Going Concern and subsequent events
Attendees will leave with a clear understanding of how to apply these principles to their work, ensuring compliance with relevant IFRS and IFRS for SMEs standards while supporting robust financial reporting.
2 CPD units January 22, 2025 1 presenter
What will set you apart
By completing this course you will gain the following competencies
- Definition and implications of the going concern assumption.
- Indicators of financial distress and factors that may challenge the going concern assumption.
- Types of events after the reporting period (adjusting vs. non-adjusting events).
- How to assess and disclose such events in financial statements.
- Real-world case studies demonstrating the importance of these concepts in ensuring transparency and accountability in financial reporting.
Event breakdown
- Going Concern: The going concern assumption is a fundamental principle in accounting that assumes a business will continue its operations in the foreseeable future, without the intention or need to liquidate or significantly curtail its activities. Financial statements are prepared under this assumption unless there is significant evidence to suggest otherwise. Auditors and accountants must assess whether this assumption is appropriate based on the entity’s financial health, operating environment, and prospects.
- Subsequent Events: These are events that occur after the balance sheet date but before the financial statements are issued or made available for use. They are divided into two categories:
- Adjusting Events : Events that provide additional evidence about conditions that existed at the balance sheet date and require adjustments to the financial statements.
- Non-Adjusting Events : Events that are indicative of conditions that arose after the balance sheet date and do not require adjustments but may need disclosure to avoid misleading users of the financial statements.
- The relationship between going concern and subsequent events is crucial because certain subsequent events, like the loss of a major customer or severe economic downturns, may indicate that an entity is no longer a going concern. Understanding both concepts helps businesses and auditors ensure accurate reporting and transparency.
Category: AccountingType: CPD CourseCPD category: Accounting
Description
This webinar will explore two critical concepts in financial reporting: Going Concern and Events after the Reporting Period, as outlined in IFRS and other reporting frameworks. Accountants and finance professionals need to understand these principles to ensure that financial statements reflect an entity's ability to continue its operations and appropriately account for significant events that occur after the reporting period but before the financial statements are finalised.
Presenters
Faith Ngwenya — Faith
You will earn a certificate
On successful completion you will receive a certificate for 2 CPD units in Accounting.
Requirements
- Laptop, desktop, or mobile device with internet access
- Microsoft Edge, Google Chrome, Safari, or Firefox browser