As we all work our way out of our tryptophan comas, time to think about accounting and finance again. I had a conversation with a colleague recently which would up discussing at length how we approach teaching accounting. For decades, at least, the dominant approach, permeating accounting textbooks, has been to focus on the mechanics of accounting: general ledger, closing entries, etc. Management and Cost Accounting often do much the same, focusing on the mechanics of our tools, allocating in Activity-Based Costing, calculating reciprocal cost flows, etc.
My colleague's contention was that a better way was to focus on a more conceptual understanding of accounting. Of course, there are tradeoffs to be made with either approach. What intrigues me is considering that idea in the context of Robert Kaplan's "Cost and Effect" which I have been reading, and his focus on managerial decision making.
JP ... Thank you for message above. Can you please clarify? What do you mean with "a more conceptual understanding of accounting"? How is this different from "the mechanics of accounting" that you wrote above? ... Gary ... Gary Cokins