Exposure Draft 1650-100—Going Concern

This proposed Statement would provide guidance on the preparation of financial statements as a going concern and on management's responsibility to evaluate a reporting entity's ability to continue as a going concern. It also would require certain disclosures when either financial statements are not prepared on a going concern basis or when there is substantial doubt as to an entity's ability to continue as a going concern. Currently, AU Section 341, The Auditor's Consideration of an Entity's Ability to Continue as a Going Concern, of the AICPA Codification of Statements on Auditing Standards contains the guidance about the going concern assessment. The Public Company Accounting Oversight Board (PCAOB) adopted AU Section 341 on an initial, transitional basis and has subsequently amended that interim standard.

For more information, see the following:

Proposed Statement of Financial Accounting Standards—Going Concern (PDF).

Issued: October 9, 2008

Comment Deadline: December 8, 2008

The Exposure Draft identifies the Codification Subsections that may be added upon issuance of this guidance.

• Not Applicable—New Content

Note: On June 3, 2009, the Board decided to broaden the scope of the project. A proposed ASU will be published after Board deliberations.