Cost Flow Diagrams as an Alternative Method of External Problem Representation

• In Event: Innovative Teaching Techniques

Abstract

This paper introduces and provides statistical evidence regarding a new visually-based diagrammatic approach that utilizes cost flow diagrams as an alternative method of external problem representation. The paper includes diagrammatic solutions to three different traditional cost accounting problems. We hypothesize that the use of diagrams aids students in developing an innate understanding of inventory and cost flows across multiple cost accounting topics. Our approach is consistent with previous findings in the cognitive science literature that the use of diagrams allows students to process relationships and complex data in chunks, thereby processing more effectively. To study the effectiveness of a diagrammatic approach in teaching cost accounting, historical student final exam assessment data, segmented by course learning objectives, was collected and analyzed. The paper presents statistical and graphical evidence that indicates a significant improvement in student performance when this diagrammatic approach is utilized.

Authors

• Katherine J Silvester, Siena College

• John C. O'Neill, Siena College