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financing. Like the information on the firm’s financial statements, the ratios can and should be

compared with those of past accounting periods, those of competitors, and those representing the

average of the industry as a whole.

III. Answer the questions:

1. What is accounting? Give a short definition.
2. Is it possible to manage a business operation without accurate and timely accounting
information?
3. Who needs accounting information? Explain why.
4. What is the basis for accounting process?
5. State the standard form of the accounting equation.
6. What is a balance sheet? Give a short definition.
7. What must a balance sheet show?
8. What is an income statement?
9. What can be computed from the information contained in a balance sheet and an
income statement?
10. Do the ratios computed from this information provide a picture of a firm’s
profitability and its position?
11. Is this information for competitors?

IV. Give English equivalents of the following:

територія продажу податок
окремий продавець короткий зміст
сектор конкурент
відділ довгостроковий
ставити цілі звітний період

V. Match the management terms with their definitions:

1. Proprietor a) brief account giving the chief points;
2. Partnership b) owner especially of a hotel, store, land or
patent;
3. Accumulate c) joint business;
4. Summary d) make or become greater in number or
quantity.