Going Concern Concept

The concept deals with the quality of long lasting status of the business enterprise
irrespective of the owners' status, whether he is alive or not. This concept is known as
concept of long-term assets. The fixed assets are bought in the intention to earn profits
during the season of the business. The assets which are idle during the slack season of
the business retained for future usage, in spite of that those assets are frequently sold out
by the firm immediately after the utility leads to mean that those assets are not fixed
assets but tradable assets. The fixed assets are retained by the firm even after the usage
is only due to the principle of long lastingness of the business enterprise. If the business
disposes the assets immediately after the current usage by not considering the future
utility of the assets in the firm which will not distinguish in between the long-term assets
and short-term assets known as tradable in categories.

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