UNIT 6: MONEY, BANKING AND CENTRAL BANKING

EXERCISE 1: MATCH THE TERMS WITH THEIR DEFINITIONS

Terms Definitions
1. Central Bank A. A financial institution that accepts deposits, makes loans,
and provides other financial services.
2. Monetary B. The rate at which a central bank lends money to
Policy commercial banks.
3. Fiscal Policy C. The government's use of spending and taxation to
influence the economy.
4. Inflation D. A general increase in prices over time.
5. Deflation E. A general decrease in prices over time.
6. Interest rate F. The cost of borrowing money.
7. Liquidity G. The ease with which an asset can be converted into cash.
8. Recession H. A period of economic decline marked by falling GDP
and rising unemployment.
9. Commercial I. The government agency responsible for overseeing the
Bank nation's monetary system.
10. Reserve J. The percentage of deposits that banks must hold in
Requirement reserve.

EXERCISE 2: MULTIPLE CHOICE QUESTION

1. What is the primary tool used by central banks to influence the money
supply?
A. Fiscal policy C. Interest rate changes
B. Open market operations D. Quantitative easing

2. What is the main goal of monetary policy?

A. To balance the federal budget
B. To promote economic growth and price stability
C. To regulate international trade
D. To protect consumers from fraud
3. What is the difference between a commercial bank and an investment
bank?
A. Commercial banks lend money to businesses, while investment banks lend
money to individuals.
B. Commercial banks take deposits and make loans, while investment banks
provide financial services like underwriting and mergers and acquisitions.
C. Commercial banks are regulated by the Federal Reserve, while investment
banks are not.
D. Commercial banks are non-profit organizations, while investment banks are
for-profit.

4. In modern economies, credit cards are a _________________ because of

their wide acceptance as a method of payment for both goods and services.
A. Unit of exchange C. Unit of account
B. Store of value D. Medium of exchange

5. __________________ pool the deposits of many investors together and

invest them in a safe way like short-term government bonds.
A. Money market funds C. Time deposits
B. Savings deposits D. Certificates of

6. Which function is performed by a central bank but not a commercial

bank?
A. Provide loans to individuals C. Controlling the money supply
and businesses D. Trade currencies
B. Insure bank deposits

7. Open market operation refers to the buying and selling of?

A. Commercial bills C. Foreign exchanges
B. Gold D. Government securities

8. A central bank that wants to increase the quantity of money in the

economy will:
A. Raise the discount rate. C. Reverse quantitative easing.
B. Sell bonds in open market D. Buy bonds in open market
operations. operations.

9. What is the role of a central bank during a financial crisis?

A. To increase taxes
B. To decrease government spending
 C. To provide liquidity to the financial system
D. To regulate stock markets
10. What is the difference between a primary market and a secondary
market?
A. Primary markets are for new securities, while secondary markets are for
existing securities.
B. Primary markets are for individual investors, while secondary markets are
for institutional investors.
C. Primary markets are regulated by the SEC, while secondary markets are not.
D. Primary markets are for stocks, while secondary markets are for bonds.

UNIT 7: TAXATION

EXERCISE 1: MULTIPLE CHOICE QUESTION

1. Criminal organizations such as the Mafia tend to pass money through a

series of companies in very complicated transactions in order to disguise
its origin from tax inspectors and the police; this is known as..........money.
A. laundering C. cleaning
B. washing D. ironing

2. Individuals and corporate entities can find it attractive to establish

subsidiaries or move themselves to............. to reduce taxation levels.
A. tax havens C. tax evasion
B. tax avoidance D. tax shelters

3. .........is frequently applied in reference to personal income taxes, where

people with more income pay a higher percentage of that income in tax
than do those with less income.
A. regressive tax C. progressive tax
B. income tax D. tax avoidance

4. Personal income tax is a typical example of.......

A. indirect taxes C. direct tax
B. property tax D. consumer tax

5. Property tax does not apply to……..

A. houses C. apartments
B. clothing D. land
 6. Taxation as a term ……. to all types of taxes, from income to gift to estate
taxes.
A. applies C. applied
B. apply D. applying

7. Income tax is when a % of a ……… is paid to the government.

A. paycheck C. restaurant bill
B. apartment D. clothing receipt

8. Laundering money is putting taxation money........ different companies to

disguise the origin of money.
A. onto C. at
B. into D. on

9. Which of the following is NOT a function of taxation?

A. Control inflation rate C. Regulate the market economy
B. Purchase for domestic D. Create more money by
expenditure depositing money from tax

10. Tax levied by the government on tobacco, alcoholic drink called....

A. Excise tax C. Goods tax
B. Income tax D. Corporation tax

EXERCISE 2: MATCH THE TERMS WITH THEIR DEFINITIONS

Terms Definitions

1. Excise tax A. A tax levied on a commodity that is paid by

2. Customs duties the consumers as part of the market price.
3. Wealth tax B. A tax on some types of goods such as alcohol,
4. Taxable income cigarettes, or petrol paid to a national or state
5. Tax liability government
6. Tax inspector C. A tax on personal property and financial
7. Indirect taxes assets above a particular level
D. An official responsible for assessing and
 8. Tax shelter collecting income tax and some other taxes
E. A financial arrangement, such as the use of
special depletion allowances, that reduces
taxes on current earnings

UNIT 8: ACCOUNTING AND FINANCIAL STATEMENTS

1. What are the main types of accounting information?
A. Financial accounting C. Tax accounting
B. Management accounting D. all answers above

2. Financial accounting refers to information describing financial resources,

obligations of an …. and activities.
A. Auditors C. Economic transactions
B. Financial health D. Economic entity

3. Accounting is the process of

A. Identifying, measuring, recording, the fanancial transactions and events
B. Interpreting, classifiying and communicating the financial transactions and
events.
C. Classifying, summarizing, analyzing, interpreting and communicating the
financial transactions and events.
D. Identifying, measuring, recording, classifying, summarizing, analyzing,
interpreting and communicating the financial transactions and events.

4. Which is three common types of financial statements?

A. Balance sheet, shareholder’s equity statement, cash flow statement
B. Trial balance, income statement, balance sheet
C. Income statement, balance sheet, income statement
D. Statement of shareholder’s equity, income statement, trial balance

5. Management accounting shows:

A. Financial resources, obligation, activities of a business – financial statements-
external users and internal users (window dressing)
B. The development and interpretation of accounting information.
 C. Tax informations , tax returns, basing financial accounting information :
employers, governments and tax authority
D. All answers above

6. Which is the profit that a company makes after deducting the costs associated
with producing and selling its products or the costs associated with its services?
A. Gross sales C. Gross profit
B. Net sales D. Operating profit

7. “ The first part of a cash flow statement shows the cash flow from all
investing activities, which generally include purchases or sales of long-term
assets, such as property, plant and equipment, as well as investment
securities” ( second )
A. True B. False

8. Examine the accounting process

A. Source Documents - Book of Original - Ledger Accounts - Trial Balance -
Final Accounts (Interpreting, Communicating)
B. Identifying Documents - Ledger Accounts - Trial Balance - Book of Original -
Final Accounts (Interpreting, Communicating)
C. Measuring Documents - Book of Original - Final Accounts (Interpreting,
Communicating) - Trial Balance
D. Book of Original - Source Documents - Ledger Accounts - Trial Balance -
Final Accounts (Interpreting, Communicating)

9. … refers to information describing financial resources obligations and

economic entity.
A. Management accounting C. Financial accounting
B. Tax accounting D. All answers above

10. Ledger accounts is a book that contains all accounts of a business and used to
record the transactions periodically from journals
A. True B. False

11. …. include accounts payables, short-term debt, unearned revenue, accrued

expenses, and dividends payable.
A. Liabilities C. Long-term assets
B. Owner’s equity D. Current assets
12. Long-term liabilities include Mortgages, car payments, or other loans for
machinery, equipment, or land are long-term liabilities.
A. False C. Not Given
B. True

13. Shareholders’ equity is sometimes called … or .. . It’s the money that would
be left if a company sold all of its assets and paid off all of its liabilities.
A. net income / capital C. capital / net worth
B. owner / net worth D. None of above

14. Which statements are written records that convey the business activities and
the financial performance of a company
A. Balance sheets C. Trial Balance
B. Cash flow statements D. None of above

15. Cash flow statements provides detailed information about a company’s

assets, liabilities and shareholders’ equity.
A. True B. False

UNIT 9: FINANCIAL ANALYSIS

EXERCISE 1: MATCH THE TERMS WITH THEIR DEFINITIONS

Terms Definitions

1. An activity ratio A. The reputation that a person or

organization has for paying their debts
2. A liquidity ratio
3. Prospects B. The amount of loan capital that a company
has in relation to its share capital
4. Publicly-traded
corporations C. A Financial report that a company must by
law present each year to its shareholders
5. Credit-worthiness
D. The chances of being successful in the
6. Annual reports
future
7. Leverage
 8. A coverage ratio
E. Corporations offers their securities such as
9. A turnover ratio stocks or bonds for sale to the general public
10.A financial leverage
F. Relates information on a company’s ability
to manage its resources efficiently

G. Provides information on a company’s

ability to meet its short-term , immediate
obligations

H. A measure of the gross benefit , relative to

the resources expended

I. A measure of a company’s ability to satisfy

particular obligations

J. Provides information on the degree of a

company’s fixed financing obligations and its
ability to satisfy these financing obligations

EXERCISE 2: MULTIPLE CHOICE QUESTION

1. What is the primary source of data in financial analysis?

A) The company’s annual financial reports

B) The stock price of the company on the market
C) Bank interest rates
D) Media reports on current events

2. What is the primary purpose of financial analysis?

A) Evaluating the effectiveness of production activities
B) Supporting investment and financial decision-making
C) Calculating taxes for the company
D) Analyzing stock market data

3. Which ratio measures the amount of profit from each dollar of sales?

A) Gross profit margin C) Net profit margin

B) Return on assets D) Return on equity

4. Financial analysis helps assess which aspect of a company?

A) The gross profit from products sold
B) The ability to meet financial obligations
C) The level of market risk management
D) The unit cost of production

5. Which ratio measures the company's ability to pay its short-term

obligations with its most liquid assets?

A) Quick ratio C) Debt-to-assets ratio

B) Return on equity D) Asset turnover ratio

6. Which ratio helps assess a company’s ability to meet its long-term

obligations?

A) Quick ratio C) Return on assets

B) Debt ratio D) Profit margin ratio

7. Which of the following ratios is most useful to assess a company’s

profitability?

A) Current ratio C) Price-to-earnings ratio

B) Return on assets D) Debt-to-equity ratio

8. Which ratio measures the profitability of the company relative to its

sales?

A) Profit margin ratio C) Sales growth ratio

B) Earnings per share D) Dividend payout ratio

9. Which ratio measures the return generated from assets employed in

the company?

A) Return on assets (ROA) C) Asset turnover ratio

B) Price-to-earnings ratio D) Debt ratio

10.Which financial ratio measures the percentage of net income paid out
as dividends?
A) Return on equity C) Price-to-earnings ratio
B) Dividend payout ratio D) Debt-to-assets ratio

UNIT 10: INTERNATIONAL BUSINESS

What’s meaning of these words?
 - A Specific tariff - An exchange rate
- Trade mission - Balance of Trade (BOT)
- An ad valorem tax - Balance of Payment
- CIF - Current account/checking
- FOB account
- Dumping - Capital account
- Multinational company - Trade deficit
- A parent company - Trade surplus

TRANSLATE INTO VIETNAMESE:

1. Central banks play a crucial role in regulating monetary policy and maintaining
financial stability in the economy.
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2. A strong banking system is essential for economic growth as it provides credit

to businesses and individuals.
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3. Taxation serves as a crucial mechanism for governments to collect revenue,

ensuring the funding of essential public services such as healthcare, education,
and national security, while also supporting infrastructure development and
economic stability.
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4. A well-designed taxation system not only generates revenue for the
government but also promotes social equity, encourages compliance, and
minimizes economic distortions that could hinder growth and investment.
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5. Accounting provides a systematic framework for recording, summarizing, and
analyzing financial transactions, enabling businesses to make informed
decisions and meet regulatory requirements.
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6. Financial statements, including the balance sheet, income statement, and cash
flow statement, offer a comprehensive overview of a company's financial
health and performance over a specific period.
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7. By using key financial ratios such as profitability, liquidity, and solvency

ratios, financial analysis helps stakeholders understand the strengths and
weaknesses of a business and its potential for growth.
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8. Financial analysis evaluates financial data to measure a company's performance

and trends.
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TRANSLATE INTO ENGLISH:

1. Ngân hàng trung ương đóng vai trò quan trọng trong việc điều tiết nền kinh tế,
không chỉ kiểm soát lạm phát mà còn thực hiện các chính sách để duy trì sự ổn
 định tài chính. Việc điều chỉnh lãi suất và cung ứng tiền tệ giúp đảm bảo tăng
trưởng bền vững và giảm thiểu rủi ro tài chính cho nền kinh tế.
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2. Báo cáo tài chính là công cụ quan trọng giúp các nhà đầu tư, cổ đông và các
nhà quản lý nắm bắt được tình hình tài chính của doanh nghiệp. Nó không chỉ
phản ánh kết quả hoạt động trong một kỳ tài chính mà còn cung cấp những
thông tin cần thiết để đưa ra quyết định đầu tư và quản lý hiệu quả hơn.
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3. Thuế là một công cụ quan trọng giúp chính phủ thu thập nguồn tài chính để chi
tiêu cho các dịch vụ công cộng và phát triển cơ sở hạ tầng. Tuy nhiên, hệ thống
thuế không chỉ đơn giản là việc thu tiền từ người dân và doanh nghiệp mà còn
phải đảm bảo công bằng và hợp lý. Một hệ thống thuế hợp lý giúp duy trì sự
công bằng trong xã hội, khi mà những người có thu nhập cao sẽ đóng góp
nhiều hơn vào ngân sách nhà nước, trong khi đó những người có thu nhập thấp
sẽ được hỗ trợ. Chính sách thuế cũng có thể tạo ra các động lực kinh tế, thúc
đẩy các doanh nghiệp đầu tư vào các ngành chiến lược, từ đó hỗ trợ sự phát
triển bền vững của nền kinh tế.
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4. Phân tích tài chính là một công cụ quan trọng trong việc đánh giá và hiểu rõ
tình hình tài chính của một doanh nghiệp. Thông qua việc sử dụng các chỉ số
tài chính, nhà phân tích có thể xác định được khả năng sinh lời, khả năng thanh
toán và mức độ rủi ro của doanh nghiệp. Bằng cách đánh giá các báo cáo tài
chính, phân tích tài chính không chỉ giúp các nhà đầu tư đưa ra quyết định
thông minh mà còn giúp các nhà quản lý điều chỉnh chiến lược kinh doanh,
giảm thiểu rủi ro và tối ưu hóa các nguồn lực. Đây là một phần quan trọng giúp
doanh nghiệp phát triển mạnh mẽ và bền vững trong môi trường kinh tế thay
đổi liên tục.
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5. Kinh doanh quốc tế không chỉ mở rộng cơ hội tiếp cận các thị trường toàn cầu
mà còn giúp các công ty tận dụng được các nguồn lực và cơ hội từ nhiều quốc
gia khác nhau. Tuy nhiên, việc tham gia vào thị trường quốc tế cũng mang lại
nhiều thử thách, đặc biệt là trong việc thích nghi với các khác biệt về văn hóa,
pháp lý và môi trường kinh doanh. Các công ty cần phải nghiên cứu kỹ lưỡng
về thị trường mục tiêu, hiểu rõ các quy định pháp lý và xây dựng chiến lược
phù hợp để có thể thành công trong môi trường quốc tế. Chính vì thế, kinh
doanh quốc tế đòi hỏi các doanh nghiệp có tầm nhìn dài hạn, sự linh hoạt và
khả năng thích ứng cao để vượt qua các rào cản và phát triển bền vững.
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