Going concern – disclosure reminders issued by the IASB

The IASB issued an educational document setting out the IFRS requirements for assessing a going concern and the respective disclosures. 

Stakeholders are increasingly concerned about the impact of the COVID-19 pandemic on entities’ ability to continue as a going concern given the significant economic downturn and, particularly, the reduction in entities’ revenue, profitability and liquidity. This has increased the importance of going concern assessments and the related disclosures. This publication reminds preparers of the IFRS requirements for going concern assessments and the disclosure of material uncertainties and significant judgements.