This study aims to analyze the evolution of accounting theories in the digital era, focusing on the association between new technologies and major accounting theories and practices such as agency theory, stakeholder theory, legitimacy theory, signaling theory, and technological theory. This study employs a narrative review approach that synthesizes several literatures to deeply analyze the roles of accounting theories in the digital era. The findings indicate that while technologies like artificial intelligence enhance the efficiency and accuracy of accounting practices, they also present challenges due to the rapid pace of technological change that surpasses traditional accounting theories. Specifically, these technologies complicate the oversight of automated systems, necessitate updates in stakeholder management, challenge existing accountability frameworks, and complicate the interpretation of financial data. Traditional accounting theories are unable to keep pace, creating a gap in practical applications. The study underscores the need for new accounting theories that can bridge the gap between advanced technological capabilities and current practices, ensuring that accounting not only keeps pace with technological advances but also maintains high standards of transparency and accountability.

Title

Springer Nature Link

Publisher

Springer

Publisher Country

Australia

Indexing

Scopus

Impact Factor

None

Publication Type

Both (Printed and Online)

Volume

586

Year

2025

Pages

1059–1072