Giáo trình English for accounting college level Volume 2

VIETNAM MARITIME ADMINISTRATON

MARITIME COLLEGE No. 1

ENGLISH FOR ACCOUNTING

COLLEGE LEVEL

VOLUME 2

(Issued in accordance with the decision No. ... QD / dated on ...... /........ /....

/2017 by the rector of Maritime College No. 1)

COPYRIGHT DECLARATION

No part of this book may be reproduced, distributed, stored in

retrieval system, or transmitted in any form or by any means, including

photocopying, recording, or other electronic or mechanical methods,

without the prior written permission from the publisher, except in the case

of brief quotations embodied in critical reviews and certain other

noncommercial uses permitted by copyright law.

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ACKNOWLEDGEMENTS

We would first like to acknowledge the help of all our colleagues from the

English Faculty, and especially the lecturers of Economics and Accounting

Department for their enthusiastically collaboration and valuable contribution.

They supported us greatly and were always willing to assist us.

We wish to present our special thanks to the Board of rector,

International Co-operation and Science Technology Department for their

positive comments and suggestion to the completing of this textbook.

Our thankful words and comments are sent to our loved ones for their

encouragement and assistance during the process of designing this material.

We beg forgiveness of all those who have been with us over the course

of the years and whose names we have failed to mention.

Last but not least, we would like to thank for all who will send us any

further comments or suggestion to improve this material because the

shortcomings are inevitable during the process of producing the material.

Any comments or suggestion, please send to the following e-mails:

1. phtqtkhcn@cdhh.edu.vn

2. tttnga@cdhh.edu.vn

Authors: Tran Thi Thanh Nga M.A

Nguyen Thi My P.G

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INTRODUCTION

The textbook "English for Accounting" is a learning resource for

students specializing in Economy and Accounting Department. The textbook

consists of 5 units with the following structure:

1. Text

2. Grammar

3. Skills

4. Practice

5. Assessment

The textbook provides students with basic vocabulary and applied

terminology for accounting and economy department. The textbook also

provides advanced English grammar which is usually applied in the

accounting and econmics field of this textbook mentioned.

While compiling, editors have also used some materials

published locally, abroad and through web-sites.

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TABLE OF CONTENTS

Contents

Pages

No.

1

Acknowledgements

2

Introduction

3

Table of contents

4

List of abbreviations

List of tables

5

6

Contents

Unit 1: Accounting

1. Vocabulary: Relating to accounting

2. Language focus: Past and future passive voice

2.1 Past passive voice

2.2 Future passive voice

3. Skills

3.1. Reading: Accounting

3.2. Writing:

3.3. Speaking:

4. Practice: Further exercises

5. Assessment

5.1. Evaluation sheet

5.2. Assessment methods

Unit 2: Income statement

1. Vocabulary: Relating to income statement

2. Language focus: Conditionals

3. Skills

3.1. Reading: Income statement

4

3.2. Writing: Understanding the income statement

3.3. Speaking : Comparison about the income statement between

2 years ( 2012-2013)

4. Practice: Further exercises

5. Assessment

5.1. Evaluation sheet

5.2. Assessment methods

Unit 3: Management accounting

1. Vocabulary: Relating to management accounting

2. Language focus

2.1. Relative clauses

2.2 Word formation 1

3. Skills

3.1. Reading: Statement of cash flows

3.2. Listening: In the meeting about management accounting

3.3. Speaking:

4. Practice: Further exercises

5. Assessment

5.1. Evaluation sheet

5.2. Assessment methods

Unit 4: Investment

1. Vocabulary: Relating to investment

2. Language focus

2.1. Gerund

2.2. Word formation 2

3. Skills

3.1. Reading: an email

3.2. Listening and listing the factors each speaker

5

3.3 Speaking: Here are some useful phrases for giving

presentation. Match the parts so that they make sense

4. Practice: Further exercises

5. Assessment

5.1. Evaluation sheet

5.2. Assessment methods

Test your self

Reference

Appendices

Appendix 1. Accounting systems

Appendix 2. Common basic accounting terms, acronyms and

abbreviations

Appendix 3. Word list

Appendix 4. Answer keys

Appendix 5. Transcripts

Appendix 6. Table of irregular verbs

6

List of Abbreviations

Parts of speech

Abbreviations

adjective

adverb

adj.

adv.

aux.

conj.

n.

auxiliary

conjunction

noun

noun phrase

object

n phr

obj.

preposition

somebody

something

subject

prep.

sb

sth

subj.

v.

verb

verb + “-ing”

V-ing

V-pp/P_II

v phr

verb in past participle

verb phrase

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List of figures

No.

Names

Pages

Table 2.1 Income statement’s purpose

1.

28

2. Table 2.2 Income Statement

29

32 - 33

47- 48

51

3. Table 2.3 Data of Happy Co. Ltd

4. Table 3.1. Statement of Cash Flows

5. Table 3. 2 Data of Future Co. Ltd

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MODULE: ENGLISH FOR ACCOUNTING

Module title: English for accounting

Module Code: MĐ 6340302.14.

Module framework:

- Pre-requisites: This module is compiled for learners after they have completed the

general knowledge modules, professional training modules and Basic English.

- Scope: This module is compulsory for students of economic and accounting department.

- Aims:

The textbook “English for accounting” provides students with the necessary advanced

English grammar and specialized English vocabulary relating to accounting in order to

help them acquire enough vocabulary to read and understand a part of the specialized

English materials after graduation.

Objectives:

After completing these modules, students will be able to:

- For knowledge:

+ Describe the form, use of passive voice in the past and in the future, conditionals,

relative clauses, word formation and gerund.

+ Name some terminologies about accounting, the procedures in an accounting cycle,

the elements in an income statement, statement of cash flow and types of investment.

+ Apply reading-understanding tactics such as quick reading to understand main

idea, take out detailed information and understand writer’s purpose; take note contents and

important information to listen & understand lectures about accounting and auditing. Take

part in conservations, discussion or sum up main idea of listened or read information.

Report and participate in group’s activities.

- For skills:

+ Use grammar and vocabulary leant to read, write, listen, speak and take part in

conservations, discussion or sum up main idea of listened or read information; to report and

participate in group’s activities; to understand main idea, take out detailed information and

understand writer’s purpose; and to take note contents and important information.

- For attitudes:

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+ Receive awareness of the importance of learning English for work, essential elements:

correct pronunciation, stress, intonation, and accuracy, fluency in communication and

writing in English;

+ Raise awareness of practicing listening, speaking, reading and conversation skills for

students;

+ Be aware of the importance of practicing carefulness, accuracy, safe work, flexibility

and confidence when using English for work.

+ Self-confidently and flexibly, participate in conversations and working in-group in the

company’s environment. Being aware of an accountant’s honesty in managing an

enterprise and then truly plan to develop occupationally in the future.

Contents of the module:

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UNIT 1: ACCOUNTING

Code: MĐ. 6340302.14.01

Introduction:

This unit gives an overview of English grammar about the form, use of the past and

future passive, about the accounting vocabulary and procedures in English accounting

cycle.

Objectives:

- Present the form, use of the past and future passive, the accounting vocabulary and

procedures in English accounting cycle;

- Use words and grammar mentioned above to listen, speak, read and write and

discuss about accounting theme and procedures of an accounting cycle in English;

- Be aware of the importance of English to future occupation, essential elements:

correct pronunciation, stress, intonation, accuracy, fluency in communication and writing

in English, the carefulness in the job as an accountant.

Main content:

1. Vocabulary: Relating to accounting

Vocabulary

ccounting

interpret

Transcription

[ə'kauntiŋ]

Speech

(n)

Vietnamese meaning

công việc kế toán

(v)

giải thích/làm sang

tỏ/thể hiện/phiên dịch

int'ə:prit]

record

['rekɔ:d]

(v)

(n)

(v)

(n)

ghi chép

classify

[ˈklæs.ɪ.faɪ]

[ˈsʌm. ə r.aɪz ]

[rɪˈpɔːt ]

phân loại, xếp loại

tóm tắt

summarize

report

tường thuật, báo cáo

giao dịch

transaction

measure

accounting

[træn'zæk∫n]

[ˈmeʒə]

đo lường, tính toán

chu kì kế toán

[əˈkauntiƞˈsaikl]

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cycle

assets

[ˈæsets]

laiəˈbilitiz]

(n)

tài sản

liabilities

[

̗

công nợ

owner’s equity [ˈounə s ˈekwiti]

vốn chủ sở hữu

người ra quyết định

decision

makers

[di ̗ siʒnˈmeikəz]

journalize

/'dʤə:nəlaiz/

/poʊst/

(v)

lập sổ nhật ký, giữ nhật

ký

post

kết chuyển các bút toán

khóa sổ

Task 1. Match each definition with the letter of one of the following.

a. prepare financial statement

1. accounting

b. debt of a business

2. balance sheet

c. the value of a company that is

3. assets

the property of its shareholders

d. post entries from journals to

4. liabilities

specific accounts

e. statement of the financial

5. equity

position of a company at a

particular time

f. something that is legally owned

6. record

by a person or company

g. enter

transactions

in

7. classify

journals in chronological

order

h. The activity of keeping

detailed records of the amounts

of money a business or person

receives and spend

8. summarize

Task 2. Use these terms to fill in these blanks.

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1. accounting

capital

7. liabilities

4. expenses

3. profit

2. balance sheet

6. assets

5.income

statement

(1) ………. summarizes and submits financial information of a business or

organization in reports and statements. One of the most important financial reports is the

(2) ………. This report shows the economic performance of a business, whether it has

made a (3) ………. or loss. The basic format is revenues less (4) ………. equals income (in

Britain income is called profit). If expenses are greater than sales, then there is a loss.

Another very important report is the (5) ………. This shows assets, liabilities, and

owner’s equity of the business on a specific day, usually the last day of the accounting

year.

(6) ………. are normally divided into current and non-current assets. Current assets

are the assets that are used to fund day-to-day operations and pay ongoing expenses.

Noncurrent assets are intended for use in the long-term operations of a business. Non-

current assets will still be with the company in several years.

(7) ………. can be either short term or long term. The former are current liabilities,

which are debts payable within one year, while the latter are classified as long-term

liabilities, which are debts payable over a longer period.

2. Language focus: Past and future passive voice

2.1 Past passive voice

a. The simple past tense in passive voice

S + was/were + past participle (P_ii)

A: They built a factory near our house

P: A factory was built near our house in 2010.

in 2010.

b. The past continuous tense in passive voice

S + was/were + being + past participle (P_ii)

A: They were signing a contract at that P: A contract was being signed at that

time last year.

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2.2. Future passive voice

a. The near future tense in passive voice

S + am/is/are + going to + past participle (P_ii)

A: They are going to build a factory P: A factory is going to be built near our

near our house next year.

house next year.

b. The simple future tense in passive voice

S + will + be + past participle (P_ii)

A: They will sign a new contract.

P: A new contract will be signed.

Task3. Rewrite the following sentences in passive voice.

1. They asked her to become director of this business.

……………………………………………………………………….

2. The owners were selling the company but we didn’t know.

……………………………………………………………………….

3. They have cancelled our flight because of the bad weather.

……………………………………………………………………….

4. The United Nations will finance the project in 2020.

……………………………………………………………………….

5. The Human Resources manager interviews candidates.

……………………………………………………………………….

6. The company provides free accommodation for some staffs.

……………………………………………………………………….

7. Someone is translating the presentation into English.

……………………………………………………………………….

8. They completed their market research two weeks ago.

……………………………………………………………………….

9. We launched this product in 2005.

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……………………………………………………………………….

10. The owners will sell this land to developers for $ 500.000

……………………………………………………………………….

Task 4. Rewrite the following sentences in active voice.

1. All our new product are tested in our laboratory.

……………………………………………………………………….

2. Our weekly newsletter is read by every member of a staff.

……………………………………………………………………….

3. The conference delegates will be met at the airport by a company driver.

……………………………………………………………………….

4. Our health and safety regulations must be reviewed as soon as possible

……………………………………………………………………….

5. Three of their subsidiaries have been closed over the last year.

……………………………………………………………………….

6. A new sugar- free soft drink is currently being developed

……………………………………………………………………….

7. My PC is going to be fixed by the IT department tomorrow.

……………………………………………………………………….

8. Ivan is not going to be offered the job of department manager.

……………………………………………………………………….

9. This goods will be shipped to you in 2 hours.

……………………………………………………………………….

10. New furniture was bought for the new office.

……………………………………………………………………….

3. Skills:

3.1. Reading: Accounting

Each business event which can be entered in books as a sum of money is called a

transaction. Accounting is the art of interpreting, measuring and describing economic

activities by an accounting system that consists of methods, procedures, facilities

15

(documents, books, and computers) to keep track of business transactions. It creates

financial information about an economic entity over a time period.

Procedures in an accounting cycle consist of such tasks as:

- Recording: enter transactions in journals in chronological order.

- Classifying: post entries from journals to specific accounts (called ledgers). The

simplest form is the T- account with a title, a left side (debit side) and right side (credit

side). Balance credits and debits in ledgers to prepare for summarizing.

- Summarizing: prepare financial statement (P&L statement, cash flow statement,

balance sheet…..) using the accounting equation.

Assets = Liabilities + Owner’s Equity

Or

Owner’s Equity = Assets – Liabilities

Assets – resources of the firm that are expected to increase or cause future cash flows

(everything the firm owns)

Liabilities – obligations of the firm to outsiders or claims against its assets by outsiders

(debts of the firm).

Owners’ Equity – the residual interest in, or remaining claims against, the firm’s assets

after deducting liabilities (right of the owners)

- Journalizing and posting: closing entries to be ready for the record of events of the

next accounting period.

Financial information is needed by the internal control (serving

managerial, decision makers where the management or managerial accounting

is used and which is tailored to meet the managers’ specific information

needs) and outsiders (for creditors, shareholders, the government…. Where

the financial accounting is used, which should necessarily be in conformity

with the accounting standards and concepts, known as GAAP).

Task 5. Give the synonym of the underlined and bold words.

1. Any individual who holds shares owns a part of a company.

A. stocks

2. Ownership is now allowed in almost every country in the world.

A. friendship B. partnership C. private business

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B. ownership

C. money

3. Equity means ownership which is now allowed in almost every country in the world.

A. share B. goods C. interest rate

Task 6. State whether each of the following statements is “True” or “False”.

------1. Accounting principles are rules of action or conduct which are adopted

by the accountants universally while recording accounting transactions.

------2. It is on the basis of going concern concept that the assets are always valued at

market price.

------3. The convention of disclosure implies that all material information should

be disclosed in the accounts.

-----4. The convention of conservatism takes into account all prospective profits

but leaves all prospective losses.

------5. Since the life of the business is assumed to be indefinite, the financial

statements of the business should be prepared only when it goes into

liquidation.

------6. In accounting all business transitions are recorded as having a dual aspect

Task 7. Answer the following questions.

1. What is accounting?

………………………………………………………………………….

2. What does an accounting system consist of?

………………………………………………………………………….

3. Are facilities documents, books and computers?

………………………………………………………………………….

4. How many tasks does an accounting cycle consist of?

………………………………………………………………………….

5. Does recording mean getting out transaction in journals in chronological order?

………………………………………………………………………….

6. How many kinds of financial statements are there?

………………………………………………………………………….

7. Are liabilities and owner’s equity equal assets?

………………………………………………………………………….

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8. What do journalizing and posting mean?

………………………………………………………………………….

9. Who are outsiders?

………………………………………………………………………….

10.What does the term “GAAP” stand for and what does it mean in Vietnamese?

………………………………………………………………………….

3.2. Writing:

Task 8. Indicate the best answer for each of the following questions.

1. The prime function of accounting is to:

A. Recording economic data.

B. Providing the informational basis for action.

C. Classifying and recording business transactions.

D. Attaining non-economic goal

2. The basic function of financial accounting is to

A. Record all business transactions.

B. Interpret the financial data.

C. Assist the management in performing functions effectively.

3. Management accounting provides invaluable services to management in performing:

A. All management functions.

B. Coordinating management functions.

C. Controlling functions.

4. Book-keeping is mainly concerned with:

A. Recording of financial data relating to business operations

B. Designing the systems in recording, classifying, summarizing the recorded data.

C. Interpreting the data for internal and external end users.

Task 9. Re-arrange the following groups of words to form meaningful sentences.

1. Each business event/ be/ entered/ in/ can/ as/ of/ books / is/ sum / money/ called/

transaction/of /a.

………………………………………………………………………….

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2. track/ system/ keep/ transaction of/ to/ Accounting/ consists/ methods/ procedures/

facilities/ business/ and.

………………………………………………………………………….

3. recording/ An/ cycle/ classifying/ summarizing/ accounting/ of/ journalizing and

posting/ consists.

………………………………………………………………………….

4. responsibility / records/ accountant’s/ is / transaction/ to / keep.

………………………………………………………………………….

5. Equity / assets/ liabilities/ consists / balance sheet/ of/ sections/ 3.

………………………………………………………………………….

3.3. Speaking

Task 10. Use the answers in Task 8 and task 9 to discuss with your group/ partners.

4. Practice. Further Exercises

Task 11. Fill in the blanks with suitable words.

advantage

allocate

particular

factors

prefer

terms

wasteful

production

probably

1. She………. won’t come. She has an appointment with Mr. Jones in Hong Kong

2. Could you let me know your………. of payment?

3. There is little … in buying a dictionary if you can’t read.

4. To throw anything valuable is very …

5. The system will have to be tested before it goes into …

6. There are many … that influenced my decision.

7. The whole meal was good but the wine in … was excellent

8. Would you like to go out for dinner or do you … to stay at home?

9. They … money to build this villa.

Task 12. Complete the sentences with the correct answer.

1. communication / to communicate / communicative

a. Supervisors should strive for two-way ………. with their employees.

b. By using an overhead projector, the guest speaker was able ………. his statistical

information clearly.

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