THE IMPACT OF RECENT TECHNOLOGICAL ADVANCEMENTS ON THE CURRENT ACCOUNTING CONCEPTUAL FRAMEWORK FOR FINANCIAL REPORTING

Abstract

Abstract: The rapid pace of technological advancements in recent years has presented significant challenges to traditional accounting practices and raised concerns about the relevance and effectiveness of existing accounting conceptual frameworks. This research paper examines the failure of the current accounting conceptual frameworks to keep up with these technological advancements, identifying the key areas where inadequacies have been observed. Through a comprehensive analysis of available literature, case studies, and expert opinions, the paper explores the impact of technology on accounting processes, financial reporting, and the conceptual framework itself. The main objective of this research is to assess the impact of recent technology developments on the financial accounting conceptual framework for financial reporting in general and qualitative characteristics in particular on annual reports of Talaat Moustafa. Data were analyzed using financial health and performance ratios. The result of the study shows that all of the necessary ratios that are chosen to assess the firm's ability to meet the requirements of the qualitative characteristics of the accounting conceptual framework for financial reporting are decreasing. Thus, the study concluded that  the current conceptual framework for financial reporting falls short to keep up with the emerging technologies.