Topics/Areas for Discussion Due date : 10 july

“IASB Framework” Start date : 5 july 2017

Marks : 5

Discussion Question:
The domestic electronics market has been witnessing a replacement of the conventional TVs
with Smart TVs and LEDs. Due to this reason, a national company - ZEE Electronics has
decided to enter into export business with third world markets having potential for conventional
TV sets. The old financial statements of the ZEE have been showing after tax losses and negative
net working capital since the year 2010. Yet, Zee managed to stay in the business. Now a day,
owing to the government’s huge recent relief for the electronics industry, the company is
projecting good profits from its exports in the days to come. Furthermore, ZEE is also expecting
to arrange additional financial resources to meet its working capital needs and future expansions.
Considering these facts, argue in favor and against the application of “going concern”
assumption with reference to the financial statements prepared by ZEE.

Important Instructions:
·      Your discussion must be based on logical facts.
·      The GDB will open and close on above specified date and time. Please note that no
grace day or extra time will be given for posting comments on GDB.
·      Use the font style “Times New Roman” and font size “12”.
·      Your answer should be relevant to the topic i.e. clear and concise.