Headroom target: Difference between revisions
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imported>Doug Williamson (Extracted from "Headroom" page.) |
imported>Doug Williamson (Added See also Going concern & Headroom.) |
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For this reason a <i>headroom target</i> should be set to provide flexibility and to ensure the Directors are able to certify their company as being a Going Concern (under IFRS accounting guidelines) at the end of each financial reporting period. | For this reason a <i>headroom target</i> should be set to provide flexibility and to ensure the Directors are able to certify their company as being a Going Concern (under IFRS accounting guidelines) at the end of each financial reporting period. | ||
== See also == | |||
* [[Going concern]] | |||
* [[Headroom]] | |||
Revision as of 14:51, 21 November 2012
Total sources of liquidity need to be sufficient to meet the cash needs of an organisation, taking into account any uncertainty over future cash requirements.
For this reason a headroom target should be set to provide flexibility and to ensure the Directors are able to certify their company as being a Going Concern (under IFRS accounting guidelines) at the end of each financial reporting period.
