XIV. Find the equivalents:

1. public accounting a. урядовий бухоблік

2. private accounting b. аудит

3. governmental accounting c. придбання

4. auditing d. здійсненність

5. financial statements e. фінансовий облік

6. acquisition f. державний бухоблік

7. tax services g. виробничий відділ

8. feasibility h. податкова служба

9. financial accounting i. фінансова звітність

10. cost accounting j. приватний бухоблік

XV. Fill in the blanks from the words below. Translate the sentences into Ukrainian:

the controller, increasingly, growth, business transactions, management advisory services, management, extensive, the financial statements, contribution.

1.The modern accountant begins to play an ……. Important role in business activity.

2 Accountants record ……. in books of accounts.

3 Accountants act as an advisor to ……. to help in decision-making.

4 Accountants make a valuable …… towards promotion economic …… of a country.

5 The certified public accountants must have…….knowledge of tax statutes, regulations and court decisions.

6 ……..manages the work of the accounting staff.

7 The CPA firm performs audits and it is independent of the company issuing ……..

8 Studying the feasibility of installing a computer-based accounting system is one of the wide range of …... .

XVI. Text C What is auditing

Auditing is a very ancient activity. «Audit» is a Latin word that means «he hears*. In ancient times auditing was the process whereby the owner heard the account given by his steward of the use of the owner's resources. The origin of stewardship goes back into the Middle Ages. It was the original purpose of accounting and was also called «accountability*. Kings or lords who were away at war or for other purpose usually left their estates in the hands of the steward. The steward kept an account of the payments and receipts of the estate so that he could be discharged of responsibility when the owner returned. As a rule, the steward used to tender an account to the owner, who might be illiterate and had to hear it («audit» — «he hears»).

Auditing is an accounting function that involves the review and evaluation of financial records. It is done by someone other than the person who entered the transactions in the records. This work can be done both by internal auditors and outside ones.

Many companies employ their own accountants, to maintain an internal audit. They continuously review operating procedures and financial records and report to management on the current state of the company's fiscal affairs. They check the accounting records in regard to completeness and accuracy, making sure that all irregularities are corrected. Overall, the internal auditors seek to ensure that the various departments of the company follow the policies and procedures established by management.

Currently, outside auditing is a normal and regular part of business-practice. Independent auditing is done by accountants who are not employees of the organization whose books they examine. The independent accountant is a highly qualified specialist. He or she review the business operating activities, examine financial statements, the accounting records, and supporting business papers usually known as evidential matter. It is performed in order to determine the accuracy, authenticity and completeness of the records. The accountant's judgment or opinion on the fairness of the records is contained in a document sent to the client upon completion of the audit.

There are 4 major companies that compete in the financial audits arena. They form what is known as the Big Four. These companies are international forms and are the most well known outside auditors in tlic industry. They are as follows in order of size:

1. PricewaterhouseCoopers, also known as PwC;

2. KPMG, used to be known as Klienveld Peat Marwick Gordeler;

3. DeloitteTouche Tohmatsu, also known as Deloitte;

4. Ernst & Young, also known as E & Y.

There are many other audit firms competing with big four. In the US, mid-tier firms such as Grant Thorton and Moss Adams serve many mid-size companies while smaller entities may contract the services of local CPA firms. In the UK the medium sized firms are also referred to as mid-tier. Many of these firms are international and increasingly are competing for work against the big four.