The impacts of the COVID-19 coronavirus outbreak have caused a significant deterioration in economic conditions for some companies and an increase in economic uncertainty for others. Management needs to assess whether these events or conditions, either individually or collectively, cast significant doubt on the company’s ability to continue as a going concern or, in severe cases, whether the going concern assumption is still appropriate as a basis for the preparation of the company’s financial statements.
In assessing whether the going concern assumption is appropriate, management assesses all available information about the future, considering the possible outcomes of events and changes in conditions, and the realistically possible responses to such events and conditions that are available.
Actions for management:
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