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A. the entity will be profitable in the coming year. B.the entity will not be involved in a merger within a year. C) the entity will continue to operate in the foreseeable future. D) top management of the entity will not change in the coming year.
I will go for C too
Option: C
Going concern is one the fundamental assumptions in accounting on the basis of which financial statements are prepared. Financial statements are prepared assuming that a business entity will continue to operate in the foreseeable future without the need or intention on the part of management to liquidate the entity or to significantly curtail its operational activities. Therefore, it is assumed that the entity will realize its assets and settle its obligations in the normal course of the business. - See more at: http://accounting-simplified.com/financial-accounting/accounting-concepts-and-principles/going-concern.html#sthash.Hgw1tvrz.dpuf
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