The Accounting Cycle

In any (системе бухгалтерского учёта), financial data typically pass a four-step procedure sometimes called the accounting cycle. In former times, all these steps were performed using (бумагу, карандаши), and erasers (lots of erasers!), but today the process is often fully computerized.

Step One. Like all good managers, Anna Gray begins the (учётный цикл) by gathering and examining source documents – checks, credit-card receipts, invoices, and other documents related to each (финансовой операции).

Step Two. Next, Anna (регистрирует) each (финансовую операцию) in a (журнале), along with a brief explanation for each (бухгалтерской проводки).

Step Three. Anna next transfers the information from her (журнала) into a (главную книгу), a book or computer program with separate files for each (счёта). This process is known as (перенос в бухгалтерскую книгу). At the end of the (периода бухгалтерской отчётности), Anna prepares a (пробный баланс), a summary of the balances of all the accounts in the (главной книге). If the (пробный баланс) is correct, (бухгалтер) can then begin to (подготавливать) the (финансовые отчёты).

Step Four. The information from the (пробного баланса) is also used to prepare the company’s (финансовые отчёты). In the case of public corporations and certain other organizations, a (дипломированный присяжный бухгалтер) must attest, or (удостоверять), that the organization followed (общепринятые бухгалтерские принципы) in preparing the financial statements.

4. Match each type of accounting profession with its responsibility

1. bookkeeper 6. not-for-profit accountant

2. management accountant 7. cost accountant

3. public accountant 8. tax accountant

4. private accountant 9. financial analyst

5. government accountant 10. internal auditor

11. controller

a) provides accounting services ranging from the preparation of financial statements and tax computation to complex audit of corporate financial records

b) is responsible for the company’s entire finance operation

c) prepares financial statements used by the firm’s managers in decision

making and develops a company’s budget

d) works for a government agency or a bureau

e) records the transactions of a business

f) works for nonprofit organizations performing services similar to those of

private accountants

g) evaluates the operation of company departments to determine their efficiency

h) computes and analyses production costs

i) prepares tax returns and tax planning

j) works for any business and specializes in a certain area of accounting such

as cost accounting, tax accounting, internal auditing, or financial analysis

k) evaluates the company’s performance and analyses the costs and benefits

of strategic decisions

5. Complete the text by inserting the following words and word-combinations

in the gaps:

bookkeepers audit n audit v particular

accountant accountancy true and fair view accounts results

accounting firm auditors creative accounting window dressing

Hi, I’m Fiona and I’m an ………. . I work in Edinburgh for one of the big ………. . We look at the financial records or ………. of a lot of companies. We work with the accountants of those companies, and the people who work under them are ………. . I like my profession: ………. . Sometimes we act as ………. : specialist outside accountants who ………. a company’s accounts, that is, we check them at the end of a ………. period to see if they give a ………. - an accurate and complete picture. An ………. can take several days, even for a fairly small company.

When a company’s ………. are presented in a way that makes them look better than they really are, even if it follows the rules, it may be accused of ………. or ………. . Of course, I never do this!

6. Substitute the Russian words and word-combinations in brackets for their

English equivalents:

1. the basic purpose of (бухгалтерского учёта)

2. information useful in (принятии экономических решений)

3. the traditional distinction between (финансовым учётом) and

(управленческим учётом)

4. to need information that is (точная, объективная и последовательная)

5. basic standards, known as (общепринятые бухгалтерские принципы)

6. (главные пользователи) of accounting information

7. various interested parties such as (кредиторы, поставщики, банкиры и

другие ссудодатели)

8. to know whether a business is (кредитоспособный)

9. to be interested in a business (учёте налогообложения)

10. sales, purchases, and other (трансакции)

11. to evaluate a company’s (финансовую деятельность)

12. to confuse (бухгалтерский учёт) with (счетоводством)

13. to record all the appropriate figures in the books of (первоначальной проводки)

14. to post into the proper page of (главной книги)

15. to show all the (расходы и доходы) of the company

16. to prepare a (пробный баланс)

17. the accountant’s (обязанность)

18. to use account data to prepare (финансовые отчёты)

19. to classify accountants as (присяжных, частнопрактикующих,

правительственных и некоммерческих)

20. to perform independent (аудит)

21. to use (судебный учёт) since the 1930s

22. in search of (фальсифицированных проводок) or financial

(должностного преступления)

23. to earn the title of (дипломированного присяжного бухгалтера)

24. to specialize in such areas of accounting as (учёт затрат, учёт

налогообложения, финансовый анализ и внутренний аудит)

25. to compute and analyze (производственные затраты)

26. to prepare (налоговые декларации)

27. an internal financial plan or (бюджет)

28. to receive (гонорары) for professional services

29. under the supervision of the (главного бухгалтера)

30. to be in charge of (всей финансовой деятельности компании)

31. to use accounting (программное обеспечение)