Balance sheet. Sections and articles of the balance

Ex. 1. Read and translate the text.

Sections and articles of the balance

In order to obtain information needed for control and management the articles of balance assets are grouped in three sections, liabilities - in five sections.

Assets. Section I. “Non-Current assets". Articles: intangible assets, uncompleted building, fixed assets, long-term financial investments, long-term accounts receivable, other non-current assets. Section II. "Current assets". Article: inventories, bills received; accounts receivable for goods, works and services; accounts receivable on calculations, other current accounts receivable, current financial investments, cash and their equivalents in different types of currency, other current assets. Section III. Deferred Expenses of balance assets.

Liabilities. Section I. Owner’s equity. Articles: Authorized equity, share equity, additional equity, reserve equity, unpaid equity, retained earnings. Section II. Warranty provision. Article: providing payments to staff, other providing, target financing. Section III. Long-term liabilities. Article: long-term Bank loans, other long-term financial liabilities, deferred tax liabilities. Section IV. Current liabilities. Articles: Short-term Bank loans, the current notes receivable; accounts payable for goods, work, services; current liabilities on cash equivalents. Section Y. Deferred Income of balance liabilities.

In addition to the balance sheet the accountants draw up other forms of financial statements: statement of financial results, statement of cash flows, statement of owner’s equity.

VOCABULARY:

non-current assets owner’s equity

intangible assets authorized equity

uncompleted share equity

fixed assets additional equity

long-term financial investments retained earnings

accounts receivable unpaid equity

financial investments provision payments to staff

inventories deferred tax liabilities

note receivable accounts payable

note payable Deferred Income

Deferred Expenses current notes receivable

Ex.2. Answer the questions.

1. How many sections of balance sheet? What are they?
2. What sections of assets are there?
3. What articles of assets are there?
4. What sections of liabilities are there?
5. What articles of liabilities are there?
6. What other forms of financial statements are filled in?

Ex.3. Find the English equivalents in the column “B”.

“A” “B”

1. вексель до отримання 1. Deferred Income
2. витрати майбутніх періодів 2. inventories
3. власний капітал 3.financial investments
4. запаси 4. intangible assets
5. поточна заборгованість 5. note receivable
6. нематеріальні активи 6. retained earnings
7. фінансові інвестиції 7. owner’s equity
8. доходи майбутніх періодів 8. fixed assets
9. нерозподілений прибуток 9. Deferred Expenses
10. основні засоби 10.current notes receivable

Ex. 4. Ask all the types of questions to the following sentences.

1. In order to obtain information needed for control and management the articles of balance assets are grouped in three sections, liabilities - in five sections. 2. In addition to the balance sheet the accountants draw up other forms of financial statements: statement of financial result, statement of cash flows, statement of owner’s equity.

Ex. 5. Find the equivalents of English words and exclude the extra words.

current notes receivable, uncompleted assets, unpaid equity, inventories, non-Current assets, owner’s equity, additional equity, retained earnings

власний капітал, нерозподілений прибуток, додатковий капітал, неоплачений капітал, незавершені активи, поточна заборгованість, необоротні активи, фінансові інвестиції, забезпечення виплат персоналу.

Ex. 6. Compose the table of sections and articles and learn them.