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We discussed in class that during the financial crisis in 2008-2009, about 25% of U.S. public...

We discussed in class that during the financial crisis in 2008-2009, about 25% of U.S. public firms were expected to receive going concern opinions from their public auditors. Required: Define (1) the “going concern” assumption in accounting and (2) going concern opinions.

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Answer #1

Going Conern presume that the business will able to meet it's and obligation and it will be in business for never ending time.Which means that Business is not being closed in near future .

Going Concern Opinion it is opinion which a qualified CPA will give in his Audit Report ,If analysis that the business has a future and will be continued then he will given Unqualified Report and where Auditor sense that there is some doubt on Going Concern he will give a qulified Report and if it very less desirable then he may issue a adverse Report.

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