FRC publishes review findings on companies' viability and going concern disclosures

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Oct 14, 2021

The Financial Reporting Council (FRC) published the findings of its review of companies’ viability and going concern disclosures.

The findings reveal several areas where viability and going concern reporting could be improved. In particular, the review found that:

  • The disclosure of inputs and assumptions used in forecast scenarios to support the viability and going concern assessments often lacked sufficient qualitative and quantitative detail; and
  • In some cases, there was evidence to indicate that significant judgments may have been applied in determining whether a company was a going concern or whether this was subject to material uncertainty, but these judgments were not identified or explained.

Review the press release and report on FRC's website.

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