Ace Company is preparing a balance sheet on December 31, Year One. The company has a very large note payable coming due on March 17, Year Three. A cash forecast indicates that Ace will not be able to make that payment when it comes due. Does substantial doubt that the company will be able to continue as a going concern require disclosure?

Answer rating: 100% (QA)

Yes substantial doubt about a companys ability to continue as a going concern typically requires disclosure in the financial statements The going conc... View the full answer