Ex.1. Explain what the auditing function of accounting involve.

Ex.2. Discuss with your groupmates various functions of internal and external auditors.

Ex.3. Do you think auditing is useful to a business? Has the attitude toward auditing changed in modern times?

Ex.4. Familiarize yourself with the following idioms, consult your dictionary and translate the sentences into Ukrainian. Think of situations where you could use them:

1. The company’s owners are old and tired; the company needs some new blood.

2. He visits once in a blue moon; we almost never see him.

3. She started with no money and pulled herself up by her bootstraps to run her own company.

4. The bottom line is that we have to increase our sales or take a cut in pay.

5. He went broke without even a penny.

Ex.5. Comment on the following:

“The path to success is to take massive, determined action.”

(Anthony Robbins)

TEST 5 (UNIT V)

Choose the word or word combination to match the definition.

1. An accountant who has passed examinations required by the state licensing officials.

2. A plan of expected income and expenditure for a particular period of time.

3. The total of separate budgets from different departments within a company.

4. The people who control a company.

5. The period used by companies and governments for accounting and tax purposes.

6. A detailed inspection of the accounts of an organization by a professionally trained person.

7. A report showing profit and loss for a business or institution.

8. The books, files or computer records where a company's accounts are kept.

9. An audit carried out by a person not employed by the company.

10. An aim or target.

11. A statement about what one thinks will happen in the future.

12. The amount of work to be done.

13. A specialized branch of accounting that deals with government agencies.

14. The recording of all money received into and paid out of a company in a book or on a computer file.

15. Dismissing a worker for a period of time.

16. The person appointed by the court to close a company and dispose of its assets.

17. A person or an organization that you owe money to.

18. To be unable to pay your debts.

19. To become bankrupt.

20. A reduction in the amount or quality of something.

Unit VI money and banking

Lesson 1

Text: Money and its Functions

Grammar: Progress Test IV (Modal Verbs)

Terms to remember:

Money and its Functions

In songs and popular language “money” stands for many things. It’s a symbol of success, it’s a source of crime, and it makes the world go round.

Along with the Market, Manpower and Material, Money is the last of the big M's that make business function. It is in the centre of any business activity.

Money is anything used by a society to purchase goods, services or resources. Different groups of people have used all sorts of objects as money – whale’s teeth, stones, beads, gold and silver, for example. Today, the most commonly used objects are metal coins, paper bills,checks and plastic money.

For money to have value, it must perform certain functions, it must be easy to use, and it must be trusted.

Money has three main functions in any society:

Serves as a Medium of Exchange. Money, the medium of exchange, is used in one half of almost all exchange. Workers exchange labour services for money. People buy and sell goods in exchange for money.

Serves as a Measure of Value. Money serves as a measure of value because the prices of all products and resources are stated in terms of money. Money is used as a yardstick for all bookkeeping, budgeting and management.

Represents a Store of Value. Money is a store of value because it may be held and spent later. It is a means for retaining and accumulating wealth.

Exercises in Word Study

Ex.1. Form adjectives from the following nouns:

symbol, success, crime, money, difference, value, product, wealth.

Ex.2. The following words can be used in more than one way. Underline the correct part of speech for each word as it used in the text.

Ex.3. Give the English for:

символ успіху; купувати товари та послуги; золото та срібло; монети та банкноти; виконувати функції; засіб обміну; в обмін на гроші; мірило вартості; складання бюджету; засіб заощадження.