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Question (a) What are the auditor's responsibilities for 'going concern assumptions''?
Question (b) Maxim Stewart is the partner in charge of the audit for a new client, Southern Southerland (SS). The client engaged Maxim's audit firm in November 2017, in preparation for the 2018 audit. From 30 January 2018 onwards, SS has consistently paid its suppliers late, well in excess of the suppliers' agreed credit terms. This has resulted in some suppliers demanding cash on delivery from SS. Maxim is also aware from his review of correspondence between SS and its bank that the company has been experiencing cash flow problems since 2016.
Required: Identify any significant events or conditions that individually or collectively may cast significant doubt on SS's ability to continue as a going concern
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