The financial statements have been prepared on the going concern basis. This assumes that the company will continue in operational existence for the foreseeable future.
At the balance sheet date, the company's liabilities for the period from 10 August 2023 to 31 August 2024 exceed its assets. The director of the company has sought assurance from the creditors that their debts will not be called in within the next twelve months.
The director has been therefore deemed it appropriate that the financial statements be prepared on the going concern basis.