MCDMEntity Viability and Solvency Analysis

Going Concern Evaluation

Going Concern Evaluation is an auditor framework for assessing whether the entity being audited will be able to continue operating and meeting its obligations in the foreseeable future (typically, one year from the financial statement date). Required by auditing standards, this assessment examines financial and operational indicators of distress and evaluates management's plans to address concerns, ultimately determining whether financial statements require modification or special disclosure.

Open in MethodMindSoonVideoSoon

Read the full method

Members only

Sign in with a free account to read this section.

Sign in

Sources

  1. American Institute of Certified Public Accountants (AICPA). (2015). Evaluating Compliance with Going Concern Assumption. AU-C Section 570. AICPA Professional Standards. link
  2. International Auditing and Assurance Standards Board (IAASB). (2015). The Auditor's Responsibilities Relating to Going Concern. ISA 570. IAASB Publications. link

Related methods

Referenced by

ScholarGateGoing Concern Evaluation (Going Concern Assessment Framework for Financial Statement Audits). Retrieved 2026-06-04 from https://scholargate.app/en/accounting/going-concern-evaluation