Let's combine the accounting and finance majors.

• Author: Bloom, Robert
• Position: VIEWPOINT

In a general sense, majoring in any single discipline in college today -whether accounting, communications, economics or other areas - is ill-advised. Given the complexity of the world and the importance of learning, pursuing one subject area creates a sense of "tunnel vision" as opposed to a broad-based outlook.

Students are well advised to expand their career horizons in deciding what to study and even pursue tailor-made programs for themselves in the process.

A departure from traditional business school curricula, a combined major of accounting and finance would attract students to be well-positioned for a blended career in these disciplines, such as controllership and corporate finance. The new curriculum would stress the accountant's role as business adviser rather than information conveyor, as well as the application of accounting to finance.

Students would undertake courses in financial statement analysis, investments and case study courses, as well as intermediate and advanced accounting, auditing and taxation. Emphasis would be on applications, such as: What should be the firm's dividend policy? What should be its capital structure? Should the firm pursue a capital acquisition project (if so, how to finance it), and which derivatives should the firm acquire to manage risk?

Additionally, there would be interdisciplinary courses, preferably team-taught by faculty with both backgrounds, e.g., on valuation of the firm, accenting financial decision-making. The case method, which is used far more extensively in finance than accounting instruction, would be a principal instructional tool, emphasizing specific situations to encourage students to think critically about the applications of accounting to finance.

Professional ethics would be emphasized, not just in accounting courses, as is typically the case, but also in finance courses, where it tends to receive limited attention. In this manner, the learning process should be far more comprehensive than traditional study in each of the two subject areas. Students would still pursue internships, which could then be more diverse in nature, given their expanded knowledge and skillsets.

The combined major would prepare students for a long-term career within financial management, rather than just their first position. This course of study should enhance the ability of the students to pursue alternative assignments in accounting and finance.

There are two authoritative documents on improving accounting education and specific objectives for this dual major, along with the courses students would take in this program. There are also drawbacks of this proposal, which are discussed.

PREVIOUS IDEAS

There are many ideas regarding integrating business education from two authoritative accounting education reports: Accounting Education: Charting the Course through a Perilous Future, by W. Steve Albrecht from Brigham Young University and Robert J. Sack of...