21. Balance sheet CHECK YOUR ENGLISH VOCABULARY FOR BANKING AND FINANCE

CHECK YOUR ENGLISH VOCABULARY FOR BANKING AND FINANCE

21. Balance sheet

Parker Publishing Group Plc Balance Sheet Audited for the year to March 31st 2007 A. Match the words from the balance sheet with the definitions. 1. property 2. fleet 3. stock 4. outstanding 5. current liabilities 6. long-term liabilities 7. share capital 8. reserves a. vehicles (cars, delivery vans, lorries etc.) b. not yet paid (in this case, not yet paid to Parker Publishing) c. money in deposited in bank accounts d. land, buildings and parts of buildings e. money which must be paid out within one year f. money which must be paid out after one year g. goods not yet sold h. money raised by issuing shares in the company B. Write the words into the spaces. arm cash flow founded in its own right liabilities outstanding pound’s worth sale or return subsidiary tied up trading went public Parker Publishing was 1_________________ in 1872 by Hieronymous Parker, originally as the publisher of a religious periodical called The Preacher. It now specialises in lifestyle magazines, and, through its 2_________________ Tekpress, also publishes several highly successful periodicals on consumer interest subjects such as computing and hi-fi. The distribution 3________________ also distributes magazines from other publishers, and has become highly profitable 4_________________. The company 5_________________ in 1987. The shares, originally priced at 50p, are 6_________________ at the time of writing for around £3.20. Like many magazine publishers, Parker are vulnerable to 7_________________ problems. As their magazines are on 8_________________, they usually have millions of pounds 9_________________ from retailers, and have 10_________________ of several million more in printers' bills. In addition they have to keep large sums of money 11_________________ in stock – the firm's warehouses in London and Manchester usually contain around five million 12_________________ of magazines. C. Look at the article above and the balance sheet on the opposite page. Answer the questions. 1. What are Parker Publishing's main current liabilities? a. money owed to other companies (particularly printers). b. salaries and wages 2. The article doesn't mention long-term liabilities. In the case of Parker Publishing are these more likely to be…? a. money that must be paid to printers in the distant future. b. repayments on a bank loans used to buy a fleet of lorries and the warehouse in Manchester. 3. The company's share capital is £20m. Does this mean that…? a. their shares are currently worth a total of £20m b. the shares were worth £20m when issued, but are now worth much more 4. What's the company currently worth? a. £20,000,000 b. £98,000,000 c. £118,000,000

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