Decision Sciences Journal 32(1) Index


Decision Sciences Journal
Volume 32, Number 1
Winter 2001

An Investigation of Localization as an Element of Cognitive Fit in Accounting Model Representations

Cheryl Dunn
Department of Accounting, Florida State University, Tallahassee, FL 32306-1110, email: cheryl.dunn@fsu.edu

Severin Grabski
Department of Accounting and Information Systems, Michigan State University, East Lansing, MI 48824-1121, email: grabski@msu.edu

ABSTRACT. Cognitive fit, a correspondence between task and data representation format, has been demonstrated to lead to superior task performance by individual users and has been posited as an explanation for performance differences among users of various problem representations such as tables, graphs, maps, and schematic faces. The current study extends cognitive fit to accounting models and integrates cognitive fit theory with the concept of localization to provide additional evidence for how cognitive fit works. Two accounting model representations are compared in this study, the traditional DCA (Debit-Credit-Account) accounting model and the REA (Resources-Events-Agents) accounting model. Results indicate that the localization of relevant objects or linkages is important in establishing cognitive fit.

Subject areas: Accounting Information Systems, Cognitive Fit, DCA Accounting, Localization, and REA Accounting.

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