The concept of “going concern” in accounting emphasizes that a business must persist into the future to retain its value. This principle signifies that present value already incorporates expectations of future value; thus, a business facing uncertainty about its future will inevitably diminish in present value. It highlights the interconnectedness of present and future values, suggesting that they cannot be regarded in isolation. All stocks traded on the stock market are priced based on their anticipated future value. In essence, we trade on a future that has yet to materialize. Consequently, determining how far into the future to evaluate is a critical factor in making investment decisions. Since individuals have varying skills and perspectives on forecasting the future, selecting an investment strategy must align with one’s attitude toward time. - Joseph’s “just my thoughts”
My mother uses an old cell phone instead of a typical smartphone. My father passed away without ever owning a cell phone. Though they were my parents living in the same era as technology advanced, they struggled to learn how to use a computer. As a result, my parents felt increasingly out of touch. Existing in the same timeframe doesn’t guarantee that everyone experiences the same advancements in civilization. Although time progresses universally, its impact varies among individuals. This variance is shaped by our memories and cognitive perceptions. Thus, the saying, “You don’t miss your water till the well runs dry” remains relevant. - Joseph’s “just my thoughts”