They rely on the opinion of the accountants who prepared the statements, as well as the auditors that verified it, to present a true and fair view of the company.
Depreciation is a non-cash expense that ensures true record of revenue or capital so that the balance sheet presents a true and fair view of the state of affairs.
It would also result in a stark difference between micro-entity reporting and larger businesses' accounts, where a true and fair view will certainly remain the norm.
Directors of small companies are not relieved of their duty to assess going concern because all company accounts are required, by law, to give a true and fair view.
