Fall 2023

In accounting, there are just some things that can truly only be learned “on the job.” One purpose of accounting education is to make the learning curve for these situations more manageable.

In my dissertation research, I cited a 2016 study by Adkins, et al, that reviewed the curricula of the country’s best 30 programs in 2014 as determined by the Accounting Degree Review. I also cited another study, by Moore and Griffin (2017), that compared these top programs of 2014 to the 30 best programs of 2004 and noted that not much had changed. The data from Adkins indicated that accounting curricula are commonly broken up into introductory and intermediate accounting courses in financial and managerial accounting that advance students into more specialized coursework. Moore and Griffin did not disagree with this observed trend, but their work pointed out that accounting information systems and specific higher-level accounting courses (corporate tax, advanced financial accounting, forensic accounting, etc.) have not been a major focus of recent top accounting programs.

If the lack of substantive curriculum changes from 2004 to 2014 follows suit from 2014 to 2024, then it is likely the curriculum framework cited above will hold true. In my experience, that has indeed been the case. The framework is popular because it introduces students to a variety of accounting areas, since students rarely know where in the field they will land and could work in multiple areas throughout their career. I think we can still use that viewpoint to help us identify the ideal accounting curriculum. 

If we maintain that the ideal accounting curriculum should prepare accounting majors for the CPA Exam, then we must ensure it meets the requirements of the 2024 CPA Exam Evolution. The new exam will have sections for (financial) accounting, audit, and tax, with the impact of technology being recognized throughout. The exam requires candidates to complete a fourth section of their choosing; either tax compliance and planning, business analytics and reporting, or information systems and controls. 

For the accounting section, financial accounting should be able to be covered in three or four courses: financial accounting (lower level), intermediate accounting I (upper level), and intermediate accounting II (upper level). For the taxation section, it should be covered in two courses: individual income taxation (lower level) and corporate taxation (upper level). For audit, because of its connection to financial accounting, only one upper-level course is required. It may be sufficient to address technology by embedding it within all of the courses, but that said, not all schools have made such a commitment. This topic is important enough that it should be specifically focused on in an accounting information systems course. 

At some point, students will need to prepare for the fourth section of the exam or declare that they do not wish to pursue the CPA Exam. The trick is to have options that both relate to the exam or another career path. For example, many business programs already require analytics, which is an option for the fourth section of the exam. Even if not already required, analytics could still be included in two courses on managerial accounting: cost accounting and analytics (lower level) and advanced managerial accounting and analytics (upper level). The inclusion of these problem-solving courses in the core would help prepare students for the CPA Exam while also giving them the option to pursue the certified management accountant designation if the CPA is not for them.

How institutions handle their core educational requirements, as well as the “accounting core,” will dictate how much room is left for minors or concentrations. As students near graduation, there should certainly still be room to at least specialize within the accounting major. This is where the choices for the fourth section of the CPA Exam become relevant.

For business analytics and reporting, for example, an advanced (financial) accounting course would be appropriate. For tax compliance and planning, an advanced taxation course could be offered, as many topics in this area are overlooked in standard curricula. For information systems and controls, an advanced accounting information systems and analytics course would be recommended. The business department could target a course from the information technology department if it cannot offer one.

Even if some students don’t plan on taking the CPA Exam, offering specialization elsewhere will keep them in the accounting family. A forensic accounting course, for example, would direct students toward the certified forensic examiner credential. Students should be encouraged to experiment in their education, just as many accountants experiment in the field.

Conceptual learning found in the classroom is necessary to introduce and reinforce students to business and accounting concepts, but it will ultimately leave students unprepared for the workforce if opportunities for experiential learning are not prevalent. Internships, practicums, and the Volunteer Income Tax Assistance (VITA) program are great examples of such opportunities.

We need to reshape our efforts now. Otherwise, a steady, if not expanding, gap between what accounting graduates can do and what their employers expect will continue. 

Michael Shipman, CPA, EdD, is a tax supervisor for McClintock & Associates PC in Bridgeville and has been an assistant professor of accounting. He can be reached at mikeshipman24@gmail.com.

In accounting, there are just some things that can truly only be learned “on the job.” One purpose of accounting education is to make the learning curve for these situations more manageable.

In my dissertation research, I cited a 2016 study by Adkins, et al, that reviewed the curricula of the country’s best 30 programs in 2014 as determined by the Accounting Degree Review. I also cited another study, by Moore and Griffin (2017), that compared these top programs of 2014 to the 30 best programs of 2004 and noted that not much had changed. The data from Adkins indicated that accounting curricula are commonly broken up into introductory and intermediate accounting courses in financial and managerial accounting that advance students into more specialized coursework. Moore and Griffin did not disagree with this observed trend, but their work pointed out that accounting information systems and specific higher-level accounting courses (corporate tax, advanced financial accounting, forensic accounting, etc.) have not been a major focus of recent top accounting programs.

If the lack of substantive curriculum changes from 2004 to 2014 follows suit from 2014 to 2024, then it is likely the curriculum framework cited above will hold true. In my experience, that has indeed been the case. The framework is popular because it introduces students to a variety of accounting areas, since students rarely know where in the field they will land and could work in multiple areas throughout their career. I think we can still use that viewpoint to help us identify the ideal accounting curriculum. 

If we maintain that the ideal accounting curriculum should prepare accounting majors for the CPA Exam, then we must ensure it meets the requirements of the 2024 CPA Exam Evolution. The new exam will have sections for (financial) accounting, audit, and tax, with the impact of technology being recognized throughout. The exam requires candidates to complete a fourth section of their choosing; either tax compliance and planning, business analytics and reporting, or information systems and controls. 

For the accounting section, financial accounting should be able to be covered in three or four courses: financial accounting (lower level), intermediate accounting I (upper level), and intermediate accounting II (upper level). For the taxation section, it should be covered in two courses: individual income taxation (lower level) and corporate taxation (upper level). For audit, because of its connection to financial accounting, only one upper-level course is required. It may be sufficient to address technology by embedding it within all of the courses, but that said, not all schools have made such a commitment. This topic is important enough that it should be specifically focused on in an accounting information systems course. 

At some point, students will need to prepare for the fourth section of the exam or declare that they do not wish to pursue the CPA Exam. The trick is to have options that both relate to the exam or another career path. For example, many business programs already require analytics, which is an option for the fourth section of the exam. Even if not already required, analytics could still be included in two courses on managerial accounting: cost accounting and analytics (lower level) and advanced managerial accounting and analytics (upper level). The inclusion of these problem-solving courses in the core would help prepare students for the CPA Exam while also giving them the option to pursue the certified management accountant designation if the CPA is not for them.

How institutions handle their core educational requirements, as well as the “accounting core,” will dictate how much room is left for minors or concentrations. As students near graduation, there should certainly still be room to at least specialize within the accounting major. This is where the choices for the fourth section of the CPA Exam become relevant.

For business analytics and reporting, for example, an advanced (financial) accounting course would be appropriate. For tax compliance and planning, an advanced taxation course could be offered, as many topics in this area are overlooked in standard curricula. For information systems and controls, an advanced accounting information systems and analytics course would be recommended. The business department could target a course from the information technology department if it cannot offer one.

Even if some students don’t plan on taking the CPA Exam, offering specialization elsewhere will keep them in the accounting family. A forensic accounting course, for example, would direct students toward the certified forensic examiner credential. Students should be encouraged to experiment in their education, just as many accountants experiment in the field.

Conceptual learning found in the classroom is necessary to introduce and reinforce students to business and accounting concepts, but it will ultimately leave students unprepared for the workforce if opportunities for experiential learning are not prevalent. Internships, practicums, and the Volunteer Income Tax Assistance (VITA) program are great examples of such opportunities.

We need to reshape our efforts now. Otherwise, a steady, if not expanding, gap between what accounting graduates can do and what their employers expect will continue. 

Michael Shipman, CPA, EdD, is a tax supervisor for McClintock & Associates PC in Bridgeville and has been an assistant professor of accounting. He can be reached at mikeshipman24@gmail.com.