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Going concern

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AA Exams › Going concern

  • This topic has 1 reply, 2 voices, and was last updated 7 years ago by Ken Garrett.
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  • June 11, 2018 at 2:48 pm #458314
    jabbaraslam
    Member
    • Topics: 10
    • Replies: 4
    • ☆

    Hi

    If there is an indicator in GC scenario question that “Suppliers not paid on time”.
    So for its explanation would it be fine to write that “If suppliers are not paid on time, they may refuse to supply company with goods/components which will disrupt production, and delay sales to customers. This may result in loss of customers which may lead to reduced sales, reduced profit, reduced cash leading to GC problem”

    June 11, 2018 at 10:46 pm #458395
    Ken Garrett
    Keymaster
    • Topics: 10
    • Replies: 10595
    • ☆☆☆☆☆

    That’s fine.

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