Accounting Education Change Commission Research Articles

A primer on tax education in the United States of America

The targeted readership of this article are tax educators employed outside the USA and other readers who are interested in tax education and research within the USA. After briefly outlining key features of the US tax system, the article describes the ‘traditional’ approach to tax teaching and documented concerns with this approach. A number of alternative approaches to tax teaching stemming from the work of the Accounting Education Change Commission are described. In addition, a synopsis of prior tax education literature from the USA is presented so that interested readers can further investigate some of the specific techniques described. The pendulum of tax teaching in the USA has swung between a rule-oriented lecture format and a more abstract economic analysis. Now, the current concensus appears to prefer an eclectic approach with a combination of teaching methods, testing techniques, case, economic, and rule-oriented content. Although the underlying tax laws throughout the world obviously differ, it is suggested that the possibility that effective delivery strategies may be universal.

A primer on tax education in the United States of America

The targeted readership of this article are tax educators employed outside the USA and other readers who are interested in tax education and research within the USA. After briefly outlining key features of the US tax system, the article describes the ‘traditional’ approach to tax teaching and documented concerns with this approach. A number of alternative approaches to tax teaching stemming from the work of the Accounting Education Change Commission are described. In addition, a synopsis of prior tax education literature from the USA is presented so that interested readers can further investigate some of the specific techniques described. The pendulum of tax teaching in the USA has swung between a rule-oriented lecture format and a more abstract economic analysis. Now, the current concensus appears to prefer an eclectic approach with a combination of teaching methods, testing techniques, case, economic, and rule-oriented content. Although the underlying tax laws throughout the world obviously differ, it is suggested that the possibility that effective delivery strategies may be universal.

Teaching Intermediate Financial Accounting Using a Business Activity Model

This paper describes a creative approach to the instruction of intermediate financial accounting that relies primarily on a business activity model (BAM). Initially funded by an Accounting Education Change Commission (AECC) grant, this curriculum revision is designed to (1) motivate students for their chosen profession, (2) promote their technical competency, and (3) develop in them an expanded set of educational objectives including critical-thinking, communication, and research skills. The BAM emphasizes financial disclosure and technical research as well as those topics commonly found in “traditional” intermediate accounting courses. Working in professional service teams, students mimic the accounting and financial-reporting processes found in the “real world” by conducting analytical reviews, soliciting information from clients, preparing adjusting and correcting entries, and drafting financial statements and notes for a fictitious client company.

Accounting Educators' Concerns About the AECC Position and Issues Statements

The purpose of this study was to survey accounting educators regarding their opinions on the Accounting Education Change Commission's (AECC) position and issues statements. The AECC issued the statements to provide a framework for the reform of accounting classrooms. A 35-item concerns questionnaire was mailed to all 2-year and 4-year accounting educators in 1 state. Results indicate that these professors are inexperienced users of the AECC's position and issues statements, although some exceptions were noted. The results indicate that accounting educators need further exposure to the AECC statements, including the details of how to teach in a reform-consistent manner.

Survey evidence of teacher development based on AECC recommendations

Abstract Recent graduates from accounting doctoral programs were surveyed about their perceived preparation for specific teaching characteristics espoused by the Accounting Education Change Commission AECC (Accounting Education Change Commission). [(1993). Evaluating and rewarding effective teaching: position statement no. five. Issues in Accounting Education 8(2), 436-439.] Respondents also provided information on specific teacher training methods currently being used by doctoral programs, by academic employer departments, and by individual faculty. Overall, our results suggest that most faculty responding to the survey feel inadequately prepared in all AECC-espoused teaching characteristics. Further, most endeavors to develop skills reflecting these characteristics appear to rely on efforts of the individual, instead of from systematic efforts of doctoral programs or academic employers. That is, respondents generally indicate that training received in their doctoral programs is a relatively minor source of preparation for current teaching responsibilities, while investments in self-training have had the greatest impact on their preparation for teaching. Respondents also indicate that doctoral programs, academic employers, and individual efforts should share more equally in the responsibility to develop “teaching scholarship.”

Supervisory Factors Affecting Job Satisfaction in Public Accounting Firms

This paper reports the results of a survey of 350 junior‐level accountants working at public accounting firms in Australia. The survey obtained information on their perceptions of the extent to which the supervisory actions recommended in the Accounting Education Change Commission's (AECC)Issues Statement No. 4 were applied in their organisations. We test whether these supervisory actions have an effect on their job satisfaction. The results indicate that each of the three major elements of supervisory actions recommended by the AECC ‐ leadership and mentoring, working conditions and assignments ‐are significantly associated with overall job satisfaction.

Using linguistic performance to measure problem-solving

The Accounting Education Change Commission (AECC) and the large international accounting firms have all emphasized that accountants must be able to work with unstructured problems to be successful in today's business environment. Measures of this ability are essential if accounting educators are to assist students in improving their abilities to work with unstructured problems. However, there appears to be no measure that has been widely accepted as being the ‘best’ measure. This study considers whether two linguistic performance measures might be usable by accounting educators for this purpose. We use data obtained from a student assessment centre to consider two measures of linguistic performance, idea density and grammatical complexity. We incorporate five criteria in deciding whether these measures could be usable: (1) whether the measures are related to students' performance when solving unstructured problems; (2) whether the measures distinguish between the ability to work with unstructured compared to structured problems; (3) ease of obtaining necessary information from students; (4) ease of scoring, and (5) robustness of the findings after considering other variables that may have an effect. Our results indicate that subjects' linguistic performance as measured by idea density meets these five criteria. However, grammatical complexity is not related to performance for either type of problem. These results were found even after controlling for the effects of other variables such as grade point average (GPA), experience, and personality variables. Because the measures can be obtained from virtually any written work produced by students, the information to be scored is relatively easy to obtain. Scoring is also relatively straightforward.

Development of an Integrated Course in Accounting: A Focus on Environmental Issues

Environmental issues provide a unique, timely, and important focus for an integrated course in accounting and demonstrate how accounting information is, or can be, used to support corporate environmental strategy and assess environmental performance. This type of course offers an opportunity to add value to the educational experience of both accounting and nonaccounting majors. In this article, we describe the development and structure of one such course, discuss our experiences in offering it, and summarize the perceived benefits and difficulties associated with this endeavor. Overall, we conclude that, despite some challenges in designing and offering this type of course, the benefits are significant from both instructional and professional development points of view. Furthermore, the course attempts to achieve several of the objectives laid out a decade ago by the Accounting Education Change Commission (AECC) and more recently, by the American Institute of Certified Public Accountants (AICPA) in its forward-looking CPA Vision Project. Perhaps most importantly, this course helps to counter the tendency, by both students and faculty, toward disciplinary insularity, a concern prominently noted by Patten and Williams (1990).

Early Employment Experiences Of Accountants: Initial Placement, Job Satisfaction, And Migratory Patterns

Issues Statement No. 4 from the Accounting Education Change Commission (AECC) addresses the early employment work experiences of accountants. The AECC recommends a number of actions supervisors can employ to improve the job satisfaction of entry-level accountants. The current study examines the correlation between supervisory actions and job satisfaction of accountants employed by the Big-5 and accountants employed in non-Big-5 positions, private industry, governmental positions and not-for-profit organizations. Initial job placement and migratory patterns are also examined from a sample of 532 recent graduates from three universities.

The missing links in accounting education

The American Institute of Certified Public Accountants and the Accounting Education Change Commission have mandated the adoption of 150 semester hours for accounting students and as a prerequisite for taking the CPA examination. More than 40 states have already adopted the 150‐hour requirement. Proponents of the change have argued that accounting education has to change from a knowledge‐based education to a process‐oriented programme and develop a process of inquiry and a desire for life‐long learning in the students. They hope to effect changes to result in improved intellectual, communication, and interpersonal skills, and a better understanding of the broad picture in a business. It is argued here that although the mandate may have been well‐intentioned but knowingly or unknowingly the authors have chosen to ignore the most essential component, i.e. what does it take to teach the students for success in the accounting profession? It is argued that the missing link is primarily trained and versatile teachers, followed with the lacking prerequisites for the students and their parents. Furthermore, no consideration has been given to the additional cost involved for the students and their parents and the question of commensurate job opportunities for those involved.

Concept mapping: Potential uses in accounting education

Abstract Major changes are underway in accounting education, in part because of the encouragement of the Accounting Education Change Commission (AECC). To extend learning beyond the formal curriculum, the AECC advocates that accounting educators help students develop the ability to ‘learn how to learn.’ A learning technique called concept mapping, widely accepted in science education, is described in this paper. Concept mapping allows students to understand how they learn and how new knowledge is constructed. Students can then use this technique to ‘learn how to learn’ and carry knowledge absorption beyond their college experience.

The Role of the International Federation of Accountants in Education

This paper outlines briefly the structure and operations of the International Federation of Accountants (IFAC), with particular emphasis on the Education Committee of IFAC. The work of the Education Committee is discussed in general followed by a more detailed consideration of two major documents which have been issued in recent years. The first of these is concerned with the pre-qualification education of accountants, and is linked to such developments as the Accounting Education Change Commission in the United States. The second is the guideline on information technology in the accounting curriculum, together with its appendix and the discussion papers issued subsequent to the guideline. The paper continues with an overview of the role of IFAC in relation to developing nations, and deals briefly with its work on reciprocity.

Personality types of accounting students and faculty: Comparisons and implications

This exploratory study presents and discusses differences found in the Myers-Briggs Type Indicator (MBTI) types (personality preferences) of undergraduate and graduate accounting students, as well as accounting faculty members as they apply to two concerns. The first is the ability of today's accounting education programs to attract the types of students demanded by the profession. The second is the propensity of accounting faculty to expand traditional teaching modalities beyond those aimed at disseminating technical accounting knowledge. The results (using chi square tests) indicate significant differences in certain MBTI types among the groups, which have implications for accounting programs as they attempt to implement fundamental changes advocated by the profession and the Accounting Education Change Commission. The implications are discussed as they relate to accounting students who are predominantly extraverts, sensors, thinkers, and judgers, as well as to attracting and retaining a more diverse group of students. The implications of expected changes in teaching modalities are also discussed as they relate to accounting faculty who are predominantly introverts, sensors, thinkers, and judgers.

How Accounting Educators Can Help Improve Their Students' Writing Skills

Many authoritative and advisory bodies, including the Anderson Committee, the Treadway Commission, and the Accounting Education Change Commission, have suggested that colleges and universities re-evaluate their accounting curricula, generally stressing that programs should emphasize writing skills. Technological improvements, including advances in microcomputer technology, could also help buttress these skills. After showing why accounting programs should strengthen their students' writing skills, this study demonstrates one possible way to do so, including an illustration of how writing skills can be assessed.

Achieving AECC Outcomes Through the Seven Principles for Good Practice in Undergraduate Education

Although the Accounting Education Change Commission's (AECC) Position Statement No. 1 provides numerous educational outcomes that accounting educators are to achieve, the accounting profession has not provided guidance on how to achieve those outcomes. The American Association of Higher Education developed seven principles for good practice in undergraduate education that provide guidance to accounting educators by focusing on student motivation and active learning. This article reviews experiential and cooperative learning methods and provides examples applying each method to accounting classes. Both methods provide a variety of classroom techniques that, in combination, fulfill the seven principles and achieve the AECC out-comes.

Translating ideals into practice: an examination of international accounting bodies' calls for curriculum changes and New Zealand tertiary institutions' assessment methods

This paper reveals that the process–oriented learning approaches prescribed for accounting education by various international accounting bodies (e.g., Accounting Education Change Commission), and most recently endorsed by the New Zealand Society of Accountants in its 1994 publication, Admissions Policy, are currently underused at New Zealand tertiary institutions. While reasons for this absence may lie with accounting educators themselves, the New Zealand Society of Accountants also seems partly responsible. In particular, the Society's newly revised admissions policies are silent on the need for process–oriented learning approaches in undergraduate accounting curricula. A greater commitment by the Society to encourage the use of active learning techniques in undergraduate accounting programmes, perhaps by expanding its accreditation review procedures to include the process by which learning occurs, is needed.

Educational Idealism: One More Reason to Stress the Perpetual Inventory System in Classroom Instruction

Technological changes have enabled many companies to shift their inventory systems from the periodic to the perpetual approach. The promulgation of new rules and regulations by the Financial Accounting Standards Board, and the Securities and Exchange Commission, and the Accounting Education Change Commission's exhortation to educators to stress communication and critical thinking skills, have resulted in a crowded curriculum in which educators are forced to make tough choices regarding what to emphasize in their courses. In this article, we urge academicians to shift the emphasis from the periodic to the perpetual system. We cite arguments by education theorists and emerging business trends as justification and show that such a shift would promote educational idealism as defined by the Accounting Education Change Commission and education theorists.

Outcomes Assessment of Computer-Assisted Behavioral Objectives for Accounting Graduates

This article presents behavioral objectives, based on those identified by the Accounting Education Change Commission (AECC) and the American Accounting Association (AAA), for accounting graduates. These objectives may be taught with or augmented by the use of computers in an undergraduate accounting curriculum. An outcomes assessment plan for these behavioral objectives is presented, that is based on a mission statement regarding student computer competencies. A series of assessment tasks to support each objective is included, as well as the type of software required. A discussion of design considerations for assessment tasks completes the article.

Improving Students' Understanding of the Importance of Economic Consequences in Standard Setting: A Computerized Spreadsheet Tool

Abstract In developing and implementing new accounting standards, consideration of potential economic consequences is often an important factor. In several instances, political pressure brought to bear on the Financial Accounting Standards Board (FASB) has caused it to alter a proposed or enacted standard. Accordingly, both the academic and professional communities have challenged accounting educators to go beyond simply teaching the mechanics of accounting topics. In particular, the Accounting Education Change Commission (AECC) has encouraged a perspective focusing on the user of accounting information. This article presents a tool for financial accounting educators to demonstrate the economic consequences of adoption of accounting standards.

THE ACCOUNTING EDUCATION CHANGE COMMISSION: A CRITICAL PERSPECTIVE

Abstract Since its formation in 1989, the Accounting Education Change Commission (AECC) has operated as a self-styled “catalyst” for change in the content, structure and scope of accounting education. In this article, the formation, composition and activities of the AECC are examined within a historical context and from a critical perspective. Questions are raised concerning the lack of independence of the Commission and the likelihood that the AECC has been “captured” by the accounting firms which have financed its operation. Further questions are raised as to whether the interests of all stakeholders have been adequately represented in the Commission's initiatives.