going-concern statement

going-concern statement

An auditor's statement that there is concern whether the company being audited can remain in business. A going-concern statement indicates equity investors are at substantial risk.
References in periodicals archive ?
30, 2003, Media Space and its investors realized the corporation was incapable of redeeming the stock, and if the redemption rights were exercised, its auditors would have to issue a going-concern statement.