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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.
Some forbearance payments deductible, some not
This has increased directors' exposure in relation to their assessment in supporting a going-concern statement and appropriate regulatory disclosures.
Going consternation: auditors are seeking more and more assurances from their clients about their businesses' continuing viability before they will sign off their accounts without qualification. Robin Johnson explains the liabilities facing directors
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