Standard Fiscal Year Starting on May 1st - Exam ADX-201 Salesforce Administrator

Standard Fiscal Year Starting on May 1st

Prev Question Next Question

Question

A Standard Fiscal Year can start on May 1st.

Answers

Explanations

Click on the arrows to vote for the correct answer

A. B.

A.

The statement "A Standard Fiscal Year can start on May 1st" is true.

In general, a fiscal year is a 12-month period used for financial and accounting purposes, which may or may not coincide with the calendar year. Many organizations, particularly those with a fiscal year that doesn't align with the calendar year, will define a fiscal year start and end date that aligns with their business needs.

A Standard Fiscal Year is a fiscal year that starts on January 1st and ends on December 31st. However, some organizations may choose to have a non-standard fiscal year that starts on a different date. In the United States, for example, the federal government's fiscal year starts on October 1st and ends on September 30th.

May 1st is a common start date for a non-standard fiscal year, particularly for organizations that are heavily influenced by seasonal factors or that have a business cycle that starts in the spring. Many universities, for example, have a fiscal year that starts on July 1st or August 1st, which aligns with the start of their academic year.

Therefore, it is correct to say that a Standard Fiscal Year can start on May 1st, as this is a possible start date for a non-standard fiscal year.