Fiscal Period

Fiscal Period

See Also:
10 Q
Cash Flow After Tax
Business Cycle
Audit Committee
How Do You Know When It is Time to Buy New Software

Fiscal Period Definition

A fiscal period or fiscal year is defined as a 12 month period in which a business entity will account for all transactions and happenings dealing with that particular company. The 12 month period does not necessarily coincide with the calendar year or January 1st to December 31st.

Fiscal Period Meaning

Fiscal year means that a company is accounting for all occurrences by a company over a year. Usually businesses count their year with that of the calendar year. This makes taxes easier for calculation because taxes are always calculated by the calendar year. The fiscal period concept is used by companies because it is easier to calculate the financials if the company financials resemble the natural business cycle of the company. For example, if a company were to have the end of its busy season come in June, then the company might have its year end on June 30 and its fiscal year beginning on July 1st. For purposes of consolidation a subsidiary must change its fiscal period to mimic the parent company’s period.
Learn how you can be the best wingman for your CEO with our free How to be a Wingman guide!
fiscal period
[box]Strategic CFO Lab Member Extra
Access your Projections Execution Plan in SCFO Lab. The step-by-step plan to get ahead of your cash flow.
Click here to access your Execution Plan. Not a Lab Member?
Click here to learn more about SCFO Labs[/box]
fiscal period

ARTICLES YOU MIGHT LIKE

Does your Accounting Department Produce Net Income?

Coaching the Entrepreneur: Learn how to know what you don’t know. How much should I spend on accounting for my company?     I have been in the accounting profession for 32 years, and for the last 6 years, I’ve owned my own consulting firm to assist companies with accounting challenges. There is one common theme that I

Read More »

Is Mexico the New China?

In the wake of the COVID-19 pandemic and escalating tensions with China, American companies are actively seeking alternatives to mitigate their supply chain risks and reduce dependence on Chinese manufacturing. Nearshoring, the process of relocating operations closer to home, has emerged as an explosive opportunity for American and Mexican companies to collaborate like never before.

Read More »

JOIN OUR NEXT SERIES

Financial Leadership Workshop

MARCH 28TH-31ST 2022

THE ART OF THE CFO®

Financial Leadership Workshop

Days
Hours
Min

August 7-10th, 2023

SHARE THIS ARTICLE
WIKI CFO® - Browse hundreds of articles
Skip to content