Hot Topic | April 2020

 

Subsequent events, going concern, unusual items and risk disclosure impacts of COVID-19

Updated: The COVID-19 outbreak is impacting how companies evaluate and disclose subsequent events, going concern, unusual items, and risks and uncertainties in their financial statements.

Applicability

  • All companies

Relevant dates

  • Effective immediately

Report contents

  • Background
  • Subsequent events (ASC 855)
  • Going concern (ASC 205-40)
  • New: Unusual items (ASC 220-20)
  • Risks and uncertainties (ASC 275)
  • Considerations for SEC issuers
  • Appendix A: Examples of business risks relevant to the subsequent events and going concern analysis
  • Appendix B: Examples of financial statements estimates potentially affected by COVID-19

 

Spotlight on contributors

Jon Baker

Jon Baker

Partner, Dept. of Professional Practice, KPMG US

Valerie Boissou

Valerie Boissou

Partner, Dept. of Professional Practice, KPMG US

Rika Tanaka

Rika Tanaka

Managing Director, Dept. of Professional Practice, KPMG US

 

 

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