Chapter 2.pptx

Chapter 2

Behavioral Science Concepts & Perspectives “Behavioral science encompasses any field of inquiries that studies, by experimental and observational methods, the behavior of man in the physical and social environment.” The objective is to understand, explain and predict human behavior to establish generalizations about human behavior that are supported by empirical evidence…”

Scope and Objectives of Behavioral Accounting • Accounting focuses on measuring firm performance. • Firm performance is affected by human behavior. • Future behavior is affected by past behavior. • Behavioral accounting studies the relationship between human behavior and accounting.

Behavioral Accounting • Behavioral accounting is a subset of both behavioral science and accounting. • Behavioral accounting is applied and practical.

Role Theory • Role is a part that people play in their interaction with others. • Social role • Identity • Failure to play the role is not tolerated.

Culture • • • • • •

Culture is a way of life of a society. Work environment Organizational climate Business culture Idealistic vs. Materialistic Framework Interactionist framework

Chapter 3

Attitudes • Attitudes are learned tendency to react in a consistently favorable or unfavorable manner toward people. • Attitudes predict behavior • Components: – Cognitive, – Emotional, – Behavioral.

Functions of Attitudes – Understanding – Need satisfaction – Ego defense – Value expression

Attitude Change Theories • • • •

Stimulus-response and reinforcement theories Social judgment theory Consistency and dissonance theory Self-perception theory

Motivation • Need theories – Maslow Hierarchy of Needs

• Expectancy theory

Perception • Perception is how people see or interpret events, objects, and people.