Translation: Fiscal Year = Fiscal Year. Simplified Definition: It is the "time cycle" a company chooses to close its accounts and issue reports. It does not have to start on January 1 and end on December 31. What Does It Mean for You?

  • Accounting Timing: Companies choose their fiscal year based on the nature of their activity (for example, game companies may start their year after the Christmas holiday season).

Common Question: Can a company change its fiscal year?

  • Answer: Yes, but it is a complex procedure requiring legal and tax approvals, and it is only resorted to for strong strategic reasons.