SERVICES PROViDED BY BANKS

Investment in stock and shares can be made through any branch of the bank on behalf of customers. All quoted Stock Exchange securities can be bought or sold with maximum security and minimum formality through the bank. Being in constant touch with leading stock brokers in London and the country, the bank is in a position to obtain information regarding all classes of stocks and shares in which customers may be interested. Shares may be bought or sold without any charges beyond those payable to a stockbroker and the bank is responsible for the collection of the proceeds of a sale and for the delivery of the certificate on a purchase. An investment report service is also often available for the customer who needs a second portion on a portfolio being managed personally. In addition, professional advice can be given on investments in foreign stock not quoted on the London Stock Exchange.

Share certificates, documents, jewellery and other valuables can be stored in the strong rooms of the bank. They will be safer with the bank than at the customer’s home but it is his responsibility to ensure them.

The bank also provides a continuing service for personal income tax payers, checking tax liabilities and generally assuming the main burden of work involved in the preparation of tax returns and claims. Because if the sources of income and allowances are complicated, it is not easy to know for the individual if he is paying the right amount of tax. The bank helps the customer on particular problems resulting from Capital Gains Tax and Capital Transfer Tax. It may be able to point out ways in which the customer can quite legitimately minimize the effect of these taxes.

Insurance need not be a problem for the bank’s customer either. Insurance cover for life, house, accident or anything else may be effected through any Bank Insurance Service which employ highly experienced brokers in this field. They can usually arrange to obtain the best possible terms consistent with absolute safety.

1. Why is the best way to buy stocks and shares through a bank?

2. How much does the bank charge for the investment service?

3. What is the best way of keeping valuables safe?

4. In what way may the bank help individual tax payer?

5. What measures can be taken to protect your life and possessions?

IV. КОНТРОЛЬНЫЕ ВОПРОСЫ

1. What is the definition of business?

2. What is production?

3. What is the main goal of any business?

4. What is profit?

5. What does the economy comprise?

6. What is the economy difficult and complicated for?

7. What characterizes the state of the economy when it enjoys a boom?

8. What characterizes the state of the economy when it moves into a recession?

9. Can the economic environment be controlled?

10. What is the most common form of private ownership?

11. What kind of business is likely to be a sole proprietorship?

12. Is it easy or difficult to start an own business?

13. Why do individuals want to have their own business?

14. Why can owners of sole proprietorships put their policies into effect very quickly?

15. What problems does an owner of sole proprietorship have to solve?

16. What are the risks involved with a sole proprietorship?

17. What are the advantages and the disadvantages of sole proprietorship?

18. In what forms can a business be privately owned?

19. What is a partnership?

20. In what professional fields are partnerships likely to be?

21. In what businesses is a partnership a common form?

22. What owner of a partnership is called a general partner?

23. What owner of a partnership is called a limited partner?

24. What is a secret partner / a silent partner?

25. How can partners combine their resources when starting a business?

26. What backgrounds should partners have to operate a business?

27. What are the advantages of a partnership?

28. What are the disadvantages of a partnership?

29. Is there any difference between a silent partner and a secret partner? What is the difference?

30. What is a corporation?

31. What types of corporations do you know?

32. Who^’s a stock holder?

33. What are the advantages of a corporate form of ownership?

34. What are the disadvantages of a corporate form of ownership?

35. What kind of legal procedure does a person have to follow to form a corporation?

36. What does it mean « to organize the corporation?»

37. Who has a final authority in management of a corporation?

38. How often does a general meeting of a corporation take place?

39. Who can own a corporation?

40. What kind of corporations usually doesn’t issue the stock?

41. What products are called adaptations?

42. What products are considered to be innovations?

43. Why are many adaptations and innovations produced by small business?

44. Why do some promising products have no success?

45. Is it important to obtain a patent? Why?

46. What is accounting?

47. What ^‘s the aim of accounting?

48. Who needs the data providing by accounting departments?

49. What are the two types of records which most businesses prepare?

50. What does a balance sheet show?

51. What does an income statement show?

52. What^‘s the difference between an accountant and a book-keeper?

53. What can you know analyzing the income statement and balance sheet of a company?

54. What is the purpose of the ratio analysis?

55. Why do corporations need financing?

56. What is called an equity financing?

57. What^’s a stock certificate?

58. What does it mean «a negotiable stock certificate?»

59. How is the value of a share determined?

60. What does the value of a share depend on?

61. What is debt funding?

62. What activities produce an inflow and an outflow of capital?

63. What does marketing mean?

64. What is another term for «the movement of goods and services from producers to consumers?

65. What activities does marketing consist of?

66. What operations does marketing include?

67. What helps producers to predict what customers will want to purchase?

68. How do producers influence on consumer ^, s choice of purchasing?

69. Is marketing research very important? Why?

70. Why is it necessary to have competitors in business?

71. What is financial investment? What is real investment?

72. What type of investments makes contribution to economic prosperity?

73. What characterizes financial investment?

74. What is inflation?

75. What characterizes hyperinflation?

76. What causes demand-pull inflation?

77. What causes cost-push inflation?

78. What characterizes mild inflation?