Payment

大连理工大学出版社

Unit 7世纪商务英语听说教程 3 （第四版）

Learning Outcomes

• 1. To understand the main ideas and select specific information while listening.

• 2. To be familiar with important points about payment terms and methods of payment.

• 3. To talk about payment terms and methods of payment.

Contents

Part I Active Listening

Part II Fun Break

Part III Additional Listening

Part IV Viewing & Speaking

Active Listening

Active Listening

Exercise 1Directions: Mr. Brown and Ms. Li are talking about the advantages and disadvantages

of payment by L/C before reaching an agreement. Listen and tick (√) the

advantages and disadvantages of payment by L/C.

Active Listening

Exercise 1

Tapescript

Advantages Disadvantages

Payment by L/C is the safest payment term. Payment by L/C is not so safe as people think.

The procedure for opening an L/C is very simple.

The procedure for opening an L/C is too complicated.

The exporter does not have to pay a depositto the bank.

The exporter has to pay a deposit to the bank.

Opening an L/C will not tie up the exporter’s funds and increase his cost.

Opening an L/C will tie up the exporter’sfunds and increase his cost.

Payment by L/C gives the exporter the addi-

itional protection of the banker’s guarantee.

Payment by L/C cannot give the exporter the

additional protection of the banker’s

guarantee.

√

√

√

√

Active Listening

Exercise 2Directions: Listen to the dialogue again and decide whether the following statements are

true (T) or false (F)1. The price hasn’t been settled before their negotiation of payment.

2. When dealing with a new customer, Wanshun Trading Company may consider

making an exception to D/A or D/P.

3. Chris Brown agreed that payment by L/C is too complicated, though it is the

safest method.

4. The usual practice of Wanshun Trading Company is payment by D/P.

5. To pay a deposit would tie up Mr. Brown’s funds and increase his cost.

F( )

F( )

T( )

F( )

T( )

Active Listening

Exercise 2Directions: Listen to the dialogue again and decide whether the following statements are

true (T) or false (F)6. In order to conclude the transaction, Ms. Li Yan agreed to bend her rules.

7. In order to conclude the transaction, Mr. Brown accepted L/C payment terms.

8. Ms. Li explained carefully to Mr. Brown the difference between D/P and D/A.

9. Wanshun Trading Company may consider accepting payments by D/A for old

customers.

10.Mr. Brown and Ms. Li finally brought the transaction to a successful

conclusion.

F( )

T( )

F( )

F( )

T( )

Active Listening

Active Listening

Exercise 1Directions: Mr. Ma and Mr. Smith are talking about payment terms before reaching an

agreement. Listen to the dialogue and answer the following questions.

Tapescript

1. Why does Mr. Smith think there’s no point to continue to seek confirmation by a third

bank?

Because he thinks that Mr. Ma knows the financial standing of his company well now._______________________________________________________________________

2. Why does Mr. Ma ask for payment by L/C payable at sight?

Because the manufacture of the equipment involves sums of money to be advanced._______________________________________________________________________

Active Listening

Exercise 1

4. How does Mr. Ma respond to Mr. Smith’s request?

In stead of accepting the request, he suggested an alternative of sending a technician

to ensure proper operation of the machine after arrival.

_______________________________________________________________________

_______________________________________________________________________

5. What’s their final agreement about payment?

The final agreement is full payment by L/C at sight._______________________________________________________________________

3. Why does Mr. Smith ask that the remaining 10 percent be paid after satisfactory trial run

of the machine?

This is the first time Mr. Smith has ordered the furniture. And it’s also his customers’

demand.

_______________________________________________________________________

_______________________________________________________________________

Active Listening

Exercise 2Directions: Listen to the dialogue again and fill in the blanks with the words you hear. S: Well, Mr. Ma, shall we go on to discuss the terms of payment?

M: Yes, let’s. What do you say to our old terms, （ 1 ） and irrevocable

L/C?

S: After our large purchase a year ago, I suppose you know our （ 2 ） well now. There’s no point to continue to seek （ 3 ） by a third

bank

and add to our cost.

M: I agree to （ 4 ） the word “confirmed” in the payment clause, now

that

we know an enterprise of your standing will never （ 5 ） S: Thank you. Let’s just cross out the word “confirmed” from the （ 6 ）

confirmed____________

financial standing_________________

confirmation______________

leave out____________

default____________.

clause____________.

Active Listening

Exercise 2Directions: Listen to the dialogue again and fill in the blanks with the words you hear. M: Another question in this connection, Mr. Smith. As the manufacture of the equipment

（ 7 ） sums of money to be advanced, we have to ask for payment

by

L/C （ 8 ） at sight.

S: We agree to payment by L/C payable at sight. But this is the first time we have ever

ordered your furniture. The users （ 9 ） that 90 percent of the credit

account be paid at sight, with the （ 10 ） 10 percent to be paid after

satisfactory （ 11 ） of the machine.

demand____________

involves____________

payable____________

remaining_____________

trial run_____________

Active Listening

Exercise 2Directions: Listen to the dialogue again and fill in the blanks with the words you hear. M: I’m afraid that is not acceptable. As an （ 12 ） , what do you say

to our

sending a technician to ensure proper operation of the machine after arrival?

S: Well, if you will send a technician to help install the machine, to ensure proper （ 13 ） and to offer （ 14 ） service, we agree to make

（ 15 ） by L/C at sight.

M: I’m glad we’ve come to full agreement again.

alternative______________

operation____________ after sales_____________

full payment_______________

Active Listening

Active Listening

Exercise 1Directions: Listen to a passage about methods of payment and decide whether the

following statements are true (T) or false (F).

Tapescript

1. According to the passage, L/C is the most popular and the safest method.

2. Payment by check and bank draft occurs more often in big orders.

3. In an open account trade arrangement, the seller ships the goods to the

buyer without guarantee of payment.

4. In a consignment trade arrangement, the seller retains title to the goods

until the buyer has sold them.

5. Payment by T/T is safe, but the seller cannot receive the payment directly.

F( )

F( )

T( )

T( )

F( )

Active Listening

Exercise 2

Directions: Listen to the passage again and match the following modes of payment with appropriate descriptions or characteristics.

Answer 1. B 2. D 3. A 4. G 5. F 6. C 7. E

Fun Break

Directions: Listen to the following business jokes twice and fill in the blanks with the

words you hear.

Tapescript

Paying in Advance

A motorist, driving by a Texas ranch, hit and killed a calf that was the

road. The driver went to the of the calf and explained what had happened. He

then asked what the animal was worth.

“Oh, about $200 today,” said the rancher. “But in six years it would have been

$900. So $900 is what I’m .”

The motorist sat down and wrote out a check and handed it to the farmer.

“Here,” he said, “is the for $900. It’s postdated six years from now.”

worth_______

crossing___________

owner___________

out_______

check_________

Fun Break

How You Made Money

A young man asked an old rich man how he made his money.

The old guy his worsted wool vest and said, “Well, son, it was 1932, the

depth of the Great Depression. I was down to my last nickel.”

“I that nickel in an apple. I spent the entire day the apple

and, at the end of the day, I sold the apple for ten cents.”

“The next morning, I invested those ten cents in two apples. I spent the entire day

them and sold them at 5:00 pm for 20 cents. I continued this for

a month, by the end of which I’d accumulated a of $1.37.”

“And that’s how you built an empire?” the boy asked.

“Heavens, no!” the man replied. “Then my wife’s father died and left us two million

dollars.”

fingered___________

polishing___________invested____________

polishing____________ system__________

fortune__________

Additional Listening

Additional Listening

Exercise 1Directions: Listen to a passage about methods of payment and decide whether the

following statements are true (T) or false (F).

Tapescript

1. The undervalue is being practiced in certain less developed countries.

2. There is no need to undervalue the goods if the import duty is 5%.

3. If an exporter does not violate the relevant laws, the government usually

will not intervene in the undervalue arrangement.

4. The undervalue arrangement depends on the exchange laws and the

international laws such as copyright and patent.

5. With the growing free trade around the world, the undervalue practice is

increasing.

T( )

T( )

T( )

F( )

F( )

Additional Listening

Directions: Listen to a paragraph taken from the passage three times and write down the

missing words or sentences. A (1) of letter of credit (L/C) and telegraphic transfer (T/T) is a popular

means of payment in the (2) arrangement. The undervalue is an illegal way of

(3) or avoiding the import duties and (4) by under declaring the price

of imported goods. It is a (5) way of bringing the landed cost of imported goods

to a (6) level. The undervalue is being (7) in certain less

developed countries, usually involving items whose import (8) are relatively high.

(9)

Sometimes, an item having a 15% rate of duty may not need to be undervalued, too, (10)

taxes________reducing__________

undervalue___________

practiced__________

combination____________

Exercise 2

sneaky__________

competitive_____________

duties________

There is no need to undervalue the goods if the import duty is 10% or less.______________________________________________________________

depending

on the method of import duty and sales tax calculations in the importing country.

____________

____________________________________________________________________

Viewing & Speaking

Useful Expressions for Terms of Payment

Shall we have a talk about terms of payment today?

What is the mode of payment you wish to employ?

When dealing with a new customer, we usually require 100% value, irrevocable

L/C in our favor available by draft at sight.

We insist on payment by L/C. This is our usual practice.

What do you say to our old terms, confirmed and irrevocable L/C?

This is the normal terms of payment in international business.

I agree to leave out the word “confirmed” in the payment clause.

Viewing & Speaking

Useful Expressions for Terms of Payment

We can’t accept any other terms of payment.

I’m glad we’ve come to full agreement again.

I feel it very difficult to accept your terms of payment.

Is the credit at sight or after sight?

After our large purchase a year ago, I suppose you know our financial standing

well now.

The users demand that 90 percent of the credit account be paid at sight, with the

remaining 10 percent to be paid after satisfactory trial run of the machine.

Viewing & Speaking

Useful Expressions for Terms of Payment

Could you make us an exception, say, to accept D/P / to allow us a discount / to

give us a commission?

Let’s meet each other half way.

If you can’t be more flexible, we won’t accept your terms of payment.

We’ll open the credit one month before shipment.

Viewing & Speaking

Viewing & Speaking

Directions: Watch the video and answer the following questions.

Videoscript

1. When did Mr. Fish and Ms. Liu meet?

In the afternoon._______________________________________________________________________

2. What is the mode of payment that Ms. Liu usually accepts?

Confirmed, irrevocable L/C._______________________________________________________________________

3. What’s Mr. Fish’s idea about payment by L/C?

He thinks that L/C is complicated and costs a lot. What’s more, he will pay a large

sum of deposit because the total amount of the deal is big.

_______________________________________________________________________

_______________________________________________________________________

Viewing & Speaking

4. What is the normal term of payment in Ms. Liu company?

In the afternoon._______________________________________________________________________

5. Did Ms.Liu agree to Mr. Fish’s suggestion that 50% of the payment is by L/C and the

balance by D/P? Why?

Yes. Because they have long standing friendship and Mr. Fish has made some effort in

pushing the sales.

_______________________________________________________________________

_______________________________________________________________________

6. What does Ms.Liu mean by saying that this should not be taken as precedent?

Mr. Li agreed to Mr. Fish’s suggestion only for this deal. This kind of payment should

not be regarded as an example or rule for what comes later.

_______________________________________________________________________

_______________________________________________________________________

Viewing & Speaking

Directions: Watch the video again and get familiar with the characters in the dialogue. Then role play the characters in pairs.Some hints:

continue our business discussion

the mode of payment

accept

confirmed, irrevocable L/C

the normal payment terms

a special treatment

complicated

a large sum of deposit

default

meet each other half way

push the sales

take as precedent

Viewing & Speaking

Directions: ABC Corporation intends to import some toys from Xing Wang Trading

Company. The importer suggests payment by D/P because the order is small

and the profits are little. But the exporter insists on L/C, because it is the

first order from the ABC Corporation and he needs the protection from the

bank. Make a dialogue in pairs, using the hints given below.

Some hints:

make an exception

the normal terms of payment

insist on

pay a deposit

tie up the funds

add to the cost

bend rules

meet each other half way

banker’s guarantee

financial standing

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