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Articles by David J Hoare

About David J Hoare (416 Articles)
I spent 12 Years as a Certified Public Accountant, Over 20 Years of Practice in Accounting and Consulting, Controller in Management of Closely Held Operations, Masters of Science in Accounting, Prepared over 1,000 Business Tax Returns and Hundreds of Individual Returns

Fixed Asset Turnover Rate

09/24/2017

The fixed asset turnover rate is another activity ratio whereby an income statement financial characteristic is compared to a balance sheet asset section.    In this case, comparing adjusted sales against historical cost of fixed assets.   This [...]

Working Capital Turnover

09/23/2017

The activity ratios measure performance of a current asset on the balance sheet against a corresponding area of the income statement.  The working capital turnover is the most encompassing of all the activity ratios; in effect, it is the most [...]

Tenancy in Partnership

09/10/2017

Black’s Law Dictionary defines tenancy as the right to possess or occupy land.   It goes further to state: “The possession of real or personal property by right or title, especially under a conveying instrument such as a deed or [...]

Cash Ratio

09/04/2017

One of the liquidity ratios used in business is the cash ratio.  It is a much more effective tool for small business than the traditional current or quick ratio.  Although the cash ratio is more difficult to manipulate in small business, most [...]

Business Barriers

09/03/2017

No business is instantaneously successful.   There are multiple obstacles referred to as barriers all owners and managers have to overcome.   There are three primary groups of barriers for every business out there.   They include capital [...]

Bookkeeping – Departmental Accounting (Lesson 71)

09/02/2017

One of the goals of accounting is to report to management performance results, specifically financial performance.   Since most businesses sell more than one product or render more than one service, management is interested in understanding the [...]

Occupancy Rate – How to Evaluate

08/19/2017

In the real estate sector lies the temporary housing industry.   Temporary housing includes hotels, motels, resorts, apartment complexes and rental homes.   The number one tool to measure performance is occupancy rate.   This is the number of [...]

Bookkeeping – Advanced Skillsets (Lesson 70)

08/13/2017

Lessons 1 through 28 covered the fundamentals of bookkeeping.  This includes the six different types of accounts and their relation to the dual entry system.  In addition, debits and credits were explained in how they impact the financial [...]

Bookkeeping – Closing the Books (Lesson 69)

08/12/2017

All the lessons to date lead into this one long and arduous task with bookkeeping called ‘Closing the Books’.   Closing of the accounting records is performed at the end of interim and fiscal year periods.   The end of the year [...]
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