What question did this study set out to answer?

The central aim is to explore how the going concern assumption influences accounting practices regarding asset valuation and income measurement.

Revenue Realization, Going Concern and Measurement of Income.

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Examines the relationship between revenue realization and going concern assumptions in accounting, suggesting implications for asset valuation.

The central aim is to explore how the going concern assumption influences accounting practices regarding asset valuation and income measurement.
Reviewed accounting conventions related to going concern and realization.
Analyzed the consistency of current practices in asset valuation.
Investigated the implications of asset classification on income determination.
Found inconsistencies in how current assets and fixed assets are valued under different conventions.
Revealed that the realization convention justifies inventory valuation at cost, conflicting with going concern principles.
Demonstrated that the going concern assumption impacts depreciation practices and the calculation of income.

Reed K. Storey (1959) studied this question.

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Examines the relationship between revenue realization and going concern assumptions in accounting, suggesting implications for asset valuation.