Answer
Some of the major challenges affecting the accounting profession relate to the following items:
i. Non-financial measurements- how to report significant key performance measurements such as customer satisfaction indexes, backlog information as well reject rates on goods purchased.
ii. Forward-looking-information-how to report on future oriented information.
iii. Soft assets- how to report on intangible assets, for instance; market-know-how, market dominance as well as well-trained employees.
iv. Timeliness- how to report more real-time information.
Work Step by Step
Additionally, understand-ability is also another major challenge facing the accounting profession where investors as well market regulators are raising concerns about the complexity and lack of understand-ability of financial reports.
