Financial year

This refers to the period for which financial statements or accounts are prepared in the UK terms. In the US this is known as a fiscal year.

Profit and loss accounts are produced to reflect activity within the financial year.  Balance sheets are produced to reflect the business’s assets and liability on the last day of the financial year.

Financial year is a term normally found in bookkeeping and financial reporting.

Explore our learning zone to discover more

This entry was posted in . Bookmark the permalink.