going concern

Definition

The assumption that a company will continue operating for the foreseeable future rather than liquidating, which underpins how financial statements are prepared. When auditors question this assumption, update your résumé.

Example Usage

The auditor's report included going concern doubts, triggering a stock price collapse as investors realized bankruptcy was now on the table.

Origin

Auditing principle dating to early 20th century, codified in accounting standards

Fun Fact

The going concern assumption is why assets are valued at historical cost rather than liquidation value—accountants optimistically assume you'll stay in business.

Source: Auditing standards and accounting principles

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imnerho

In my not even remotely humble opinion...