Integrating Financial Literacy Concepts into the Introductory Financial Accounting Course
DOI:
https://doi.org/10.18533/ijbsr.v4i5.426Keywords:
Accounting Education, Personal Finance, Introductory Accounting CourseAbstract
Financial illiteracy is a growing problem in this country and college students are amongst those not knowing enough about personal finance. However, few colleges and universities require or offer a course in personal finance, but we believe accounting educators are uniquely qualified to improve their students’ financial literacy. This paper describes an effective and efficient way to introduce some basic personal finance concepts to freshman business students in a Financial Accounting course while minimizing class time. In addition, the assignments require an active writing learning approach which addresses the numerous calls for incorporation of writing assignments into the business school curriculum. The assignments improved students’ interest in personal finance, made connections to the Financial Accounting course creating a more interesting and relevant course, and provides a rewarding teaching experience for instructors.
References
AACSB. 2013. Eligibility Procedures and Accreditation Standards for Business Accreditation – Innovation – Impact - Engagement. Adopted April 8, 2013. Tampa, Florida: AACSB International – The Association to Advance Collegiate Schools of Business.
Barton, T. L., MacArthur, J.B., and Moore, R.L. (2005). BuyGasCo Corporation: The use of alternative costing methods in a predatory pricing lawsuit. Issues in Accounting Education 20, (4): 341-357.
Bianco, C.A. and Bosco, S.M. (2011). Financial Literacy: What Are Business Schools Teaching? The Journal of Global Business Management. Vol. 7, Num. 1, April, 2011.
Bianco, C.A. and Cosco, S.M., (2012). Financial (IL) literacy of College Students. The Journal of American Academy of Business, Cambridge, Vol. 18, Num. 1, September 2012.
Catanach, A.H. and Rhoades, S. (1997). A practical guide to collaborative writing assignments in financial accounting courses. Issues in Accounting Education 12, (2): 521-536.
Chen, H., and Volpe, R. (1998). An analysis of personal financial literacy among college students, Financial Services Review, Vol. 7, Num. 2, 107-128.
Cude, B., Lyons, A. C., and Lawrence, F. C. (2007). Get¬ting financially fit: A financial education tool kit for college campuses. Consumer Interests Annual, 53, 190-192.
Financial Literacy and Education Commission. (2011). Promoting financial success in the United States: National strategy for financial literacy 2011. Retrieved from http://www.treasurv.gov/resourcecenter/financialeducation/Documents/NationalStrategy Book_12310%20t2).pdf
Firch, T., Campbell, A., Filling, S., and Lindsay, D.H. (2011). An accounting writing proficiency survey. American Journal of Business Education Vol. 4, Num. 4, 15-23.
Harris/Scholastic Research (HSR) (1993). Liberty Financial Young Investor Survey, New York, NY.
Jump$tart Coalition for Personal Financial Literacy (2008). 2008 Survey of Financial Literacy among College Students. Retrieved from http://www.jump¬start.org/fileindex.cfm.
Lusardi, A. (2008). Household saving behavior: The role of financial literacy, information, and financial education programs. NBER Working Paper No. 13824. Retrieved from http://www.nber.org/papers/wl 3 824
Mandell, L. (2002). Financial literacy: A growing prob¬lem. Washington, D.C.: Jump$tart Coalition for Personal Financial Literacy.
Mason, J. (2000). Educating consumers. Advisor Today, (February), Vol. 25 Num. 2, 125.
The National Foundation for Credit Counseling. (2010). The 2010 Consumer Financial Literacy Survey Final Report. Silver Spring: The National Foundation for Credit Counseling; Harris Interactive Inc.
Orman, S. (2005). The Money Book for the Young Fabulous & Broke. Penguin Group.
Reynolds, C.G. (2006). Fighting for financial literacy. Journal of Accountancy, New York, November 2006, Volume 202, Issue 5, 37.
Schofield, B.W., and Combes, L. (1993). Designing and managing meaningful writing assignments. Issues in Accounting Education 8: 71-85.
Stocks, K.D. Stoddard, T.D., and Waters, M.L. (1992). Writing in the accounting curriculum: Guidelines for professors. Issues in Accounting Education 7: 193-204.
Suskie, L. (2004). Assessing Student Learning. Anker Publishing, Boston, MA.
Yates, D. and Ward, C. (2011). Financial Literacy: Examining the knowledge transfer of personal finance from high school to college to adulthood. American Journal of Business Education, 4(1), 65-78.
Downloads
Published
Issue
Section
License
Authors who publish with this journal agree to the following terms:
- Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution License that allows others to share the work with an acknowledgement of the work's authorship and initial publication in this journal.
- Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgement of its initial publication in this journal.
- Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work (See The Effect of Open Access).
