Ann: Preliminary Final Report, page-53

Jev

I had written a longer post and decided not to post it. It is for authorities, auditors , managers directors etc to know their jobs and responsibilities. Shareholders should get their own advice and knowledge. There are reasons for the wording in reports and IMO some here may be being mislead in regards to the context . Words have special meanings.Everything should be read in context od ASX, ASIC, AASB etc etc. IMO with the added disclaimers in other parts of the un-audited report it isn't straightforward.

IMO due to brevity , simplification etc etc and not knowing education of other posters all our posts have errors and we set ourselves up somewhat and it is the gist or vibe that matters or to quote dennis denuto


TOP TIP: SOLVENCY VS GOING CONCERN
There is often confusion between these two concepts.
Solvency: There are two types: cash-flow solvency – when an entity is able to pay its debts as
they fall due; and balance-sheet solvency – when assets exceed liabilities, including contingent
liabilities. Directors are generally responsible for ensuring the organisation does not continue to
trade while it is insolvent.
Going concern: When an organisation is able to, and intends to, continue to operate for
the foreseeable future12. This is usually regarded as being at least 12 months from the
organisation’s balance date or the date the financial statements were approved (depending on
the applicable financial reporting framework).

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