Educational material on going concern requirements
13 January 2021
The IFRS Foundation has issued educational material, 'Going concern — a focus on
disclosure', which intends to supports companies in its implementation of the
requirements related to the preparation of financial statements using IFRS
Standards on a going concern basis.
IAS 1 requires management to make an assessment of an entity's ability to continue as
a going concern. If management has significant concerns about the entity's ability
to continue as a going concern, the uncertainties must be disclosed. In the current
stressed economic environment arising from the covid-19 pandemic, deciding whether
the financial statements should be prepared on a going concern basis may involve a
greater degree of judgement than usual.
For more information, see Deloitte's IFRS in Focus newsletter as well as the
press release on the IASB’s website.