Exercise 5. Work in pairs. Be prepared a report about an interview with the owner of a local business. Plan carefully in advance your interview. Ask the business owner questions such as:
1. What service does he/she sell?
2. What risks do you take in operating your own business?
3. What method do you use to compete with similar business for customers?
4. What training and experience should a person have before attempting to
start his or her own business?
5. How much capital did he/she put in business to start it?
6. What are his/her fixed and variable costs?
7. What price does he/she charge?
8. How many hours' work does cover his/her costs?
9. How much profit does he/she make?
Unit 24.Financing Business
Active Vocabulary
internal funds внутрішніборги
external funds зовнішні борги
to meet one’s expenses покривати чиїсь витрати
depreciation знецінення, зниження цін
to wear out зношуватися, спрацьовуватися
to cover the cost of smth. покрити вартість чого-небудь
short-term loans короткострокова позика
long-term loans довгострокова позика
the principal запозичена сума
common stock спільні акції
preferred stock привілейовані акції
to have voting rights мати право голосу
security exchange фондова біржа
default невиплата, невиконання
договору
mutual funds спільні фонди
prospectus проспект емісії
balance sheet балансовий звіт
income statement звіт про прибуток
assets актив
liabilities пасив балансу, борги,
заборгованість
net worth вартість майна за винятком
зобов’язань
Most money used by business comes from the sale of its products and services. Since these funds come from within the firm they are described as internal funds. The rest must come from outside, or external funds.