Advances in Accounting Education: Teaching and Curriculum Innovations: Volume 25

The accelerated pace of change in the global economy and capital markets along with the complexity of transactions and financial reporting that involve applying fair value measurements (FVM) is a major third-party user concern. The 2008 financial crisis highlighted risks that investors are exposed to when making FVM-related capital allocations. Accounting estimates often involve subjective assumptions and measurement uncertainty, increasing potential management bias (Choudhary, 2011; Ramanna & Watts, 2012). FVMs are of critical importance to the reliability of the financial statements. Therefore, the purpose of this chapter is to inform educators of the possible need to evaluate their curriculum as to coverage of FVM topics. The support for this evaluation is based on our attempt to: (1) evaluate the extent of reported FVM-related deficiencies with reference to regulatory bodies’ findings of significant deficiencies in FVM; (2) examine the use of FVM specialists; (3) determine if colleges and universities are keeping pace with FVM demands; (4) list the Uniform CPA Examination Blueprint FVM testing areas; and (5) provide curricular FVM topic recommendations.

Serious games are computer games with a primary purpose of educating or training while also entertaining. Literature has established that serious games can enhance learning in the classroom and improve student engagement. However, few studies have analyzed the factors that inhibit the adoption of serious games. The current study extends research by analyzing inhibitors of serious game adoption in an introductory accounting course for MBA students. The accounting mobile challenge (AMC) is a mobile accounting trivia game which utilizes both competitive and collaborative features in gameplay. Results demonstrated that students who identified as collaborative engaged in a greater amount of gameplay while those who identified as competitive did not. Furthermore, independent learners, as well as those who utilized mobile technology more outside of class, more readily adopted the technology. Utilizing the Technology Acceptance Model (Davis, 1989) as a framework, it was predicted that the perceived value of the AMC would increase as students played the game more. Results support this prediction. Finally, a “discouragement effect” was detected as a major inhibitor to utilizing the technology as students who did poorly gave up and discontinued playing the game. This research contributes to the emerging literature on the inhibitors to serious game adoption in accounting.

This chapter describes a service learning (SL) project implemented in an upper-level undergraduate Cost Accounting course to enhance the coverage of costing concepts. Employing a variation of Lafond, Leauby, and Wentzel (2017) SL task, students actively gather cost data for a business venture by preparing peanut butter and jelly sandwiches which are then donated to a local soup kitchen. Comparison of scores on pre- and post-tests suggests that the SL assignment enhances students’ understanding of key cost accounting concepts. More specifically, improvements in mean post-test scores proved significantly greater in the experimental group after completion of the SL activity than in the control group. Feedback further suggests that students appreciated the opportunity to engage in SL by helping others less fortunate. Active SL tied to course objectives meets The Association to Advance Collegiate Schools of Business (AACSB, 2013) suggestions for honing students’ critical thinking skills, while also helping to instill SL values in future business leaders.

This chapter advocates a teaching approach for the statement of cash flows (SCF) that includes introduction of the SCF early in the curriculum using the accounting equation format, which helps students visualize the cash and accrual activities. We then adapt this accounting equation format to a worksheet model that can be used later in the curriculum with more complex data sets. This approach provides several advantages: (1) it maintains a consistent, accounting equation approach throughout; (2) it can be used for both the direct and the indirect report format; (3) when used with Excel, the format is easier to explain, easier to use, and less prone to mechanical error than the worksheet approaches used in most textbooks; and (4) it is used by many professional accountants.

The pandemic was unpredictable, causing a crisis in teaching for university professors. In this chapter, the author describes problems that he faced and how he muddled through. The author summarizes his teaching activities, changes made after March 2020, and the outcomes. The intention is to document responses to Covid-19 so that we can better prepare for future shocks.

Two good decisions were made during this crisis: one was to keep things ­practical, the other was to lean heavily on a learning designer who could help me understand better the world of remote teaching and its tools. The author was, however, overly conservative in not having online debates similar to what had before Covid-19.

The flipped classroom model has become appealing, and it will be adopted in the future. Coping with the pandemic forced the author to make videos, but now they can work well in traditional in-person classes. He hopes to use the videos for the more mundane issues and save class time for discussions and active learning projects.

The COVID-19 pandemic either forced or let the author “flip the classroom” for his courses in three different programs. This chapter provides an anecdotal account of teaching and learning in the world made necessary by the pandemic. Although it remains just one person’s experience, it offers general ideas about going forward in higher education wherein we confront assumptions about traditional pedagogy.

Changes in the accounting profession predictably impact higher education, including the sudden, unexpected shift from working in an office to working remotely. The Covid-19 global pandemic forced our accounting department to pivot all courses to a remote teaching and learning environment, which represented a very turbulent environment for our faculty and students. Since we had no clarity regarding the extent or duration of this change, we decided to collect our experiences that semester to share the practices that we tried that worked well and to also capture the practices that did not work as well as anticipated. As a result, we were able to leverage our dynamic capabilities to work on continuous improvement in the areas of engagement and innovation to have a positive impact on our teaching and student learning.

Using a pool of 226 students from introductory accounting courses offered during the COVID-19 pandemic, the author shows support for the efficacy of hybrid learning delivery methods. The author categorizes students’ preferences for remote (via video conferencing), in-person (face-to-face (F2F)), or HyFlex (an on-demand combination of either in-person or remote) learning modalities and examines the association with performance. The author finds that attendance choices affect a student’s self-reported engagement, coursework participation, and exam performance. Additionally, the author finds a significant effect on all performance measures for those who either attend in-person or hybrid lecture formats compared to remote learning via video conferencing technology. These results indicate a potential loss of learning in the absence of a F2F lecture component. However, results do not indicate any significant performance difference between those who attend in-person and those who prefer a hybrid learning (HyFlex) format. These results show that there is a benefit to F2F lectures, although, the degree to which students must attend in that modality to reach their full benefit remains unresolved as the study did not address this issue.

Recent major changes in the form and content tested on the Certified Public Accountant (CPA) exam have necessitated a re-examination of the relevance of undergraduate accounting coursework to CPA exam performance. Using data on candidates who attended an AACSB-accredited business school in the United States and who took the exam during the period 2005–2013, the authors examine whether the grades that candidates earned in relevant accounting course work affected their performance on related sections of the CPA exam. The authors find that student grades in related courses were positively associated with exam scores for all sections of the exam. This indicates that, despite changes to the exam and accounting education generally, an accounting curriculum can help prepare candidates to pass this critical barrier to entry in the accounting profession. The authors believe the results of this study have important implications for practitioners, academics, and candidates seeking to better understand the determinants of performance on this important professional examination.

In 2017, the CPA exam added task-based simulations that require candidates to demonstrate analytical, critical thinking, and problem-solving skills. In addition, there has been an evolution in training and learning from face-to-face, synchronistic, group study, to online, asynchronistic, and independent study. These changes suggest the need to reexamine the effectiveness of CPA exam candidates’ study methods. In this study, the authors analyze the degree of use and effectiveness of various study methods (e.g., instructor-led study programs, self-study review courses, flashcards, study notes, and practice problems). Based on a survey of candidates taking the CPA exam in 2018 and 2019, the authors find that the most effective method of study is practicing problems. Opposite the results of some extant research, using an instructor-led study program does not appear to increase the likelihood of passing. Because this is the only study to examine a variety of CPA exam study methods since the 2017 exam changes, its results serve as a benchmark for researchers interested in investigating future changes in study habits.

Puerto Rico (PR) is among the US jurisdictions with the lowest passing rates on the Certified Public Accountant (CPA) exam (National Association of State Boards of Accountancy (NASBA), 2016, 2017). No prior studies have addressed this issue. To fill this gap, the authors conducted a survey among candidates to examine the factors perceived as challenges on the exam. The authors also studied the relationship between respondents’ individual, educational, and CPA exam-related characteristics and the likelihood of success on the exam. Results reveal there are three factors perceived by respondents as their main challenges: level of technical difficulty, cost of the exam, and not enough time to study for the exam. Additional analysis indicates that age, major Grade Point Average, weekly study hours, and the time interval between graduation and the first attempt at the exam are significant factors that affect the passing rates on the exam. These findings suggest that a combination of individual, educational, and exam-related factors affect Puerto Rican candidates’ results on the exam. The socioeconomic background of PR may heighten the impact of such factors. Considering that the accounting profession is always adapting to the evolutionary demands of the business environment, these results may contribute to the development of adequate measures in support of Puerto Rican and other minorities with diverse backgrounds.

Tax education, a subset of accounting education formed in the early 1900s, was largely ignored as a discipline until the 1970s. Over time, tax became a more prevalent part of accounting practice and the CPA examination. In 1996, the AICPA developed the Model Tax Curriculum (MTC) to give a practitioner’s perspective on how taxation should be taught in higher education. This chapter provides a history of tax education and the responses of tax educators to the MTC Task Force’s recommendations in 1996 and the revisions in 2007 and 2014. The authors surveyed tax educators five times over 23 years to get a sense of the MTC’s adoption, both in the past and future terms. The authors found that tax educators largely ignored the MTC Task Force’s recommendations. This chapter discusses reasons given by respondents for not following the MTC and offers various strategies the MTC Task Force and others might consider when recommending future tax education reforms.

This study addresses the issue of decreasing accounting student interest in the specialized taxation discipline. Using survey responses from accounting students around the United States, the authors find that one of the most important influences on the choice of a taxation specialization over other accounting fields is the fascination and interest created as part of the initial taxation course in the student’s undergraduate education. This finding echoes prior research on how to motivate pre-business students toward accounting as a major area of study. The authors find that the challenging nature of the initial tax course and potential differences in future career options do not deter students from taxation. Other driving forces for pursing taxation include perceptions of entry-level and long-term compensation, long-term career opportunities, and having an interesting and challenging career. This study can be of interest to academic institutions, public accounting recruiters, and the accounting profession in general as it highlights the meaningful role each can play in encouraging accounting students to pursue taxation as a profession.