Definition:
A fiscal year is any twelve-month period that a company uses for accounting purposes. Many companies use the calendar year, but some use other periods (October 1 to September 30, for example). The fiscal year is used for accounting purposes for preparing the financial statements. Fiscal years vary depending on the company, you can determine the fiscal year by looking at a year end income statement.
Book Excerpt:
(Excerpts from Financial Intelligence, Chapter 9 – The Many Forms of Profit)
Some retailers use a specific weekend, such as the last Sunday of the year, to mark the end of their fiscal year. You must know the company’s fiscal year to ascertain how recent the information you are looking at is.
