2. Choose the correct word to complete the sentences:

1. She ____ because she had been offered a better job.

a) resigned b) sacked

c) fired d) dismissed

2. The agreement will ____ trade between our countries.

a) increase b) inflate

c) add up d) exaggerate

3. Please do not ____ to contact our office in case of any difficulties. We are always ready to help.

a) hesitate b) delay

c) stop d) expect

4. If business has been good, the staff get a ____ at the end of the year.

a) notice b) bonus

c) fund d) deposit

4. He drew all his money ____ the bank before he left.

a) of b) off

c) out of d) to

4. Where can I get a good rate of ____ for my money?

a) credit b) interest

c) debt d) bargain

3. Choose the correct words to complete the definitions:

bookkeeping interest net

creditor dividend

1. The money paid to shareholders out of a company’s profits is the ______.

2. Recording financial transactions is ________.

3. A company’s turnover after the cost of sales, tax, rent and other liabilities are deducted is it’s ____ profit.

4. The sum of money paid by a borrower to a lender for the use of the lender’s money is the ____ on the loan.

5. A person or organization that owes money is a ____.

4. Suggest Ukrainian equivalents to the following words and word-combinations and make up sentences of your own:

• recurrent expenditure;

• national revenue;

• unit trust;

• mutual savings bank;

• real estate;

• mortage.

4. A) Read and translate the text in a written form:

THE BANKS ASSETS

AND LIABILITIES

To understand how a bank operates, first we need to examine its balance sheet, a list of the bank's assets and liabilities. As the name implies, this list balances, that is, it has the characteristic that

total assets = total liabilities + capital

Furthermore, a bank's balance sheet lists sources of bank funds (liabilities) and uses to which they are put (assets). Banks obtain funds by bor­rowing and by issuing other liabilities such as deposits. They then use these funds to acquire assets such as securities and loans. Banks make profits by charging an interest rate on their holdings of securities and loans that is higher than the expenses on their liabilities.

The assets (uses of funds) of commercial banks include reserves, cash in process of collection, deposits at other banks, securities (government, state and local government and other securities), loans (commercial and indus­trial, real estate, consumer, interbank), and other assets (for example, physical capital).

The liabilities (sources of funds) of commercial banks include checkable deposits, non-transaction deposits (savings deposits, small-denomination -less than $100,000 - time deposits, large-denomination time deposits), borrowings, and bank capital.

b) Answer the following questions:

1. What do we need to understand how a bank operates?

2. In what way do banks make profits?

3. What do the assets of commercial banks include?

4. What do liabilities of commercial banks include?