With respect to the going concern assumption, auditors also draw their own conclusions _______.
A)about whether there is substantial doubt about the entity's ability to continue as a going concern for a reasonable period of time
B)about whether there is substantial doubt about the entity's ability to continue as a going concern for an indefinite period of time
C)as to whether the client is likely to be a target for an acquisition by another company in the near future
D)as to whether the client is likely to attempt to acquire another company in the near future

Question

Quizplus · Accepted Answer

Auditors are responsible for evaluating the entity's ability to continue as a going concern for a reasonable period of time, typically 12 months following the balance sheet date. They do not make predictions about whether the client is likely to be acquired or acquire another company.

With Respect to the Going Concern Assumption, Auditors Also Draw