During which period do companies often conduct audits?

Companies typically conduct audits at the end of their fiscal year because this timing allows for a comprehensive review of the financial statements and operations over the entire fiscal period. An annual audit helps ensure that the company's financial records are accurate and comply with accounting standards and regulations.

At the end of the fiscal year, the financial results are finalized, making it a suitable point for auditors to assess the overall financial health of the organization. This audit process usually includes examining financial statements, testing internal controls, and verifying that the company’s accounting practices are in accordance with generally accepted accounting principles (GAAP) or International Financial Reporting Standards (IFRS), depending on the jurisdiction.

While some companies may conduct audits at other times, such as when raising capital or throughout the year, these circumstances are not as common or standardized as the end-of-year audits. Additionally, conducting audits exclusively during tax season would not provide a complete picture of the company's financial situation, as it would miss other critical periods throughout the year. Therefore, the end of the fiscal year is the most logical and prevalent time for audits to be carried out.