TABLE OF CONTENTS

PART Page

PART A.................................................................................................……. 2

1. ...........................................................................................................…… 2

2.............................................................................................................…… 4

3.............................................................................................................…… 6

4.............................................................................................................…… 7

5.............................................................................................................……. 8

PART B.................................................................................................…… 10
 PART A

1. Read the following text and answer the questions

Questions:

a. What is financial market? What are compositions of financial market?

Financial markets refer broadly to any marketplace where the trading of securities
occurs. Financial markets are made by buying and selling numerous types of financial
instruments including equities, bonds, currencies, and derivatives.

Compositions of financial market are the stock market, bond market, forex market, and
derivatives market, among others.

b. What are the differences between the bond market and the stock market?

A bond is a security in which an investor loans money for a defined period at a pre-
established. Bonds are issued by corporations as well as by municipalities, states, and
sovereign governments to finance projects and operations. The bond market sells
securities such as notes and bills issued interest rate. The bond market also is called the
debt, credit, or fixed-income market

The stock market is a financial market that enables investors to buy and sell shares of
publicly traded companies

c. How do companies raise capital on stock market?

Perhaps the most ubiquitous of financial markets are stock markets. These are venues
where companies list their shares and they are bought and sold by traders and
investors. Stock markets, or equities markets, are used by companies to raise capital
via an initial public offering (IPO).

d. What is the primary stock market and secondary stock market? What are the
differences between them?

The primary stock market is where new issues of stocks, called initial public offerings
(IPOs), are sold. Any subsequent trading of stocks occurs in the secondary market,
where investors buy and sell securities that they already own. Stock markets, or
equities markets, are used by companies to raise capital via an initial public offering
(IPO), with shares subsequently traded among various buyers and sellers in what is
known as a secondary market.

e. How do the money markets work? Give some examples of financial products that
are traded on the money markets
Typically the money markets trade in products with highly liquid short-term maturities
(of less than one year) and are characterized by a high degree of safety and a relatively
low return in interest. At the wholesale level, the money markets involve large-
volume trades between institutions and traders. At the retail level, they include money
market mutual funds bought by individual investors and money market accounts
opened by bank customers.

For example: Individuals may also invest in the money markets by buying short-term
certificates of deposit (CDs), municipal notes, or U.S. Treasury bills, among other
examples.

f. What are derivatives and how do they work?

A derivative is a contract between two or more parties whose value is based on an

agreed-upon underlying financial asset (like a security) or set of assets (like an index).
Derivatives are secondary securities whose value is solely derived from the value of
the primary security that they are linked to.

A derivatives market trades in futures and options contracts, and other advanced
financial products, that derive their value from underlying instruments like bonds,
commodities, currencies, interest rates, market indexes, and stocks

g. What are the characteristics of the forex market?

The forex (foreign exchange) market is the market in which participants can buy, sell,
hedge, and speculate on the exchange rates between currency pairs. The forex market
is the most liquid market in the world, as cash is the most liquid of assets. The
currency market handles more than $5 trillion in daily transactions, which is more than
the futures and equity markets combined. As with the OTC markets, the forex market
is also decentralized and consists of a global network of computers and brokers from
around the world. The forex market is made up of banks, commercial companies,
central banks, investment management firms, hedge funds, and retail forex brokers
and investors.

h. How do the commodities markets and derivatives market relate to each other? What
is the implication of their relation?

Commodities markets are venues where producers and consumers meet to exchange
physical commodities such as agricultural products (e.g., corn, livestock, soybeans),
energy products (oil, gas, carbon credits), precious metals (gold, silver, platinum), or
"soft" commodities (such as cotton, coffee, and sugar). These are known as spot
commodity markets, where physical goods are exchanged for money. The bulk of
trading in these commodities, however, takes place on derivatives markets that utilize
spot commodities as the underlying assets. Forwards, futures, and options on
commodities are exchanged both OTC and on listed exchanges around the world
i. What are cryptocurrencies and why should we be careful when trading on
cryptocurrency markets?

Cryptocurrencies are based on blockchain technology. Hundreds of cryptocurrency

tokens are available and trade globally across a patchwork of independent online
crypto exchanges. Because the majority of crypto exchanges are centralized platforms,
users are susceptible to hacks or fraud.

j. How to invest in cryptocurrency markets?

These exchanges host digital wallets for traders to swap one cryptocurrency for
another, or for fiat monies such as dollars or euros.

2. Complete each sentence with the correct ending A-K from the box below, and
afterwards put the completed sentences in the right order to make a meaningful
paragraph about corporate finance. Translate the paragraph into Vietnamese.

1- Additionally, the finance team – H. manages current assets, current liabilities, and
inventory control.

2- Such decisions include whether to – C. pursue a proposed investment and whether

to pay for the investment with equity, debt, or both

3- Corporate finance is also responsible for – B. raising capital in the form of debt or
equity

4- Corporate finance is the subfield of finance – G. that deals with how corporations
address funding sources, capital structuring, accounting, and investment decisions

5- Short-term financial management concerns – K. current assets and current liabilities

or working capital and operating cash flows

6- Corporate finance aims at maximizing shareholder value – D. through long- and

short-term financial planning and the implementation of various

strategies

7- Corporate finance team are charged with governing and overseeing – A. their firms'
financial activities and capital investment decisions

8- The capital investment decision process – E. is primarily concerned with capital

budgeting

9- Corporate finance is also tasked with short-term financial management, where the
goal is to ensure – I. that there is enough liquidity to carry out continuing operations
10- They also include whether shareholders – F. should receive dividends, and if so, at
what dividend yield

Put the completed sentences in the right order to make a meaningful paragraph
about corporate finance.

Corporate finance is the subfield of finance that deals with how corporations address
funding sources, capital structuring, accounting, and investment decisions. Corporate
finance aims at maximizing shareholder value through long- and short-term financial
planning and the implementation of various strategies. Corporate finance team are
charged with governing and overseeing their firms' financial activities and capital
investment decisions. Such decisions include whether to pursue a proposed investment
and whether to pay for the investment with equity, debt, or both. They also include
whether shareholders should receive dividends, and if so, at what dividend yield.
Additionally, the finance team manages current assets, current liabilities, and
inventory control. The capital investment decision process is primarily concerned with
capital budgeting. Corporate finance is also responsible for raising capital in the form
of debt or equity. Corporate finance is also tasked with short-term financial
management, where the goal is to ensure that there is enough liquidity to carry out
continuing operations. Short-term financial management concerns current assets and
current liabilities or working capital and operating cash flows.

Translate the paragraph into Vietnamese

Tài chính doanh nghiệp là lĩnh vực tài chính liên quan đến cách các công ty giải quyết
các nguồn vốn, cơ cấu vốn, kế toán và quyết định đầu tư. Tài chính doanh nghiệp
nhằm tối đa hóa giá trị của cổ đông thông qua việc lập kế hoạch tài chính dài hạn và
ngắn hạn và thực hiện các chiến lược khác nhau. Nhóm tài chính doanh nghiệp chịu
trách nhiệm quản lý và giám sát các hoạt động tài chính và các quyết định đầu tư vốn
của công ty họ. Những quyết định như vậy bao gồm việc có nên theo đuổi một khoản
đầu tư được đề xuất hay không và có nên trả khoản đầu tư đó bằng vốn chủ sở hữu, nợ
hay cả hai hay không. Chúng cũng bao gồm việc liệu các cổ đông có nên nhận cổ tức
hay không, và nếu có, thì lợi tức cổ tức là bao nhiêu. Ngoài ra, nhóm tài chính quản lý
tài sản lưu động, nợ ngắn hạn và kiểm soát hàng tồn kho. Quá trình quyết định đầu tư
vốn chủ yếu quan tâm đến việc lập ngân sách vốn. Tài chính doanh nghiệp cũng chịu
trách nhiệm huy động vốn dưới hình thức nợ hoặc vốn chủ sở hữu. Tài chính doanh
nghiệp cũng được giao nhiệm vụ quản lý tài chính ngắn hạn, trong đó mục tiêu là đảm
bảo rằng có đủ thanh khoản để thực hiện các hoạt động liên tục. Quản lý tài chính ngắn
hạn liên quan đến tài sản lưu động và nợ ngắn hạn hoặc vốn lưu động và dòng tiền
hoạt động.

3. Complete the sentences below with the words in the box and then translate the
paragraph into Vietnamese.

Personal finance (also referred to as personal financial planning) is the process of

planning your spending, financing, and ______ investing_____ to optimize your
financial situation. A personal financial plan specifies your financial goals and
describes the spending, financing, and investing plans that are intended to achieve
those goals. Although the United States is one of the wealthiest countries in the world,
many Americans do not manage their financial situations well. Consequently, they
tend to rely too much on __ credit ______ and have excessive debt. Historically, most
educational systems have not given much attention to personal finance. Consequently,
many people have limited personal finance skills, or had to teach themselves in
response to financial dilemmas that they experienced. Personal finance does not
require a genius mind but does require the use of common sense and discipline. If you
make proper personal finance decisions, you will __spend____ your money more
carefully, which can reduce the amount of __ funds____ you need to borrow or can
increase your___ savings _____. Either result increases your wealth, and allows you to
more easily afford _____ purchases _____ of products or services in the future.
Conversely, poor personal finance decisions can cause you to ___ borrow ______
excessively, to the point at which you might not be capable of repaying your ___ debt
___. About 790,000 people in the United States filed for personal __ bankruptcy____
in 2016. You might think that personal bankruptcy only occurs when an individual
pursues a very risky strategy, such as borrowing excessively and losing all the money
from gambling or from investing in a very risky ___ stock ____ . However, many
bankruptcies are the result of some simple personal finance decisions that lack
common sense.

Translate the paragraph into Vietnamese:

Tài chính cá nhân (hay còn gọi là lập kế hoạch tài chính cá nhân) là quá trình lập kế
hoạch chi tiêu, tài trợ và đầu tư để tối ưu hóa tình hình tài chính của bạn. Kế hoạch tài
chính cá nhân xác định các mục tiêu tài chính của bạn và mô tả các kế hoạch chi tiêu,
tài trợ và đầu tư nhằm đạt được các mục tiêu đó. Mặc dù Hoa Kỳ là một trong những
quốc gia giàu có nhất trên thế giới, nhưng nhiều người Mỹ không quản lý tốt tình hình
tài chính của mình. Do đó, họ có xu hướng phụ thuộc quá nhiều vào tín dụng và mắc
nợ quá nhiều. Trong lịch sử, hầu hết các hệ thống giáo dục không quan tâm nhiều đến
tài chính cá nhân. Do đó, nhiều người có kỹ năng tài chính cá nhân hạn chế, hoặc phải
tự học để đối phó với những tình huống khó xử về tài chính mà họ đã trải qua. Tài
chính cá nhân không đòi hỏi một bộ óc thiên tài nhưng cần sử dụng ý thức và kỷ luật
chung. Nếu bạn đưa ra các quyết định tài chính cá nhân đúng đắn, bạn sẽ tiêu tiền cẩn
thận hơn, điều này có thể giảm số tiền bạn cần vay hoặc có thể tăng khoản tiết kiệm
của bạn. Kết quả là làm tăng sự giàu có của bạn và cho phép bạn dễ dàng mua các sản
phẩm hoặc dịch vụ hơn trong tương lai. Ngược lại, các quyết định tài chính cá nhân
không tốt có thể khiến bạn vay nợ quá mức, đến mức bạn có thể không trả được nợ.
Khoảng 790.000 người ở Hoa Kỳ đã nộp đơn phá sản cá nhân vào năm 2016. Bạn có
thể nghĩ rằng phá sản cá nhân chỉ xảy ra khi một cá nhân theo đuổi một chiến lược rất
rủi ro, chẳng hạn như vay quá nhiều và mất hết tiền từ cờ bạc hoặc đầu tư vào một cổ
phiếu rất rủi ro. . Tuy nhiên, nhiều vụ phá sản là kết quả của một số quyết định tài
chính cá nhân đơn giản thiếu ý thức chung.

4. Put the words in the right order to make complete sentences

a. The interest rate / depends on / a company / credit rating /can / at which / largely /
its / borrow

=> The interest rate can largely borrow at which a company depends on its credit
rating

b. Investors / greater / a yield / expect / for risk / usually

=> Investors usually expect a yield greater for risk

c. Bond / known as / companies with / junk bond / a bad credit rating / issued by / are
commonly

=> Bond issued by companies with a bad credit rating are commonly known as junk
bond.

d. Government bonds, / known as / are / in USA / can / or more, / thirty years /

treasury bonds / last up to / which

=> Government bonds, which can last up to thirty years or more, are known as
treasury bonds in USA

e. Corporate / considered / are generally/ stocks / investments in / to be safer / bonds /

than

=> Corporate bonds are generally considered to be safer than investments in stocks

f. Bonds / traded / their / as market makers / which / are /act / on behalf of / by banks /
customers

=> Bonds are traded by banks which act on behalf of their customers as market
makers

g. The price / fluctuates / interest rates / inversely / of bonds / with

=> The price of bonds fluctuates inversely with interest rates.

h. The yield / bought / as well as / its / depends on / its purchase price / on the
secondary market / of a bond / interest rate

=> The yield of a bond depends on its purchase price as well as its interest rate
bought on the secondary market.

5. Makes sentences with the following words then translate them into Vietnamese

a. Fiat money
Fiat money is a type of money that is not backed by any commodity such as gold or
silver, and typically declared by a decree from the government to be legal tender.

Tiền Fiat là một loại tiền không được hỗ trợ bởi bất kỳ hàng hóa nào như vàng hoặc
bạc, và thường được tuyên bố bởi một nghị định từ chính phủ là đấu thầu hợp pháp.

b. Mortgage

The term “mortgage” refers to a loan used to purchase or maintain a home, land, or
other types of real estate

Thuật ngữ “thế chấp” đề cập đến một khoản vay được sử dụng để mua hoặc duy trì
nhà, đất hoặc các loại bất động sản khác

c. Deposit accounts

A deposit account is a bank account maintained by a financial institution in which a

customer can deposit and withdraw money

Tài khoản tiền gửi là một tài khoản ngân hàng được duy trì bởi một tổ chức tài chính,
nơi khách hàng có thể gửi và rút tiền

d. Dividends

A dividend is the distribution of corporate profits to eligible shareholders

Cổ tức là việc phân phối lợi nhuận của công ty cho các cổ đông đủ điều kiện

e. Stockbroker

A stockbroker is a financial professional who executes orders in the market on behalf

of clients

Một nhà môi giới chứng khoán là một chuyên gia tài chính, người thực hiện các lệnh
trên thị trường thay mặt cho khách hàng

f. Bull market

A bull market is the condition of a financial market in which prices are rising or are
expected to rise

Thị trường tăng giá là điều kiện của thị trường tài chính trong đó giá đang tăng hoặc
dự kiến sẽ tăng

g. Investment portfolio
An investment portfolio is a collection of assets and can include investments like
stocks, bonds, mutual funds and exchange-traded funds

Danh mục đầu tư là một tập hợp các tài sản và có thể bao gồm các khoản đầu tư như
cổ phiếu, trái phiếu, quỹ tương hỗ và quỹ trao đổi

h. Pension funds

A pension fund, also known as a superannuation fund in some countries, is any plan,
fund, or scheme that provides retirement income

Quỹ hưu trí, còn được gọi là quỹ hưu trí ở một số quốc gia, là bất kỳ kế hoạch, quỹ
hoặc chương trình cung cấp thu nhập hưu trí

i. Income

Income is the consumption and saving opportunity gained by an entity within a

specified timeframe, which is generally expressed in monetary terms

Thu nhập là cơ hội tiêu dùng và tiết kiệm mà một thực thể đạt được trong một khung
thời gian cụ thể, thường được biểu thị bằng tiền

j. Credit card

Credit cards give you access to a line of credit issued by a bank, while debit cards
deduct money directly from your bank account

Thẻ tín dụng cung cấp cho bạn quyền truy cập vào hạn mức tín dụng do ngân hàng
cấp, trong khi thẻ ghi nợ trừ tiền trực tiếp từ tài khoản ngân hàng của bạn

PART B

Choose only one topic in the list below and demonstrate your understanding
about:

5. Cryptocurrencies

A cryptocurrency is a digital or virtual currency that is protected by encryption,

making counterfeiting and double-spending practically impossible. Many
cryptocurrencies are built on blockchain technology, which is a distributed ledger
enforced by a distributed network of computers. Cryptocurrencies are distinguished by
the fact that they are not issued by any central authority, making them potentially
impervious to government intervention or manipulation.

Cryptocurrencies are digital or virtual currencies that rely on cryptography

technologies to function. They make it possible to make safe online payments without
the involvement of third-party payment processors. Various encryption methods and
cryptographic approaches, such as elliptical curve encryption, public-private key pairs,
and hashing functions, are referred to as "crypto.".

Cryptocurrencies can either be mined or bought on cryptocurrency exchanges.

Cryptocurrency purchases are not permitted on all ecommerce sites. In fact, even
famous cryptocurrencies like Bitcoin are rarely used for retail purchases.
Cryptocurrencies, on the other hand, have become popular as trading instruments
because to their increasing value. They are also utilized for cross-border transfers to a
limited extent.

Blockchain

Blockchain technology is at the heart of Bitcoin's and other cryptocurrencies'

attractiveness and usefulness. Blockchain is, as its name implies, a collection of
interconnected blocks or an online ledger. Each block comprises a collection of
transactions that each network member has independently validated. Every new block
must be validated by each node before being confirmed, making forging transaction
histories nearly impossible. The contents of an online ledger must be agreed upon by
the whole network of a single node, or computer, that keeps a copy of the ledger.

According to experts, blockchain technology can benefit a variety of sectors and

activities, including supply chain management and online voting and crowdfunding.
JPMorgan Chase & Co. (JPM) and other financial institutions are experimenting with
blockchain technology to reduce transaction costs by simplifying payment processing..

Types of Cryptocurrency

The most well-known and valued cryptocurrency is Bitcoin. It was conceived and
introduced to the public in 2008 by an unidentified individual named Satoshi
Nakamoto through a white paper. Thousands of cryptocurrencies are currently
available on the market.

Every cryptocurrency claims to have a unique purpose and specification. Ethereum's

ether, for example, is marketed as gas for the underlying smart contract platform.
Banks utilize Ripple's XRP to ease transfers between different locations.

The most commonly traded and covered cryptocurrency is Bitcoin, which was first
made available to the public in 2009. There were around 18.8 million bitcoins in
circulation as of November 2021, with a total market cap of around $1.2 trillion. There
will only be 21 million bitcoins ever created.

Following Bitcoin's breakthrough, a slew of new cryptocurrencies known as "altcoins"

have emerged. Some are Bitcoin clones or forks, while others are brand-new
currencies created from the ground up. Solana, Litecoin, Ethereum, Cardano, and EOS
are among them. By November 2021, the entire value of all cryptocurrencies in
existence had surpassed $2.1 trillion, with Bitcoin accounting for roughly 41% of that
total.
Advantages and Disadvantages of Cryptocurrency

Some advantages and disadvantages of cryptocurrencies are as follows.

Advantages

Cryptocurrencies are a new, decentralized money paradigm. To enforce trust and

police transactions between two participants, centralized intermediaries such as banks
and monetary organizations are not required in this system. As a result, a system based
on cryptocurrencies reduces the risk of a single point of failure, such as a huge bank,
triggering a global crisis, similar to the one generated in 2008 by the failure of
institutions in the United States.

Cryptocurrencies promise to make it easier to move funds between two parties without
the use of a trusted third party such as a bank or credit card provider. The use of public
and private keys, as well as various forms of reward, secures such decentralized
transfers.

Cryptocurrency transfers between two transacting parties are faster than traditional
money transfers since they do not employ third-party intermediaries. Flash loans are a
nice illustration of decentralized transfers in decentralized finance. These loans, which
are not backed by security, can be completed in seconds and are employed in trading.

Investing in cryptocurrencies can be profitable. Over the last decade, the value of
cryptocurrency markets has surged, reaching nearly $2 trillion at one time. Bitcoin was
worth more over $862 billion on crypto marketplaces on December 20, 2021.

One of cryptocurrency's most notable use cases is the remittance industry. Currently,
cryptocurrencies such as Bitcoin are used as intermediary currencies to facilitate cross-
border money transfers. As a result, a fiat currency is changed to Bitcoin (or another
cryptocurrency), then sent across borders and converted back to the target fiat
currency. This method simplifies and lowers the cost of money transfers.

Disadvantages

Cryptocurrencies are pseudonymous, despite the fact that they promise to be an

anonymous type of transaction. They create a digital trail that can be deciphered by
entities like the Federal Bureau of Investigation (FBI). This gives governments and
federal agencies the ability to trace the financial transactions of regular persons.

Criminals are increasingly using cryptocurrency for undesirable operations such as

money laundering and unlawful purchasing. The case of Dread Pirate Roberts, who
managed a dark web bazaar for drug sales, is well-known. Cryptocurrencies have also
become popular among hackers, who use them to carry out ransomware attacks..

Cryptocurrencies are supposed to be decentralized, with their wealth spread between

multiple parties on a blockchain. In actuality, there is a lot of power in the hands of a
few people. According to an MIT analysis, only 11,000 investors owned nearly 45
percent of Bitcoin's soaring value.

One of the conceits of cryptocurrencies is that anyone with an Internet connection may
mine them. Mining popular cryptocurrencies, on the other hand, needs a lot of energy,
often as much as entire countries. Mining has become concentrated among huge
corporations with revenues in the billions of dollars due to high energy prices and the
unpredictability of the industry. According to an MIT research, 10% of miners are
responsible for 90% of the country's mining capacity.

While cryptocurrency blockchains are extremely secure, other crypto repositories,

such as exchanges and wallets, are vulnerable to hacking. Over the years, many
cryptocurrency exchanges and wallets have been hacked, resulting in the theft of
millions of dollars worth of "coins."

Price volatility is a problem for cryptocurrencies traded on public exchanges. Bitcoin's

value has risen and fallen rapidly, reaching a high of $17,738 in December 2017
before plummeting below $7,575 in the following months. 3 As a result, some
economists regard cryptocurrencies as a passing fad or speculative bubble.