For what reason might retailers like Target select an accounting period that ends on or near the end of January?
A) The company's CPAs are attempting to spread out the workload.
B) The Internal Revenue Service requires merchandise companies to select such a date for their fiscal year.
C) The company originally started business operations on that date.
D) Business activity has reached a slow period that is suited to the preparation of its financial statements at the end of the year.

Question

Quizplus · Accepted Answer

Many retailers experience a slowdown in business activity after the holidays, making it an ideal time to focus on preparing and finalizing financial statements. By selecting an accounting period that ends on or near the end of January, retailers like Target can take advantage of this lull in activity to complete their accounting and financial reporting tasks.

For What Reason Might Retailers Like Target Select an Accounting