SIGNIFICANT DOUBT ABOUT THE GOING CONCERN
                         ASSUMPTION IN AUDIT

                     Adela Socol, “1 Decembrie 1918” University of Alba Iulia


ABSTRACT: The purpose of this paper is to survey the going concern principle and its application
in auditor’s work. The management of an entity is responsible for the assumption of the going
concern principle in the compilation of the financial statements. We study the auditor’s
responsibilities in the audit of the financial statements relating to management’s use of the going
concern assumption in the preparation of the financial statements. We analyze the events and
conditions that may cause significant doubt about the ability of an entity to continue as a going
concern.

Key words: Professional judgment, Audit evidence, Management’s use of going concern assumption.

JEL codes: M42, M41, L21