate) aims.
12. The necessary information is provided (to provide) by the profit and
loss account for the period in question.
13. A bank's accounting (to account) systems are designed (to design) to
record and present the many transactions that take place every day.
14. A bank should have retained (to retain) profits in the business for
future operations.

Exercise 3.9.3
Do it in Russian
1. Устав от борьбы за контроль над компанией, в которой
конкуренты использовали доверенности на голосование на
общем собрании, они сдались. Tired of proxy fights (an attempt to
gain control of a company by persuading existing shareholders to
vote into office a new team of directors, voting by proxies), they
gave in.

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2. Я не знал, что, владея акциями компании, я буду ее
совладельцем. I didn’t know that owning shares of the company
I’ll be its co-owner.
3. Мужчина с портфелем ручной работы вон там – это посредник,
представляющий компанию-конкурента. A amn with a hand-
made suit-case over there is a middleman, representing a rival
company.
4. Какие проблемы обычно ассоциируются с дефицитом
платежного баланса? What problems are usually connected with an
unfavorable balance of payments? What are the problems commonly
associated with deficits in an unfavorable balance of payments?
5. Импортированное оборудование составило почти одну
четвертую часть всего машинного оборудования проданного в
стране. Imported equipment amounted to nearly a quarter (one-
fourth) of the total sold in the country.
6. Судя по тому, что было только что упомянуто, производители
могут покрыть кое-какие свои производственные издержки с
помощью предоставленной субсидии. Judging by what has just
been mentioned, manufacturers may cover some of their production
costs with the help of subsidy.
7. Не зная полного адреса бенефициара, агент не смог послать
письмо. Not knowing beneficiary’s full address, the agent could.t
have sent a letter.
8. Контракт содержит статью, предусматривающую, что все
споры, время от времени возникающие по нему (по контракту),
должны передаваться в арбитраж. The contract includes an article
providing that all the disputes from time to time arising on it (the
contract) mustl be submitted to arbitration.
9. Зная, что уровень продаж начал снижаться, мы предложили
бартерную сделку. Knowing that sales began to decline, we
suggested a barter deal.
10. Бесполезно вкладывать средства в это предприятие. Я получил
внутреннюю закрытую информацию: им угрожает
недружественное поглощение. It is useless to invest in this
venture. I’ve got insider information that there is a risk of hostile
takeover.
11. Так как эти запчасти не продаются по текущей цене, они всегда
пользуются спросом. These spare parts not being sold at the
current price, they are always in high demand.

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12. Потребовав, чтобы платеж был осуществлен безотзывным
ак-кредитивом, они также настояли, чтобы партнеры
подтвердили его через Лондонский банк. Demanding that
payment should be made by an irrevocable letter of payment, they
also insisted on their partners to confirm it through the London bank.
13. Пытаясь ограничить предложение и контролировать цену на
конкретный товар, картели регулярно собираются, чтобы
решить, сколько товара продавать и сколько брать за свой
продукт. Trying to limit the supply and control the price of a
particular item, members of cartels meet regularly to decide how
much to sell and how much to charge for their product
14. Называя по буквам слово, когда я говорю по телефону с
человеком, говорящим по-английски, я всегда пользуюсь
официальным алфавитным кодом министерства почт
Великобритании. Spelling a word when I'm talking on the phone
with a man speaking English, I always use official alphabetical code
of the UK Ministry of postal services.
15. Проценты по депозиту выплачиваются по ставке, определяемой
банковской базовой ставкой. The rate of interest paid on a deposit
is defined by the Bank base rate.
16. Секретарь, печатавшая письмо, работала, не говоря никому ни
слова. The secretary, typing the letter, was working without telling
anybody a word.
17. Секретарь, печатавшая письмо для своего шефа вчера, считает,
что оно очень важное для поставщиков. The secretary, who typed
the letter for her boss yesterday, considers this letter to be very
important for the suppliers.
18. Упомянутая цена была на 5% ниже, чем та, которую платили по
предыдущему контракту. The price mentioned was 5 % lower
than that paid on the previous contract.
19. Введя налог, которым облагаются ввозимые в страну
товары на основе их стоимости или количества, страна
уменьшила объем импорта и таким образом скорректировала
дефицит платежного баланса. Imposing a tax, levied on goods
imported into the country on the basis of their value or quantity, the
country reduced the imports and thus adjusted the unfavourable
balance of payments.

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20. Покупатели согласились оплатить сумму счета-фактуры против
представленных документов, не отклонив заказ. Buyers agreed
to pay the invoice against the documents.
21. Получив чрезвычайно высокие прибыли, компания испытывала
трудности, т.к. ее подозревали в инсайдерской торговле.
Having received extremely high profits, the company had
difficulties, as it was suspected of insider trading.
22. “Ты бы лучше привел в порядок свой личный бюджет, чем жить
постоянно в долг,“- посоветовал Г. Грант Питеру. You’d better
adjust your personal budget rather than be always in the red – HG
advised Peter.

Exercise 3.9.4
Think of the word which best fits each space. Study the table above.
Make use of it and add to it.
1. As a rule the five-year period runs from the date of … a savings
account, and care does need to be taken if you decide to switch accounts.
A. opening
B. having opened
C. being opened
D. having been opened
2. It does not make sense to deny that there is a need … our shareholder
value in an increasingly competitive environment.
A. to improve
B. improving
C. being improved
D. to have improved
3. Banks today keep accounts … software that automatically converts
their entries into international notation.
A. being used
B. by using
C. having used
D. use
4. Barely a day goes by without movement in the oil market … as a
rationale for the performance of the US dollar.
A. citing
B. being cited
C. having cited
D. cited

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5. The talks on … a $100 million credit line to two Russian shipping
companies are under way.
A. having provided
B. providing
C. provided
D. being provided
6. “What ... that someone from the firm ought ... an opinion of the
damage?”
A. ... makes you assume ... to go up and give to us ...
B. ... makes you think ... to go up and give us ...
C. ... makes you thinking ... go up and give us ...
D. ... make you think ... to go there and give us ...
7. The growing popularity of electronic brokerage systems for foreign
exchange tends … liquidity10.
A. eroding
B. to erode
C. having eroded
D. to have eroded
8. Do ... somewhere a little more forward-looking! Or I ... die!
A. ... let’s us go ... would rather
B. ... lets go ... would sooner
C. ... let’s go ... would rather to
D. ... let’s go ... would rather
9. Another popular method is … the forward rate as a premium or discount
from the spot rate, … as the swap rate.
A. еxpressing … knowing
B. expressed … known
C. to express … known
D. to have expressed …know
10. ... , you are ... GBP 503.55 in settlement of our statement of account
dated 10th December.
A. To cut a long story to short ... enclose your cheque for ...
B. If cut a long story short ... enclosing your cheque for ...
C. To cut a long story short ... to enclose your cheque for ...
D. Cut long story short ... to enclose yours cheque for ...
11. Protective tariffs make ... and encourage people ... country.
A. ... import products rather more expensive ... to buy goods producing
in their own ...
10
Вымывать ликвидность

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B. ... imported products lots more expensive ... to buy goods produced
in their own ...
C. ... imported products somewhat more expensive ... buying goods
produced in theirs ...
D. ... imported products expensive than ... buying goods produced in
their own ...
12. ... turnover.
A. Without having a capacity to produce the order, they refused taking it
in excess of the budgeted
B. Without having a required production capacity for the order, they
were looking forward to take it in addition to the budgeted
C. Not having a producing capacity, they refused to take the order in
addition to the budget
D. Not having a capacity to produce the order, they refused to take it in
addition to the budgeted
13. John Martin ... for his staff.
A. had sometimes had to take troublesome decisions but he is assumed
to be caring and concerned
B. sometimes had to make unpopular decisions but he is known to be
caring and concerning
C. has sometimes had to make tough decisions but he is known to be
caring and concerned
D. has sometimes to take strong decisions but he is know to be caring
and concerning
Exercise 3.9.5
Choose the correct way of completing each sentence.
1. As a rule, senior vice-presidents are responsible (to assist/for assisting)
heads of various departments.
2. Large banks generally succeed (to raise/in raising) financial capital at a
relatively low cost.
3. Small banks are good (to place/at placing) the banker close to the
customer.
4. This bank possesses the important advantage (to be able/in being able)
to attract smaller consumer-oriented deposits.
5. Some banks have a possibility (to offer/of offering) all of their services
from one office.
6. Before (to register/registering) a commercial bank Russia’s Central
Bank checks up the origins of its start-up capital.

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7. Our bank has an intention (to lend/of lending) more to the real sector,
although it has to hedge against high risks involved in this sort of activity.
8. The adoption of the law (to insure/on insuring) private individuals’
deposits is one of the key elements of banking reform in the Russian
Federation.
9. Banks are accustomed (to being criticized/to be criticized) for a high
level of interest rates and unfavourable conditions of lending.

Exercise 3.9.6
Familiarize yourself with the information below. Tick () the correct
words or word combinations.
We are back in the Accounts Department today. Christopher Thorn, the
Management Trainee, is studying | is study | studying the work in the
Accounts Department. Having look through the accounts| Having looked
through the accounts | Looking through the accounts , Mr. Buckhurst, the
Chief Accountant, decided to chase up some bad debt, that is, money
which has been owing to the firm for a long time.
Collected bad debts | Being collected bad debts | Collecting bad debts is
often a difficult affair. Retail business is usually done on a cash basis, and
wholesale business is done on credit. Harper & Grant mainly do business
on wholesale terms: they have the credit given | they have to give credit |
they have given credit , that is, shops or stores can have the goods they
want |can have the goods want | can have wanted the goods and defer
payment. But credit is usually only given for thirty days.For each
individual sale an invoice is sent to the customer, that is a list of the goods
delivered | a list of the goods been delivered | a list of the delivering goods
and the amount owing | the amount owed | the owe amount, on that
particular transaction. At the end of the month each customer is sent an
account, which shows the total amount due.
Any company likes to receive long credit from its suppliers and would like
to give short credit to its customers. Offered a small discount | Offering a
small discount | Having been offered a small discount, the supplier offers
an inducement to customers to pay earlier than they need; i.e. the customer
pays slightly less if he pays within, say, ten days of the date of invoice.
Sometimes, of course, a debtor cannot pay; for example, it may happen
that a firm never gets its money because another firm whom they supplied
with goods has become insolvent. In some cases a firm does not pay
because the people who run it are dishonest.

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Accounts not paid in time | Accounts not being paid in time |
Accounts been not paid in time are called overdue accounts. Very often a
sales representative has to call and collect the money or make enquiries.
Sometimes, in very difficult cases, a firm employs a professional debt
collector. No company wants to get a reputation for to be a bad payer |
been a bad payer| being a bad payer. It may then be difficult to get supplies
on credit. There are agencies which will give information about the
financial situation of almost any company, so that suppliers can judge
whether they are a good credit risk. Many buyers will suggest a supplier to
write | a supplier writing | that a supplier writes to their bank for a
reference. Luckily, Harper & Grant always mark their goods with a serial
number. Some firms do this, others do not. In this case, it turns out being |
it turn out to be | it turns out to be very useful indeed.

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