In the West each company (to have) a certain freedom in the design of its own set of accounts so as to reflect the nature of its business and the needs of its management in directing that business. In Russia this process (to regulate) centrally, there (to be) a tradition of using a uniform Chart of Accounts.
The first uniform Chart of Accounts (to appear) in Russia in the 1920s. It (to intend) for industries only and was revised periodically. In 1961 the first national uniform Chart of Accounts (to create) and put into operation. With only insignificant changes, this chart (to use) in accounting practice until 1992. In 1992 transition to a new chart (to make). The current Chart of Accounts (to consist) of about 100 accounts and 60 subaccounts grouped into 10 main sections. All accounts included in this uniform chart (to call) "synthetic" (main or summary) accounts. On the basis of this chart, each enterprise also may create a set of "analytic" (supporting) accounts if needed to supplement the synthetic accounts. The Chart of Accounts can be considered the most important element of the accounting system in Russia because it (to determine) the accounting practice and other elements of the system.
The Chart (to provide) for the following: an interrelated classification, grouping, and generalization of information about business activities of enterprises, a unified methodological basis for the organization of accounting in the whole national economy, an effective system of control of indicators for business activities, comparability of accounting procedures used and information generated in the accounting systems of different enterprises, etc.
Words you may need:
set of accountsперечень счетов
synthetic accountсинтетический счет
analytic accountаналитический счет
interrelated classificationвзаимосвязанная классификация
methodological basisметодологическая база
READING PRACTICE | What happens after a winding-up order is granted by the court? | Ex. 19. Read the text quickly to find the part of the text explaining how managers can solve the problem of a cash shortfall. | ACCOUNTING PRINCIPLES AND CONCEPTS | ACCOUNTANCY IN A FREE-MARKET ECONOMY | PUBLIC AND PRIVATE ACCOUNTANTS | VOCABULARY LIST | EXERCISES | Ex. 5. Sum up the content of the dialogues. Use the phrases from Ex. 5 (Unit 1). | C) Explain what information must be disclosed in accounting records. Say what you have learned from the text about the UK rules for the preparation of accounting records. |