The length of time covered by a set of periodic financial statements,primarily a year for most companies,is referred to as the:
A)Fiscal cycle.
B)Natural business year.
C)Accounting period.
D)Business cycle.
E)Operating cycle.

Question

Quizplus · Accepted Answer

The length of time covered by periodic financial statements is referred to as the accounting period, which is typically one year for most companies. A fiscal cycle refers to the process of budgeting, forecasting, and monitoring financial activities over multiple periods. A natural business year is the cycle of activity that most closely matches a firm's operating cycle. The business cycle refers to the ups and downs of the economy over time. The operating cycle is the time it takes a company to purchase raw materials, convert them into finished goods, sell them, and receive payment from customers.

The Length of Time Covered by a Set of Periodic