1

1- Fill in the banks with the correct words form the world bank.

Is, equals

And, plus,

add

Minus, less,

substract

Times, multi-

plied by

Over, divided

by

times minus and hundred add is

1 Eight two is sixteen.

2 Nine and three twelve.

3 Twenty six equals fourteen.

4 One thousand plus five hundred is fifteen .

5 To get seven two and five.

6 Eighteen two is twenty.

2– Read the chart. Then, mark the following statements as true (T)

or false (F)

1 Five less four means the same thing as five minus four.

2 Five times three equals five plus three. 3 Seven over three equals seven divided by three.

3 - Read the sentence and choose the correct Word.

A) Seven PLUS / DIVIDED BY two is nine. B) Ninteen OVER / LESS eight equals eleven. C) Four MULTIPLIED BY / DIVIDED BY two is eight. D) Ten OVER / PLUS five equals two. E) Sixteen LESS / DIVIDED BY four equals four. F) Five plus eight EQUALS / OVER thirteen.

One thousand three hundred

4 - Read the income statement below. Then, mark

the following statements as true (T) or false (F).

1 Operation margin minus taxes is gross margin.

5 - Match the words with the definitions (A-E).

A) A statement showing financial information for a certain period.

B) Money that is paid to a goverment. C) The costs associated with organizing and running a bus-

sines. D) An amount that is calculated by stracting cost of good

sold. E) The money that is received from selling good or services.

6 - Fill in the blanks with the correct words and phrases:

OPERATION MARGIN, INCOME STATEMENT, NET IN-

COME, SELLING.

1 Substract taxes from the to find net income.

2 is the act of exchanging goods for money.

3 is the amount of money retained after

all expenses.

4 A(n) is a document showing how much

money was made.

2

1 - Read the balance sheet. Then choose the

correct answers.

A) Wich of the following is not an asset? Cash Equity

Inventory Accounts receivable

2 - Match the words (1-5) with the definitions (A-E).

A) what a company is worth? B) Something a company owns. C) A record of money that is owed to a company for

past sales. D) An amount of money that a company owes. E) A document showing assets, liabilities, and equity.

3 - Fill the blanks with the correct words and phra-

ses from the Word bank.

ACCOUNTS PAYABLE / FIXED ASSETS / SUM / INVENTORY / DEBT

A) The company records most purchases in B) Companies with too much

can’t get loans. C) is getting low. Fill out a new purchase order. D) Add those figures. Then tell me what the is. E) The company has a lot of including a new warehouse.

Sometimes, an income statement show huge net income. But the cash flow statement shows nega-tive cash flow. How can this be? Cash flow statements show the inflow and outflow of cash. This includes: Revenues and expenses Cash distributions to owners Dividends paid to stockholders Financing activities

3

Between January and March, revenue hovered around $35,000.00. In April, the cost of goods went up slightly. As a result, we increased prices. This had a negative effect on sales. In fact, revenue plummeted sharply to $20,000.00. From April to June, revenue stavilized and steadily increased. In june, sales dropped dramatically from $28,000.00 to just $19,000.00. This was the result of a new competitor opening up across town. We recovered quickly in September just before the busy season. This was partly due to Sharp de-cline in cost of goods. It allowed us to lower prices. From October through December, we experien-

Rise, increase,

go up

Fall, decrease,

go down

Stable, un-

changed

Fluctuating

unstable

sharp/dramatic

increase, skyrocket

sharp/dramatic

decrease, plummet

2 - Match the words (1-5) with the definitions (A-

E).

1 - Before you read the passage, talk about this

questions.

What words describe changing amounts What are some of the ways to say something in-

creased or decreased?

A - to stop changing. B - to drop very far quickly. C - without much change; consistenly D - with great, rapid change. E - to change in a small way.

3 - Fill in the blanks with the correct words from

the Word bank.

Hovered / recovered / declined / sharply

A - The company from its losses. B - Sales and the company went out of bussines. C - Net income han minimal movement; it at a moderate level. D - Due to a large increase in costs, profits fell .

0

10000

20000

30000

40000

50000Ja

n

Fe

b

Ma

r

Ap

r

Ma

y

Jun

Jul

Au

g

Se

p

Oct

No

v

De

c

$

$

4 - Read the graph and the company’s anual

report. Then, mark the following statements as

true (T) or false (F).

1 - Revenue usually increases during a certain season. 2 - Revenue dropped after a new store opened. 3 - The company’s revenue declined from April to June.

4

Liquidity is a vital factor of your bussiness’s health. But what is liquidity? Liquidity refres to your company’s ability to meet its obligations without selling assets. The least liquid assets are things like buldings and Brand names. These assets take time to be converted to cash. It is important to mantain a certain level of liquidity. Excessive cash balances are unproductie. But insufficient cash balan-ces are dangerous. Every day, your bussiness has cash re-ceipts and expenditures.

1– Read the articule How Liquid is Your Company . Then, mark the following statements as true (T) or false (F).

A) Brand names are highly liquid assets. B) Insufficient cash leads to unexpected expanditures. C) The autor suggets having a safety reserve of cash.

2 - Match the words (1-5) with the definitions (A-E).

A - an amount beyond what is needed. B - an asset’s ability to be converted to cash C - an amount that is less that what is needed. D - to purchase a company. E - things that are recived.

3 - Fill in the blanks with the correct words and phrases: Expenditures / Zero Cash Balance / Unproducti-ve / Safety Reserve

A - Make sure there is enough cash to cover . B - Alan has been putting extra money into a . C - The company couldn’t pay its bills because it had a . D - Keeping to much money in a cash account is .

It is a bad idea to trust that your daily receipts are enough to cover your expenditures. You can’t get by with a zero cash balance. Instead, mantain a safety reserve of cash. The best way to do this is to keep a cash account. This allows you to pay unexpected expenditures. It also sets you up for oportuni-ties like investments or buying out competitors.

You are familiar with tangible assets. Any physical ob-ject with value is tangible asset. This includes compu-ters, vehicules, and buldings. But, there are also assets that do not exist physically. These are intangible as-sets. Patent rights, goodwill, and trade secrets are intangible assets. They are not physical objects. But they are valuable.

The law protect these. Patents, copyrights, and trade-marks are legal intangibles.

The most important competitive intangble is called goodwill. This includes valuable factors like a com-pany’s reputation, popularity and location.

Not all intangible assets last forever. For example, pa-tents and copyrights expire. Accountants adjust for this by} a process similar to depreciation. It is called Amortiza-tion. They amortize the assets on a straight-line shedu-

1– Read the articule. Then, mark the follo-wing statements as true (T) or false (F).

A) Goodwill is a tangible asset. B) Copyrights have no limits. C) Trademarks are protected by law.

2 - Match the words (1-5) with the defini-tions (A-E).

A - the legal protection of an idea or invention. B - the gradual reduction of the value of an asset. C - knowledge such as recipes or designs. D - the legal protection of written materials. E - Reputation, popularity, and location

5

1– Read the P & L statement and memo. Then, choose the correct answers.

1.– What is the passage mainly about? A )Low operating earnings B) Reasons for increased EBIT C) Errors in a P & L statement D) Propose changes in división A-1

2.– Wich of the following changed year over year? A) Sales volume C) Variable expenses B) Fixed expenses D) Cost of good sold

3.– Division A1 managers raised prices because: A) The profit center was diminishing B) Operating expenses skyrocket C) One of the suppliers raised its prices D) Wholesalers could absorb the increase

2 - Match the words (1-5) with the defini-tions (A-E).

A - sales revenue minus variable expenses B - costs tan do not change from month to month C - a company that distributes products to retailers D - the money retained after fixed and variable expenses

3 - Read the sentence pair. Choose where the words best fit in the

1 Varaible expenses / retailers Sell products to the public. Often change each month.

2 Profit center / margin per unit A is a money-maker división within a company. Is a revenue per product after variable.

3 sales volume / earnings before interest and tax

The total number of products sold is called Revenue minus fixed and variable expenses is

6

1– Read this articule. Then mark the fo-llowing statements as true (T) or false (F).

1) A statement of financial condition shows debt. 2) Determine working capital by subtracting current

assets from current liabilities. 3) Liabilities minus equity equals debt-to-equity ratio.

3 – Read this emails. Then mark the following statements as true (T) or false (F).

1) A current ratio predicts future income. 2) Operation cycles can demonstrate solvency. 3) A current ratio under 2.0 is considered good.

2 - Match the words (1-5) with the defini-tions (A-E).

4 - Match the words (1-5) with the definitions (A-E).

A - a situation in wich a business runs out of money B - a business’s ability to pay its expenses. C - not including D - not able to be predicted E - to consider something carefully

A - a comparison of what a company owes to what it is worth. B - people or companies that are owed money. C - Assets minus liabilities D - an examination of value and growth potential.

5 - Fill the blank with the correct words and prhases. (growth potencial / statement or fi-

A is also called balance sheet.

7

Imagine wanting to build a house. Whould you carefully draw up detailed plans that showed every part of the structure that you wanted to build? Or would you gather a hammer , some nails, and so-me pices of Wood and just start putting everything together? It makes no sense to build something without a plan. This principle is true in the business world as well. No one would try to run a business without a plan. A great way to plan for the financial future is bu-siness budgeting. Business Budget by setting concrete goals built on realistic forecasts. Obviously, it cost time and money to devolp such detalied models. Managers must make educated guesses about how much they can invest in budgeting. They must also decide whether to Budget long term or short-term (also called near term).

Despite the cost, budgeting is an essential business function. It serves as a yardstick for measuring the company’s performance. In other words, it can compare its goals to its accomplishments at the end of a Budget period. Budgeting also serves as a blueprint for the future. If a forecast predicts economic decline, a company will tighten its Budget. But if this negative Outlook is reversed and economic expansión is predicted, the Budget may be expanded

1– Read this articule. Then mark the following statements as true (T) or false (F).

1) Businesses use budgets to measure their progress. 2) Forecasts determine Outlook. 3) Budget are tighter when the economic Outlook is gloomy.

2 - Match the words (1-6) with the definitions (A-F).

A - a tool used to measure something. B - to reduce activity and flexibility C - over a lengthy period of time D - a gloomy view of the future E - a prediction about the future F - over a small period of time

3 - Fill in the blanks with the correct words and phrases: Concrete goals / business budgeting / model / short-term / positive outlook

A - Set and the pursue then. B - Companies have a(an) when the economy looks good. C - is one of the best ways to plan ahead. D - The Budget is , covering just two months. E - A Budget is a based on plans and forecasts.

8

1– Read this emails. Then mark the following statements as true (T) or false (F).

1) Ana is looking for the founding for the buyout.

2) Antonio disapproves of Ana’s plan.

3) Strong competitive forces al-ready exist in San Gabriel.

2 - Match the words (1-5) with the definitions (A-E).

A - the act of purchasing a company. B - a building used to manufacture so-mething. C - to gather money. D - familiarity with a particular región. E - the ability to succeed.

3 - Fill in the blanks with the correct words and phrases:

1.– The company is raising capital for a new . 2.– Carter is a consultant. He often hired for positions. 3.– The CPAs are analyzing whether the investment will be . 4.– By expanding a company can deliver products to more customers. 5.– The company’s struggles to pay its bills because its debt is .

9

1– Read this business memo. Then choo-se the correct answers.

1. What is the business report mostly about? A. Poor sales figures B. A strategy to increase sales C. Reasons the staff is being reduced D. How to increase the number os clients 2. What can be inferred about the company? A. It does most of its business in Asia B. It earned more tan $1 billion last year. C. It is forecasted to double its sales next year. D. It estimates that the Euro will lose value. 3. Wich is NOT a problema for the company? A. Their currency B. The Asian market C. The sales forecast D. Their sales figures

2– Choose the Word that is closest in meaning to the underlined part.

1. The boss wants the oficial numbers in a report today.

A) Figures B) Currency C) Forecast 2. The worst time was the last three months of the

year.

A) percentage B) Forecast C) Quarter 3. Many countries use their own form of money.

A) fraction B) Currency C) Percentage

3- Read the sentence pairs. Choose where the words best fit in the blanks.

1.– FRACTION / PERCENT The firm’s market share increased by fifteen . The business lost a small of its clients. 2.– FORECAST / ESTIMATE The sales for the next year. Ms. Elm can only the cost, she doesn’t know it exactly. 3.– EXACT / APPROXIMATELY The sales figures for this year are 1 million. Get the figure, not a guess.

10

All new employees start at minimun wage. This means you earn $7 per hour from 9am to 5pm. But this is not your entire salary. There are many ways to earn more than this. There is extra pay for evenings and weekends. Overtime is 1.5 times the normal rate: $10.50 per hour. We offer a commission of 2% on any sales over $50. The commission rises to 3% on sales over $500. Our best sales people can double their basic salary with commission. Every six months there is a pay review. In a pay review we sit down together and talk about your performance . All employees who perform well get a raise. So, show us what you can do.

1– Read this pay guide for new emplo-yees. Then choose the correct answers.

1. What is the purpose of the guide? A. To explain the parts of a pay review B. To describe an avaliable job position C. To compare salesman and new employee pay D. To inform employees of ways to earn more

money 2. Employees earn twice as much money by: A. Working overtime B. Making commission C. Earning pay raises D. Completing pay reviews 3. What is discussed at a pay review A. Increasing an employee’s work hours B. An employee’s overtime opportunities C. How well an employee is working D. An employee’s level of commission

2 - Match the words (1-6) with the defini-tions (A-F).

A - to receive something in exchange for work. B - a set amount of money an employee will earn per month or year C - the lowest rate of pay that is usually provi-ded to new employees D - a percentage of the profit of a sale given to the employee who arranged the sale. E - the act of doing a particular task or job F - to multiply by two

3 - Fill in the blanks with the correct words and phrases: Overtime / Rate / Rise / Pay review

1. Victor requested to work . 2. Leonardo has his yearly later today. 3. Paola was happy to earn a . 4. This of pay for this job is too low.

11

1 - Read the post from a business blog. Then, read the paraphrase of the articule. Fill in the blanks with the correct words and phrases from the Word bank.

BY NAME / CONNECTED / TELEPHONE / EXTENSION / COURTESY

It is important for businesspeople to have good (1) etiquette. (2) should be used whenever speaking to anoye on the phone. Callers should identify themselves and then ask to speak to someone (3) . They can also ask to be (4) to a(n) (5) . A good way to end a call is to thank the person they’re speaking to for his or her time.

2 - Place the words and phrases from the Word bank under the correct heading. THANK YOU FOR YOUR TIME / HELLO, THIS IS… / IS.. AVAILABLE / NICE SPEAKING WITH YOU / COULD I SPEAK

GREETING ENDING ASKING FOR SOMEONE

3 - Write a Word or phrase that is similar in meaning to the underlined part.

1.– Hello, my name is Carlos and I work for Castro Industries. I’m calling from 2.– I would like to talk to the director of the sales department. May I speak to… 3.– Please expect a call from me on Thursday I will call you back… 4.– It is important to behave with politeness on the telephone. Courtesy 5.– Will you direct my pone call to Number 443? Can you connect me to extensi on