Reinventing the Introductory Accounting Course Candy Bianco Cristi Lindblom Mary Marcel Karen Osterheld Bentley University Waltham, MA

Preview Revision of General Business Core Integrating Accounting and Finance Unique aspects of the Course Sequence Academic Support Survey Results Discussion

Basic Course Overhaul General business core courses reviewed Accountancy and finance chairs decided – to combine their introductory courses – add Introduction to Business

Basic Course Overhaul Two three-credit courses combining – Introduction to business – Financial accounting – Finance – Managerial accounting

Basic Course Overhaul Funding Bentley won a $400,000 5-year grant from Ernst & Young Foundation to support research and teaching activities

Basic Course Overhaul Faculty team formed including: Accounting Finance

Basic Course Overhaul Info design & corporate communication for oral written visual components of the course

Integrating AC and FI AC and FI typically taught by separate dept.s But AC and FI not separate in the business world

Integrating AC and FI Topics explicitly shared Cash flows Financial statement analysis Time value of money Working capital Debt and equity Decision making and budgets

Integrating AC and FI Topics implicitly shared Financial statements The accounting cycle Interest rates Risk and return Cost behavior Overhead allocation Cost-volume-profit analysis

Unique Aspects of the Course Enron Movie during First Week Custom Text Instructional Narrative Financial calculator Custom Slides and Teaching Notes Course-wide Consistency

Enron Movie Shown to all freshmen before school starts Reading sent out ahead of time Movie is stopped at specific points to ask them questions Homework assignment

Custom Text Includes chapters from Business Essentials – 10th ed. by R. Ebert and R. Griffin Financial Management: Principles and Applications – 12 th ed. by Titman, Keown and Martin Financial Accounting – 10 th ed. by Harrison, Jr., Horngren and Thomas Managerial Accounting – 4th ed. by Braun and Tietz. Auditing and Accounting Cases: Investigating Issues of Fraud and Professional Ethics – 4th ed. by Thibodeau and Freier

Instructional Narrative Two volumes Twenty-one chapters Technical material in a conversational tone

Instructional Narrative Life cycle of a business Financing Preparation of Financial Statements Budgets and Variances Internal Controls SOX Corporate Social Responsibility

Financial Calculator Replaces tables for time value of money Introduced as a tool Used in class and on exams

Custom Slides and Teaching Notes Provides support for – finance faculty teaching accounting – accounting faculty teaching finance – Consistent learning objectives Blackboard site for faculty

Course-Wide Consistency Common syllabus homework assignments online quizzes final exam

Unique Aspects of the Course Outside speakers Online library tutorials Team skills instruction Quiz on first course Trading room sessions

Outside Speakers Evening Program EY senior managers and partners in class – Role of the auditor – Earnings management and Fraud Presentations to young EY Professionals

Online Library Tutorial Replaces a physical visit Reference librarian designed – Slides – Voiceovers – questions for students to answer If not completed successfully, student must attend a live session in library

Team Skills Instruction Developed by management faculty Designed around course project in first course Team contracts Meeeting worksheets Peer evaluations

Quiz on First Course Objectives Identify students at risk Reinforce carryover from prior course Encourage students to review basics

Quiz on First Course 25 multiple choice questions Covering topics from the first course Must score 70% Two attempts permitted Must meet with professor if unsuceessful

Trading Room Sessions Requiring the use of – software – databases Sessions specific to the assignments Students required to attend in first course

Academic Support Academic Services Review Sessions ACELAB/Eco-Fi Lab Graduate Assistant Office Hours

Survey Results: Majors Majors % of total UGs Fall 2009 Fall 2012 Spring 2013 Spring 2014 AC + AIS9.1%11.9%11%11.1% FI8.3%10.5%11.2%12.7% CFA8.0%8.4%9.5%8.7%

Survey Results: AC & FI Integration How connected? End of sequence survey Fall 2010 Spring 2011 Spring 2012 Spring 2013 Same0%2%1%2% Very connected72%69%62%59% Slightly connected21%24%30%32% Slightly disconnected4%3%6%5% Very separate3%2%

Survey Results: AC Majors How connected? End of sequence survey Fall 2010 Spring 2011 Spring 2012 Spring 2013 Same0%.55%.8% Very connected78.3%72%66.1%64% Slightly connected16%25.1%25.4%32% Slightly disconnected5.8%1.6%6.1%1.7% Very separate0%1.9%1.5%1.7%

Survey Results: CFA How connected? End of sequence survey Fall 2010 Spring 2011 Spring 2012 Spring 2013 Same1.15%2.8%0%2.2% Very connected84%86%78%68.1% Slightly connected11.5%9.0%18.8%26.4% Slightly disconnected1.15%.6%2%1.1% Very separate2.3%1.1%1%2.2%

Conclusion AC and FI typically taught As stand-alone topics In separate departments By faculty with AC or FI degrees

Conclusion We’re fortunate to be able to challenge the norm Energized faculty Better prepared students