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Will your Entity Continue as a Going Concern?

Last week, the FASB  issued a new standard that requires management to evaluate whether substantial doubt exists that an entity will be able to continue as a going concern. Accounting Standards Update 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern (ASU 2014-15 or the “standard”) defines, for the first time in US GAAP, the key terminology and responsibilities of management related to an entity’s ability to continue as a going concern.

The standard is expected to decrease the diversity of practice that exists today in the evaluation of the ability for an entity to continue as a going concern and create some consistencies between the requirements of US GAAP and requirements of the Securities and Exchange Commission.

Learn more in this MHM Messenger: The FASB Asks – Will your Entity Continue as a Going Concern?

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