Unit 7 1 Complete the sentences with one of the following words. bonds, market, preliminary, share, undervalued, principal, stock, overvalued, interest, interim, loan 1 We publish ________________ results halfway through the year, and then ________________ results shortly after the end of the year, before the full report is ready. 2 Investment in ______________ companies requires patience; you have to wait and hope that prices will rise. 3 Nowadays there are many websites showing ______________ prices and _______________ _______________ information to help people manage their investments online. 4 If a company is described as ________________ then expectations of its share price are usually not too high. 5 The company plans to raise more than $30 m by issuing ______________ and is offering investors an attractive rate of ______________. 6 A proportion of the monthly repayment on a ____________ is used to reduce the amount of the ___________. 2 Complete each sentence with a word made from the word given in brackets. 1 We have to allow 10% per year for ________________ of our machinery. (appreciate) 2 The ________________ principle means that although we didn’t invoice for the goods until June, we have to record the transaction in April, when the good were sent. (accrue) 3 The figure of Ł50,000 in the ‘interest ________________’ line of our P&L is due to our high level of borrowing this year. (pay) 4 The rebuilding costs for our Spanish factory after a fire last year are shown under ________________ items on the P&L account. (except) 5 Our ________________ profit this year is significantly down on last year due to the difficult economic conditions. (operate) 3 Write one word in each gap to complete the sentences. 1 The brand names ‘Coca-Cola’ and ‘Fanta’ are very valuable ______________ assets. 2 Our ______________ assets include the factory and office buildings. 3 Our ______________ assets include ______________ (e.g. money we have in the bank), ______________ (e.g. shares in another company), ______________ (e.g. products which are waiting to be sold) and ______________ (e.g. money owed to the company). 4 Sums we owe are called ______________. These can be divided into two types: debts that need to be repaid within the next year, known as ______________ and debts that need to be repaid further into the future, which are called ______________. 5 The money invested by shareholders is called ______________. 6 ______________ is the money that we have to pay to the government, based on our income. 7 The sum of the money invested by shareholders and the profits kept by the business (and not paid out in dividends) is known as ______________. 8 If we take money from the bank in excess of the money we hold in the account, we have an ______________. 9 Money that has been kept for use in the business and not paid out to investors is called ______________. 10 The people or companies that we owe money to are our ______________. 11 Income received from ownership of part of a profitable company is called ______________. 12 A document containing details of a company's performance over a year is called ______________. 4 An auditor is talking to the finance manager of a company. Choose the best word to fill each gap. Firstly, the machinery in the factory is beginning to wear (1) ________ and therefore the (2) ________ value shown in the balance sheet is probably too high. We recommend writing (3) ________ the value by 20%. The total amount can then be written (4) ________ after five years. Secondly, some of the (5) ________ goods in the warehouse have a much lower (6) ________ value because they are last year’s models. Finally, however, the value of some of the (7) ________ goods on the production line can be increased as many of the materials were purchased last year and prices have risen since then. 1 A down B off C out 2 A market B book C actual 3 A down B off C up 4 A down B off C up 5 A unfinished B final C finished 6 A book B market C reality 7 A unfinished B incomplete C finished (from Test Your Business Vocabulary Advanced, pp. 47-50) Passives Rewrite the following sentences using the verb in brackets. 1. Don McCullin is one of the greatest war photographers. (considered) Don McCullin is considered to be one of the greatest war photographers. 2. He suffered from recurring nightmares after working in Vietnam. (said) ______________________________________________________________ 3. He was an active trade unionist when he was young. (known) ______________________________________________________________ 4. The rain will die out this afternoon. (expected) ______________________________________________________________ 5. The escaped prisoner is heading for Scotland. (reported) ______________________________________________________________ 6. She has an income of over £100,000. (supposed) ______________________________________________________________ 7. Three people have been killed in an avalanche. (believed) ______________________________________________________________ 8. They were skiing in the area when the avalanche started. (presumed) ______________________________________________________________ 9. The rival factions are heading for an agreement on the disputed territory. (thought) ______________________________________________________________ (from New Headway Advanced, Workbook, p. 37)