Unit 4. Financial Statements

Commission

A charge for arranging a transaction (e.g. buying or selling securities)

fee

A charge for a service performed by a bank

premiums

Payments for an insurance policy

loss

A reduction in the value of an asset, charged against profits

consolidated

Adjective meaning for a whole group of companies

minority interests

Part-ownership (less than 50%) of other companies

liquid assets/ available asets

are anything that can quickly be turned into cash.

Net current assets/working capital

are the excess of current assets (such as cash, inventories, debtors) over current liabilities (creditors, overdrafts, etc.)

Wasting assets

are those which are gradually exhausted (used up) in production and cannot be replaced.

Current assets/circulating assets/floating assets

are those which will be consumed or turned into cash in the ordinary course of business

Intangible assets

are those whose value can only be quantified or turned into cash with difficulty, such as goodwill, patents, copyrights and trademarks.

Net assets

or shareholders‘ equity, on a business‘s balance sheet, is assets minus liabilities (which is generally equal to fixed assets plus the difference between current assets and current liabilities).

Fixed assets/capital assets/permanent assets

such as land, buildings and machines, cannot be sold or turned into cash, as they are required for making and selling the firm‘s products.

Write off

xóa sổ, xóa nợ

insolvent

unable to pay debt