Professional _—- English in Useia Contents INTRODUCTION BASIC TERMS. GD Money and income A Currency B Personal finance Bw A Capital B Revenue ess finance © Financial searements ACCOUNTING GB Accounting and accountancy A Accounting B Auditing € ta rules and standards @B Bookkeeping A Double-entry bookkeeping B-Day books and ledgers © Balancing the bixky EB Company taw 7 A Parcnetships B Limited liability © Founding companies CB Company law 2 A Private and public companies B AGIs Accounting policies and standards A Valuation an] measurement Historical cose anc! inflation accounting @B Accounting assumptions and principles A Assumptions B Principles 10 14 16 1B 20 22 GD Depreciation and amortization 24 A Fixed assets B Valuation © Depreciation systems OD Auditing 26 A Internal auditing B External audicing © Irregulaciues The balance sheet 1 28 A. Assets, liabilities and eapital B Shareholclers’ equity The balance sheet 2: assets 30 A. Fixed and current assets B Valuation © Tangible anc incangible assets The balance sheet 3 liabilities 32 A Liatulities B_ Accrued expenses © Sharcholders’ equity en the balance sheet The other financial statements 34 A. The profit and lose account B The cash flow sratement @ Financial ratios 1 36 A. Types oi financial cation B_Liquidie and solvency ratios © Earnings and dividends GB Financial ratios 2 38 A. Profiabilie B Leverage Cost accounting 40 A. Dineet and indirect costs B. Fixed and variable costs © Breakeven analysis 3 Pricing 42 A. Manufavturers'peiting stateyies B Retail pre rates Professional English n Use FinanceBANKING @®) Personal bankin 44 A. Carrent accounts B_ Baoking products and services © E-banking Commercial and retail banking 46 A Commercial and retail hanks: 8 Credit © Lnans ond risks A Types of financial ustuian B Dereyulacios © Specialized banks inancial institutions 48 Investment banking 50 4 Raising capital B Mergers andl acquisicions © Consulting and research BBY Central banking 52 A. The functions of censral banks 8 The central hank and the couunercial hanks © Central banks and exch rates Interest rates 54 A Interest rates and monetary policy B Different interest rates Money markets 56 A ‘The money markers 8 Common money marker instruments © Repos © Islamic banking 58 A Tnterest-free banking, B Types uf accounts © Leasing and short-term loans Money supply and control 60 A” Measuring money 8 Changing the money supply © Monerarisin Professional English in Use Finance CORPORATE FINANCE EBB Venture capital Raising eapical 8 Rete EBD Stocks and shares 1 A. Stocks, shares and estes B Going public © Ordinary and preference shares EDD Stocks and shares 2 4 Buying gn selling shames B New share ines © Categories of stocks and shares Shareholders A tnsestis 8 Divkleuds an capital gains © Speculators EBD Share prices A Inthionces om share prives B Preticring prices © Ispes of risks EB) Bonds A Government and corporate bonds B Prices and yiclds © Other typos of bonds Futures A Commodity futures B Linancial h Derivatives A Options B In-the-money and onr-of-the-money © Warranss and soraps EBB Asset management A. Allocating and diversifying assets B Types of investor © Active and passive investment Hedge funds and structured products Hedge funds Leverage, shorting and arbitrage © Structured products 62 64 66 68 70 72 74 76 78 80