Question

Imagine you are the external auditor of Saudi Aramco, how do you interpret and what is your view on the “going concern” assumption on the financial stability of a business?

Answer 1

ANSWER:

Going Concern:

a) The undertaking is ordinarily seen as a going concern, that is, as proceeding in activity for a long time to come.

b) It is accepted that the undertaking has neither the goal nor the need of liquidation or of diminishing really the size of the tasks.

Divulgence requirements:

Usually they are not explicitly expressed on the grounds that their acknowledgment and use are accepted .

Hence, if the crucial bookkeeping suspicions, viz. Going Concern. Consistency and Accrual are followed in fiscal reports, explicit divulgence isn't required

Notwithstanding, if any crucial bookkeeping supposition that isn't followed the reality ought to be unveiled.

NOTE: If you like my work please give an upvote.