CORPORATE FINANCE

04 Reporting financial information

1 5
Rearrange the letters in italics to make words. Complete each of these sentences with one word. The
a I am pleased to report that our sorgs tiforp has first letter of each word is given.
increased significantly. a We reduced our o_________ expenses by installing
b Unfortunately, our profits have been affected by more efficient machinery.
raslya acrinsees. b If the t__________ shown by this graph continues, we
c Overproduction is putting pressure on our chas wolf. may have cash flow problems in the near future.
c We have increased our d_________ in order to fund
essential maintenance at our main factory.

2 6
Replace the words in italics with a word that has a Each of these sentences is missing a word. Which word
similar meaning. The first letter of each word is given. is missing in each case? The first letter of each word is
a Both our sales and our profits have declined this given.
quarter. (d___________) a A____________ our sales increased, our profits only
b There has been a slight increase in our retained rose a little.
profit. (m_____________) b D____________ cutting our overheads, we still made
c We expect steady growth to continue in the next six a loss.
months. (g__________) c E____________ though rising costs affected our
profits, the company is still in a healthy position.

3 7
Find a word or words to match these definitions. The Choose the correct word to complete these sentences.
first letter of each word is given. a Profits didn’t grow as much as / in forecasted.
a Things a company owns that are not sold in normal b She went on to talk about the figures for / in more
business, e.g. property and equipment. f_______ detail.
a_________ c I’d like to point out / up that we need to make massive
b Financial debt and other obligations. reductions in our inventory levels.
l_______________
c The percentage of earnings not paid out as dividends.
r ____________ p_________

4 8
Only one of these words is spelled correctly. Identify Are these statements true or false?
the correct word and correct the mistakes in the others. a Holding high levels of inventory puts pressure on a
a gradualy company’s cash flow.
b liabillities b The days sales inventory is a measure of how many
c depreciation goods are sold in one day.
c EBIT stands for ‘earnings before increases in taxation’.

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In Company 3.0 ESP Corporate Finance © Macmillan Publishers Limited 2017 WORKSHEET
 CORPORATE FINANCE

Team B cards

1 5
Rearrange the letters in italics to make words. Complete each of these sentences with one word. The
a The report didn’t take into account the depreciation first letter of each word is given.
in our exfid tasses. a L___________-t___________ liabilities are not due
b I am happy to report that our costs have zebalistid within one year of the balance sheet.
over the last quarter. b Our machinery is quite old, so each year we
c Unfortunately, there has been a figsinciant alfl in the have to spend quite a lot of money on essential
company’s retained profit. m___________.
c Net profit is always lower than g___________ profit.

2 6
Replace the words in italics with a word that has a Each of these sentences is missing a word. Which word
similar meaning. The first letter of each word is given. is missing in each case? The first letter of each word is
a Our level of inventory has gone up in the last 18 given.
months. (i_________) a D_________ increasing its debt, the company
b Production costs rose quickly when fuel costs went remained well financed.
up. (r________) b Salary increases had an impact on our profits.
c Sales have decreased slightly in the last few months. H_________, other costs were stable this year.
(d__________) c Even t_________ our profits didn’t grow as much
as we hoped, we still expect to pay a dividend to our
shareholders.

3 7
Find a word or words to match these definitions. The Choose the correct word to complete these sentences.
first letter of each word is given. a We didn’t see significant increases of / in operating
a A reduction in the value of an asset that occurs over costs this year.
time. d______________ b Let’s move off / on to the next topic: inventory levels.
b A company’s total assets minus its total liabilities. c For / As a result of the rise in production costs, our
s___________ e__________ net profit has decreased slightly.
c Making more of something than you can sell.
o_____________

4 8
Only one of these words is spelled correctly. Identify Are these statements true or false?
the correct word and correct the mistakes in the others. a Retained profit is used to pay dividends to
a recievable shareholders.
b inventory b Bank loans are not included in a company’s total
c massivly liabilities.
c If something is ‘on a company’s books’, it is included
in the accounts.

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In Company 3.0 ESP Corporate Finance © Macmillan Publishers Limited 2017 WORKSHEET