Vocabulary and Speech Exercises. 6. Fill in the required prepositions:

6. Fill in the required prepositions:

1) Payment__goods__the home trade is made either__advance or__a reasonably short period__delivery.

2) There is little time lost__correspondence and__delivery.

3) A bill__exchange is an order__written form addressed__one person__another, to pay__demand or__a named date a certain sum__money__a person named__the bill, or__his order.

4) The banker’s transfer is carried__ __current rates__exchange.

5) This transaction is simple and may be speeded__ __cabled instructions if desired.

6) The L/C is ideal__ individual transactions or__series, it gives protection__both the seller and the buyer.

7. Read and translate the text. Pay attention to the words in bold type:

One of the important features of the bill of exchange is that it is negotiable. It means that it can be used by the holder to pay his own debts. To do this, the holder of the B/E must endorse it, i.e. sign his name on the bill before handing it in to the next holder.

The owner of the bill can also sell it to the bank, who will pay face value, less interest: this is called to discount a bill. The other way to use a bill is to leave it as security for a loan.

It is due to its free negotiability that the B/E is known to be a useful means of payment in foreign trade. Undoubtedly, its successful operating depends on confidence and trust. Before handling bills each individual company’s status and reputation are thoroughly checked and taken into account.

8. Give English equivalents to the following Russian terms:

номинальная стоимость; денежное обеспечение; индоссировать документ (сделать передаточную надпись); пущенный в обращение вексель; дисконтировать вексель (снижать учетный процент при досрочной оплате)

9. What do we call?

1) to sign the document (cheque, bill) passing rights on it to another person;

2) able to be negotiated;

3) documents or valuables given as cover for loan;

4) the value on a bank-note or stamped on a coin;

5) to sell a bill to a bank for a price that is lower than the value of the bill when it becomes due for payment.

10. Translate into English:

1) Одним из наиболее часто употребляемых способов оплаты во внешнеторговых операциях является аккредитив.

2) Владелец векселя может продать его банку по номинальной стоимости.

3) Оплата товара отечественным поставщикам производится обычно или посредством предоплаты или в течение некоторого разумного периода времени после поставки товара.

4) Вы можете оплатить данный товар по текущему курсу обмена валюты.

5) Условия оплаты по открытому счету предоставляются покупателю с безупречной репутацией.

EPISODE 2