86.УМК по английскому языку Часть 3 Practiсe Vocabulary & Reading Tests...
Transcript of 86.УМК по английскому языку Часть 3 Practiсe Vocabulary & Reading Tests...
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PRACTICE VOCABULARY & READING TESTS (Accounting)
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Introducing Accounting 1 Accounting
Issues 2.
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Introducing Accounting Accounting Issues.
Vocabulary Tests
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Reading Tests -
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troducing Accounting Accounting Issues.
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VOCABULARY TESTS
Test 1 Accountants
1. Most accounting positions require a bachelor's degree in accounting or a related field or _________ combination of education and experience.
a) an attained
b) a calculated
c) a curricular
d) an equivalent
2. Many companies want graduates with a master's degree in accounting, or a master's degree in business administration with _________ in
accounting.
a) a concentration
b) an expertise
c) a focus
d) a specialty
3. Some schools offer students a chance for hands-on experience with part-time _________ programs in accounting or commercial firms.
a) internship
b) practice
c) study
d) tutorial
4. Accountants help make sure that a firm is run efficiently, that its records are maintained accurately, and that its taxes are paid properly
and in a _________ manner.
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a) controlled
b) courteous
c) formal
d) timely
5. Nowadays, accountants are _________ the services they offer with budget analysis, investment planning, and IT consulting.
a) broadening
b) lengthening
c) opening
d) reformatting
6. _________ accountants, many of whom are CPAs, generally have their own companies or work for major accounting firms.
a) Graduate
b) Professional
c) Public
d) Senior
7. Some accountants specialize in _________ accounting investigating white-collar crimes such as securities fraud and embezzlement.
a) criminal
b) forensic
c) police
d) undercover
8. Many work closely with law enforcement officers and lawyers during investigations and often appear as _________ witnesses during trials.
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a) expected
b) expert
c) known
d) respected
9. _________ accountants record and analyze the financial information of the firms in which they are employed.
a) Business
b) Internal
c) Licensed
d) Management
10. Government accountants work in the public _________, maintaining and monitoring the recordkeeping of government departments and
agencies.
a) arena
b) domain
c) quarter
d) sector
Test 2 Accounting terms
1. The customary manner in which a business analyzes and records its _________ is by first entering them into a journal.
a) transactions
b) communications
c) dealings
d) ventures
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2. Journal entries are entered in _________ order, meaning by date, with the earliest date first.
a) sequential
b) numerical
c) chronological
d) successional
3. Once the transactions have been entered into the journal they are _________ or transferred into their individual General Ledger
accounts.
a) noted
b) lifted
c) allocated
d) posted
4. All _________ increase with a debit entry and decrease with a credit entry.
a) advantages
b) associates
c) assets
d) assurances
5. Liabilities either have a credit or no _________ at all. a) scale
b) balance
c) debit
d) debut
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6. Capital accounts represent the owner's _________ worth in the business.
a) equity
b) value
c) hammock
d) net
7. _________ accounts are accounts for your sources of business-generated income.
a) Liability
b) Revenue
c) Balance
d) Drawing
8. The _________ is the difference between what a business pays for an item wholesale and what the business sells it for retail.
a) markup
b) makeup
c) makeshift
d) moreover
9. An accounts payable _________ shows how much you owe each of your vendors.
a) lecture
b) leeway
c) ledger
d) manual
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10. Accounts _________ shows how much money your customers owe you. a) incoming
b) receivable
c) obtainable
d) collectable
Test 3 The balance sheet
1. A balance sheet shows the financial _________ that a company has at a point in time and where they came from.
a) records
b) resources
c) returns
d) revenues
2. It is an instant photograph that displays the company's financial _________ at the end of a business month, quarter or year.
a) explanation
b) position
c) publication
d) station
3. The organization of a balance sheet reflects this basic _________: assets equal debts plus equity.
a) arrangement
b) assessment
c) equation
d) question
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4. The _________ of accounts is a listing of the accounts that are reflected in the financial statements.
a) book
b) chart
c) table
d) outline
5. Assets are often listed in the order of their _________ which means how easy it would be to convert each asset into cash.
a) complexity
b) liquidity
c) security
d) simplicity
6. Assets are divided into three categories: Current Assets, Fixed Assets, and _________ Assets.
a) Current fixed
b) Different
c) Fixed current
d) Other
7. Current assets will likely be turned into cash or converted into a(n) _________ within a year.
a) bonus
b) expense
c) option
d) stock
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8. Fixed assets are saleable, but are not expected to be converted to cash in the _________ course of business.
a) average
b) equal
c) final
d) normal
9. Liabilities are debts or _________ stemming from goods or services received by the company.
a) obligations
b) others
c) outstandings
d) owed
10. If the assets of a company are greater than its liabilities, then the equity of the business is the positive _________ between the two
numbers.
a) calculation
b) difference
c) dividend
d) sum
Test 4 Income statements
1. The statement of income and expenses reports the company's income and expenses for the time period: it is also called a _________-and-loss
statement.
a) earnings
b) gain
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c) profit
d) win
2. The first item on the statement is the total amount of sales of products or services; this is often referred to as _________ sales.
a) gross
b) mass
c) overall
d) whole
3. The main deduction from this revenue is called _________ of sales, the amount of money the company spent to produce the same goods or
services.
a) cost
b) discount
c) expense
d) reduction
4. The next deduction is _________ expenses for example, administrative salaries and research costs, which do not vary directly
with production.
a) fixed
b) operating
c) standard
d) unproductive
5. Depreciation expenses the wear and _________ on assets like machinery, equipment and furnishings.
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a) age
b) change
c) repair
d) tear
6. The depreciation charge for using these assets during the accounting period is a _________ of their original cost.
a) foundation
b) fractile
c) fragment
d) function
7. _________ income is the money that the company earns by keeping its cash in savings accounts, term deposits, etc.
a) Illicit
b) Inactive
c) Interest
d) Internal
8. Finally, _________ tax is deducted. a) business
b) commercial
c) income
d) value-added
9. The final entry is the _________ line, which represents net earnings of the company during the accounting period.
a) balance
b) base
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c) black
d) bottom
10. Additionally, _________ indicates how much shareholders would receive if the company distributed all of its net earnings as dividends.
a) EPS
b) GDP
c) GNP
d) VAT
Test 5 Cost accounting
1. _________ or cost accounting systems are part of a company's information system and are used for tracking costs and allocations to
judge operational efficiency.
a) Corporate
b) Domestic
c) Management
d) Monitoring
2. This is an _________ accounting system, rather than one for outside reporting.
a) inner
b) inside
c) interior
d) internal
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3. There are no _________ rules governing how a company should keep track of cash flows for cost accounting purposes.
a) amended
b) fixed
c) required
d) restricted
4. _________ budgeting is a form of forecasted cost accounting for long-term projects or expenditures.
a) Capital
b) Major
c) Overhead
d) Terminal
5. Cost accounting applications are major financial _________ in everyday corporate decision-making.
a) distractors
b) drivers
c) fetters
d) operators
6. Cost accounting is important for estimating the _________ of current and future activities.
a) foreseeability
b) profitability
c) sensibility
d) variability
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7. When good cost accounting procedures are _________, the company may find out that they have been producing a non-profitable product
or service.
a) contracted
b) discarded
c) implemented
d) suggested
8. Cost accounting _________ managers toward company goals. a) aggravates
b) gravitates
c) insulates
d) motivates
9. It also measures the _________ of managers and departments in the company.
a) acceleration
b) doings
c) performance
d) seniority
10. _________ costs change in proportion to the level of production activity, while fixed costs remain unchanged.
a) varicose
b) various
c) variable
d) versatile
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Test 6 International Accounting standards
1. With the activities and interests of investors, lenders and companies becoming increasingly global, the Securities and Exchange
Commission is increasing its involvement in a number of forums to
develop a globally accepted, high quality financial reporting
_________.
a) bulwark
b) framework
c) outline
d) scaffold
2. Our efforts, at both a domestic and international level, consistently have been based on the view that the only way to achieve fair, liquid
and efficient capital markets worldwide is by providing investors with
information that is _________, transparent and reliable.
a) commensurate
b) commercial
c) comparable
d) compatible
3. That is why we have pursued a dual objective of upholding the quality of financial reporting domestically, while encouraging _________
towards a high quality global financial reporting structure
internationally.
a) convention
b) convergence
c) conversion
d) conveyance
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4. Over the last two decades, the global financial _________ has undergone a significant transformation.
a) landscape
b) panorama
c) prospect
d) scenery
5. These developments have been _________, in part, to dramatic changes in the business and political climates, increasing global
competition, the development of more market-based economies, and
rapid technological improvements.
a) accountable
b) amenable
c) answerable
d) attributable
6. Our efforts to develop a global financial reporting structure have been guided by the _________ principle underlying our system of regulation
pursuing our mandate of investor protection by promoting
informed investment decisions through full and fair disclosure.
a) bedrock
b) cornerstone
c) keynote
d) landmark
7. In 1988, we issued a policy statement that noted that all securities regulators should work together _________, to create sound
international regulatory systems that will enhance the vitality of
capital markets.
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a) definitively
b) desultorily
c) diligently
d) distinctly
8. Currently, issuers wishing to access capital markets in different jurisdictions must comply with the requirements of each jurisdiction,
which differ in many _________.
a) angles
b) respects
c) senses
d) views
9. Throughout this effort, we have been _________ in advocating that capital markets operate most efficiently when investors have access to
high quality financial information.
a) headstrong
b) heavyhanded
c) singleminded
d) steadfast
10. While the accounting standards used must be high quality, they also must be supported by an infrastructure that ensures that the
standards are _________ interpreted and applied, and that issues and
problematic practices are identified and resolved in a timely fashion.
a) righteously
b) rightfully
c) rigidly
d) rigorously
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Test 7 International Accounting standards (2)
1. High quality accounting standards are critical _________ the development of a high quality global financial reporting structure.
a) of
b) over
c) to
d) under
2. Different accounting traditions have developed around the world in response to varying needs of users for whom the financial information
is prepared; in some countries, accounting standards have been
_________ primarily by the needs of private creditors, while in other
countries the needs of tax authorities or central planners have been the
predominant influence.
a) drawn
b) shaped
c) sketched
d) written
3. Establishing and maintaining high quality accounting standards are critical to the US approach to regulation of capital markets, which
depends on providing high quality information to facilitate _________
investment decisions.
a) advised
b) advisory
c) informational
d) informed
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4. High quality accounting standards are essential to the efficient functioning of a market economy because decisions about the
allocation of capital rely heavily on _________ and understandable
financial information.
a) accredited
b) credence
c) credible
d) creditable
5. When issuers prepare financial statements using more than one set of accounting standards, they may find it difficult to explain to investors
the accuracy of both sets of financial statements if significantly
different operating results, financial _________ or cash flow
classifications are reported under different standards for the same
period.
a) decisions
b) operations
c) positions
d) transactions
6. Questions about the believability of an entity's financial reporting are likely where the differences highlight how one approach _________
poor financial performance, lack of profitability, or deteriorating asset
quality.
a) dwells on
b) masks
c) skims over
d) underscores
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7. Also, the audit is an important element of the financial reporting structure because it subjects information in the financial statements to
independent and objective _________, increasing the reliability of
those financial statements.
a) autonomy
b) calumny
c) legality
d) scrutiny
8. Recent events in the United States have highlighted the importance of high quality auditing standards and, at the same time, have _________
questions about the effectiveness of today's audits and the audit
process.
a) asked
b) assumed
c) mounted
d) raised
9. Audit firms should have a responsibility to _________ to the highest quality auditing practices, on a world-wide basis, to ensure that they
are performing effective audits of global companies participating in
the international capital markets.
a) abide
b) adhere
c) cohere
d) comply
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10. Historically, audit firms have developed internal quality control systems based on their domestic operations; however, as clients of
audit firms have shifted their focus to global operations, audit firms
have followed _________ and now operate on a world-wide basis.
a) along
b) practice
c) precedent
d) suit
Test 8 Taxes
1. If you are self-employed, it is your responsibility to _________ how much tax you should legally pay.
a) consider
b) complete
c) correct
d) calculate
2. I had a letter from the office of the Collector of Taxes telling me that I had to pay back all the money I _________ over the last 3 years.
a) due
b) indebted
c) owed
d) owned
3. The arrangement they have is that all the money that has to be paid in tax out of their earnings comes from their _________ account.
a) joined
b) conjoined
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c) joined up
d) joint
4. Under the current legislation if you are late in paying your taxes, then you have to face a financial _________.
a) penalty
b) punishment
c) pain
d) penalize
5. He is in a terrible rush to complete his tax returns by Tuesday otherwise he won't be able to reach the _________.
a) dead end
b) deadline
c) dead date
d) dead stop
6. It doesn't happen very often but I actually got some money from the tax office and with the _________ I'm going to treat myself.
remake
repeat
refund
respite
7. Before you can claim any money back on overpayment of tax, you have to _________ an application form.
a) fill for
b) fill out
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c) fill through
d) fill with
8. You can elect, if you want, to transfer your tax free allowance to your _________.
a) spouse
b) sponsor
c) spook
d) spokesperson
9. Until it's clearly established which tax group you are in, your employer will be asked to _________ a certain amount of your pay.
a) withstand
b) without
c) withhold
d) withal
10. There have been so many queries about his tax situation that there is now a huge _________ containing the details in the office.
a) full
b) filled
c) filling
d) file
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READING TESTS
Task 1 Read the following extract from an article about accounting ratios. Choose the best word to fill each gap from A, B, C or D below. For each question 1 - 6, mark one letter (A, B, C or D) on your answer
sheet.
There is an example at the beginning (0).
FINANCIAL STATEMENTS AND PROFITABILITY RATIOS
The financial statements of a business provide important information for
people outside the business who do not (0) _________ access to the internal
accounts. For example, existing and (1) _________ shareholders can see how
much profit a business made, the value of its assets and the level of cash (2)
_________. Although these figures are useful, they do not mean a great deal by
themselves. In order to (3) _________ any real sense of the figures in the final
accounts, they need to be properly analyzed using accounting ratios and then (4)
_________ with either the previous year's ratios or against averages for the
industry.
The profitability of a company is important and a key (5) _________ of its
success. In the profit and loss account the figures shown for gross profit and net
profit mean very little by themselves. However, by (6) _________ them as a
percentage of sales they become much more useful. The figures can then be
evaluated against those of previous years, or with those of similar companies.
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1 A eventual B promising C aspiring D potential
2 A reserves B stocks C quantities D stores
3 A reach B find C take D make
4 A differentiated B opposed C compared D balanced
5 A measure B evidence C mark D proof
6 A indicating B expressing C outlining D pronouncing
Task 2
Read the following article about the use of graphs in annual reports. Choose the best word to fill each gap from A, B, C or D below. For each question 7 - 12, mark one letter (A, B, C or D) on your answer
sheet.
GRAPHS IN ANNUAL REPORTS
Increasing attention is being paid to the visual (7) _________ of corporate
annual reports - the charts, photographs and graphs. Academics and practitioners
alike (8) _________ the immense power of good visuals in the communication
process - a well-designed graph is worth a thousand words.
The existence of graphs of key financial (9) _________ in corporate annual
reports is a critical element of communication with stakeholders, especially non-
experts. But graphs are not formally audited and there is the potential for graphs
to be (10) _________ so that they give too positive a picture of a company's
fortunes.
A recent study has provided evidence that those responsible for annual
reports consciously or unconsciously do indeed select graphical designs that tend
to convey a more favorable impression than is (11) _________ . We, therefore,
urge those who prepare reports to pay close attention to the basic principles of
graph design and to seek clarity of meaning, before users lose (12) _________ in
the graphs displayed.
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7 A components B factors C constituents D facets
8 A conclude B distinguish C declare D appreciate
9 A transformations B variables C permutations D varieties
10 A manipulated B influenced C controlled D operated
11 A entitled B rated C warranted D earned
12 A assurance B confidence C belief D conviction
Task 3
Read the following extract from an article about evaluating company performance. Think of the best word to fill each gap.
For each question 13 - 24, write one word in CAPITAL LETTERS on your answer sheet. There is an example at the beginning (0).
EVALUATING COMPANY PERFORMANCE
It is clear that (0) _________ is a need for companies in both the public and
private sectors to develop appropriate performance measures. Setting performance
targets and then evaluating achievements against these targets should provide a
basis (13) _________ improved management. It is important that these
measures are not concerned simply (14) _________ financial issues.
However, many difficulties will confront anyone (15) _________ is tasked
with developing a system aimed (16) _________ setting up such targets. For
example, the way in (17) _________ objectives are set can present serious
problems. In many cases, objectives are (18) _________ vaguely drafted that
useful performance measures can rarely (19) _________ developed. Also, there
Example:
0
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is the difficulty of measuring quality, where the danger is that quantity rather (20)
_________ quality is emphasized, because, in almost (21) _________ cases,
quantity is easier to evaluate. Therefore, we get a somewhat distorted picture (22)
_________ easily measurable aspects of performance take precedence over those
that are more difficult to measure.
(23) _________ the importance of evaluating performance is recognized,
the difficulties involved should not be overlooked. An awareness of these
difficulties and an understanding of their possible impact should, however, lead
(24) _________ the development of more effective and better balanced systems.
Task 4
Read the following introduction to a book about international standards of accounting. Use the words in the box to the right of the text to form one
word that fits in the same numbered gap in the text.
For each question 25 - 30, write the new word in CAPITAL LETTERS on your answer sheet. There is an example at the beginning (0).
IMPLEMENTING INTERNATIONAL STANDARDS
A financial reporting system supported by strong governance, high-quality
standards and sound regulatory frameworks is key to economic (0) _________.
Indeed, high quality standards of financial reporting, auditing and ethics underpin
the trust that investors place in financial and non-financial information and, thus,
play an integral role in a country's economic growth and financial (25)
_________.
Example:
0
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As the forces of (26) _________ prompt more and more countries to open
their doors to foreign investment, and as business (27) _________ across borders
becomes common, both the public and private sectors are (28) _________
recognizing the benefits of having a widely understood financial framework
supported by strong globally accepted auditing standards.
The benefits of a global financial reporting framework are numerous and
include: greater comparability of financial information for investors; greater (29)
_________ on the part of investors to invest across borders; lower cost of capital;
greater (30) _________ in the allocation of resources; and higher economic
growth.
Task 5
Read the following extract from a website about the future of accountancy. Use the words in the box to the right of the text to form one word that fits
in the same numbered gap in the text.
For each question 31 - 36, write the new word in CAPITAL LETTERS on your answer sheet.
THE FUTURE FOR ACCOUNTANCY
The profession's future is certain to be more structured, ever more
governed by global standards and under more scrutiny from a (31) _________ of
national and international bodies. Therefore accountants, particularly those
working in small and medium practices, must change their mindset. They must
start leading change; embrace (32) _________; continuously improve their skills;
invest in technology and demonstrate a fundamental (33) _________ to
professional ethics.
Audit will be subjected to unprecedented scrutiny and auditors will have to
expect to report on the (34) _________ of their judgment and their lack of bias.
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Auditors will have to expect that they will be reporting on an organizations
internal control (35) _________, but will also have to move rapidly to include
detection of fraud as part of their audit report, otherwise markets will remain (36)
_________ about the value of audit.
Task 6
Read the questions below and the extract on the opposite page from an article discussing the value of an MBA qualification for accountants.
Which section (A, B, C or D) does each question 37 - 42 refer to? For each question 37 - 42, mark one letter (A, B, C or D) on your answer
sheet.
You will need to use some of these letters more than once. There is an example at the beginning (0).
37. Some people want to do an MBA because they do not already have a
university degree.
38. An MBA can help people working in finance not to rely on purely numerical information.
39. People on an MBA course engage in practical as well as academic learning.
40. Possessing an MBA does not automatically lead to promotion.
41. An important part of doing an MBA is the contacts made on the course.
42. Where you take an MBA is of considerable importance.
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IS IT WORTH ACCOUNTANTS STUDYING FOR AN MBA?
A
As a business qualification the MBA (Master of Business Administration) degree
has immense appeal to accountants. It is a highly respected qualification that can
open many doors to the employment market, which were previously firmly shut.
In general, business schools aim to provide MBA programmes that offer students
from all backgrounds a thorough knowledge of the mechanics of management
theory, encompassing human resources, finance, operations management,
marketing and information systems. Lectures are coupled with regular group
discussions, case studies and simulations.
B
Jane Baldwin, head of training with a large accountancy firm, is under no illusion
that the market place for financial services is experiencing a period of
transformation. 'No-one can stand still. As accountants, we've got to continue to
develop our knowledge and skills. An MBA from any business school will equip
graduates with a business element, a specialist element, and also help them to
develop their interpersonal skills because the work that is done is not just as an
individual but as a team as well,' says Baldwin. She also cites networking as a
distinct advantage of an MBA programme.
C
As managing director of an international recruitment consultancy for finance
professionals, Graham Simpson, however, has reservations about the importance
of an MBA in the employment market. 'A lot of accountants ask us whether they
should study for an MBA,' he begins. 'I would say that a number of them want to
go for an MBA to compensate for some inadequacy they perceive themselves as
having in the employment market.' The inadequacy he is referring to is the lack
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of a graduate qualification. Simpson admits that an MBA does have some value,
but argues that the status of the business school is much more likely to get you a
job than the MBA itself.
D
Someone who has recently completed an MBA is Michael Taylor, an
international corporate tax specialist. Taylor chose to study for an MBA for the
sake of his own personal development. Although he was recently made head of
his department, he admits that, in his line of work, an MBA would not greatly
enhance career progression. That said, he stresses that his studies enable him to
empathize with his clients and offer a better service. 'I feel that taking an MBA
prevents one from taking too narrow a view of one's professional duties. Having
an MBA has allowed me to move away from just dealing with figures. If I use
figures to back up what I say, then that's fine; but it doesn't matter if I don't as the
qualitative issues may well be more important.'
Task 7
Read the following extract from a text about budgeting and the questions on the opposite page.
For each question 43 - 48, mark one letter (A, B, C or D) on your answer sheet for the answer you choose.
COMPANY BUDGETS
Most senior executives know that the competitive battles ahead will
involve not only ensuring that their company gets better at what it does, but is
also different from others. To achieve this they need talented managers who can
produce more imaginative strategies for growth and improvement, make faster
decisions, be more flexible, be better prepared to anticipate threats and
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opportunities, and who can consistently improve quality and customer
satisfaction. To this list you can add any number of other key competitive issues
that are becoming more important as the service economy gathers speed.
But executives also know that none of these aspirations are attainable
without changing the way the business is run. While most companies have tried
to address these issues by reducing management layers and focusing on the
customer, few have been successful. One of the reasons is the inability to shift the
management philosophy from one of top-down control to bottom-up
empowerment. It is because budgets are most commonly used by organizations to
exercise control that they are at the centre of this thorny issue.
Budgets are, in effect, barriers to change and fail to do well what most
managers think they do well -that is, provide order and control. They are barriers
for many reasons. Firstly, they reinforce the command-and-control management
model and thus undermine attempts at organizational change, such as delegation
and empowerment. In addition, they tend to set a ceiling on growth potential and
a floor for cost reductions, thus stifling real improvement breakthroughs. Strong
brands, skilled people, excellent management processes, strong leadership, and
loyal customers are assets that are outside the measurement orbit of the
accounting system. Budgets are typically extrapolations of existing trends, with
little attention being paid to anticipatory models. What is more, they act as
barriers to exploiting co-operation across the business units.
If asked why we use budgets, most managers would probably answer, 'to
set targets and control business operations'. But budgets evolved in the 1920s to
help growing businesses manage their capital resources and plan their cash
requirements. It was not until the 1960s that budgets were used to set targets,
control operations and evaluate managerial performance. While planning remains
an important part of the management process, it is widely believed that setting
targets and controlling and evaluating performance using budgets is
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fundamentally flawed because it directs managerial behavior towards achieving
predetermined financial targets rather than harnessing the energy of people at all
levels towards continuously improving competitive strategies and customer-
oriented processes.
So, if existing budgeting systems have such crucial weaknesses, why do we
still rely on them? In fact, accountants have tried to improve them. Zero-based
budgeting and activity-based budgeting represent valiant efforts to update the
process, but they tend to be complex project-driven approaches that fail to evolve
into standard management practices. Basically, though, budgeting has not
changed because it is a part of unchallenged tradition. Some companies are re-
engineering their budgeting processes to make them faster and cheaper, but such
an approach fails the test, as it leaves the behavioral weaknesses in place.
What does all this mean for the role of management accountants? Many
accountants now accept that setting fixed financial targets and measuring
performance against them makes little sense when the competitive environment is
subject to continuous change. Plans and strategies need to unfold continuously as
new knowledge emerges. Above all, management accountancy should be
concerned with the future and ensuring that the right questions are asked and the
right decisions are taken that add maximum long-term value. It is hard, though, to
see how these changes can be managed successfully while leaving the current
budgeting system in place.
43. To deal with the competition they are likely to meet in the future, companies should look for managers who will
A. recognize and reward talented people
B. bring considerable experience to the job
C. respond immediately to financial difficulties
D. take a creative approach to developing the business
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44. According to the second paragraph, why have companies failed in their response to key competitive issues?
A. Authority for decision-making is too restricted.
B. Customer needs are not given sufficient priority.
C. There are too many layers of management.
D. Budgets are not adequately monitored.
45. One problem resulting from the way budgets are usually set is that A. they give too optimistic a view of a company's growth potential.
B. they allow staff to avoid taking responsibility for their decisions.
C. they tend to produce too many targets for the workforce to meet.
D. they limit innovative behavior because they focus on past
experience.
46. According to the writer, changes in the use of budgets since the 1960s have prevented managers from
A. giving enough time to planning.
B. concentrating on motivating the workforce.
C. working out realistic targets.
D. assessing the competence of their employees.
47. According to the writer, why have new budgeting systems not been widely adopted?
A. Traditional systems are relatively easy to operate.
B. New systems have proved slow and expensive.
C. Traditional systems are part of accepted practice.
D. New systems have proved unpopular with managers.
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48. According to the final paragraph, many management accountants now believe that
A. companies should be prepared to modify their strategies.
B. budgeting should not influence management decisions.
C. too many company decisions are taken with a short-term view.
D. targets should reflect recent trends in an industry sector.
1. http://www.english-test.net/esl/business-english-lessons.html
2. http://www.financialenglish.org/downloads/icfe_readingsp_06.pdf
3. http://www.financialenglish.org/downloads/icfe_reading_pp_may07.pdf
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