Why would it be important to disclose a possible going concern issue?

Responses

Investors and creditors presume that the firm is ongoing and that assets, liabilities, and results of operations, and therefore the stock price, reflect that presumption.

Investors and creditors presume that the firm is ongoing and that assets, liabilities, and results of operations, and therefore the stock price, reflect that presumption.

Management needs to know what to write in the MD&A section of the annual report.

Management needs to know what to write in the MD&A section of the annual report.

Internal accountants need that information in order to schedule production runs and operations schedules.

Internal accountants need that information in order to schedule production runs and operations schedules.