Dialogue 1

Read the dialogue and do the tasks that follow.

Student:	I’d like to know who really owns the bank?
Banker:	The stockholders own it. In the beginning, they put up the necessary capital and were granted a charter from the government.
Student:	Am I right to say that all the members of the board of directors are stockholders?
Banker:	Oh, yes. They are chosen by the other stockholders to operate the bank.
Student:	And the board hires the president and the vice-president to manage it?
Banker:	That’s right. Along with the cashier, the tellers and the clerical workers.
Student:	I guess most of your work has to do with checking and savings accounts and making loans.
Banker:	Yes. But we invest money too. Planning the bank’s investment is also very important.
Student:	I wonder if you divide all the profits among the stockholders.
Banker:	Not all of them. The stockholders receive regular dividends. But some of our earnings are held in reserve accounts.
Student:	I suppose that would be necessary.
Banker:	Here is a copy of our last published statement. You see, the reserves are shown here as surplus and undivided profits.

Ex. 1. The dialogue deals with the structure and functions of an American bank. You should keep in mind that there are some differences in American and British terminology. Give the American terms corresponding to the British ones given below.

British terms	American terms
to run a bank
cheque
current account
deposit account
managing director
shareholder
cashier
note

Ex. 2. Work with your partner. Make up a dialogue using different forms of requesting information and the following questions.

Model:

– What is discussed in the dialogue?

– Could you tell me what is discussed in the dialogue.

1. Who owns the bank?

2. How does a bank start?

3. Who chooses the board?

4. What’s the board’s task?

5. Who hires the employees?

6. What are the bank’s main activities?

7. How are the profits distributed?

8. How are the stockholders kept informed?