Reading

Task 7

Read Passage 1 and then complete the following sentences.

1．From the reporting date,the assets which will be realized within one year are called______.

2．Raw materials,finished goods and works in progress can be collectively defined as______.

3．The sum of money or other resources a company owes is its______.

4．Credit purchases from suppliers and contractors are included in the item of______.

5．If the loans are repaid over one year,they are______borrowings.

6．Total assets minus total liabilities equal______.

7．The amount invested by the owners in the business is illustrated as______.

8．The financial health could be told through analyzing statement of______.

Passage 1

Task 8

Read the passage again and supply the missing words or expressions to complete the following statements in pairs.

1．An asset is owned or controlled by an entity for______.

2．,______plant and equipment is called non-current assets with physical substance.Intangible assets include assets without.

3．In balance sheet,trade receivables come after______.

4．Cash and cash equivalents consist of cash in hand and short-term investments that are turning into______.

5．Short-term borrowings is basically made up of______and short-term bank loans that will be repaid in less than______.

6．In balance sheet,the total assets of an entity equal to the sum of and______.

7．Statement of financial position plays a vital role in determining the state of the entity's______,______,financial risk and business risk.

8．Balance sheet is applied to indicate______for further improvement by identifying______.

Task 9

Work in groups and translate the following sentences into Chinese.

1．Assets must be classified in the balance sheet as current or non-current depending on the duration over which the reporting entity expects to derive economic benefit from its use.

______________________________

2．Non-current assets with physical substance are classified as property,plant and equipment whereas assets without any physical substance are classified as intangible assets.

______________________________

3．Trade receivables are presented in the statement of financial position after the deduction of allowance for bad debts.

______________________________

4．Short-term borrowings typically include bank overdrafts and short-term bank loans with a repayment schedule of less than 12 months.

______________________________

5．Retained earnings comprises the total net profit or loss retained in the business after distribution to the owners in the form of dividends.

______________________________

Task 10

Work in groups and discuss the following questions.

1．What are the key elements included in equity?

2．What is the formula behind balance sheets?

3．What is implied in the formula of balance sheet?

4．Where is current tax payable presented in the statement of financial position?

5．What elements are included in balance sheet?

6．How can assets be classified?

7．What is the difference between current liabilities and non-current liabilities?

8．Under what categories is equity presented in balance sheet?

Task 11

Work in pairs to complete the statements with the information from Passage 2.

1．In income statement,income is not recognized when______.

2．______with the owners of an entity will not be reported in income statement.

3．Dividends paid to ordinary shareholders will not appear as______in the income statement.

4．For a manufacturer of electronic appliances,revenue will include the sales from______business.

5．Expenses on delivering goods from factory to customers are recognized as______.

6．Legal and professional charges belong to______in income statements.

Passage 2

Task 12

Read the passage again and work in pairs to translate the following sentences into Chinese or English.