Practical tip: Presenting less than 12 month financial statements of an acquired business (No. 2014-04)

  • Print-friendly version
Practical tip 07/15/2014 by Assurance services
Practical tip: Presenting less than 12 month financial statements of an acquired business (No. 2014-04)

At a glance

This Practical tip provides guidance regarding using less than 12 month financial statements in lieu of a full year for an acquired business.

Rule 3-06(b) of Regulation S-X ("S-X 3-06(b)") provides that financial statements covering a period of nine to twelve months may satisfy a one-year financial statement requirement under S-X 3-05. This Practical tip explains this guidance and includes an example to help you apply it in practice.