ACCOUNTING RESEARCH METHODS
MODULE 1 : INTRODUCTION TO BUSINESS RESEARCH -
FUNDAMENTALS OF RESEARCH
Business research is a systematic inquiry that provides
information to guide managerial decisions. It is also a
process of planning, acquiring, analyzing, and
disseminating relevant data, information and insights to
decision makers in ways that mobilize the organization
to take appropriate action which in turn maximize
performance (Cooper & Schindler, 2014).
Furthermore, business research is the systematic and
objective identification, collection, analysis,
dissemination, and use of information for the purpose
of improving decision making related to the
identification and solution of problems and
opportunities in business and management.
PURPOSE OF BUSINESS RESEARCH
-is conducted purposely to investigate some existing
problems or new opportunities as well as to find
solutions to problems and to exploit opportunities that
would help decision makers come up with smart
decisions.
B. FACTORS THAT STIMULATE THE STUDY OF
RESEARCH
1. Information overload
2. Technological connectivity
3. Shifting global centers of economic activity and
competition.
4. Increasingly critical scrutiny of big business
5. More government intervention
6. Battle for analytical talent
7. Greater computer power and speed
Lower-cost data collection
Better visualization tools
Powerful computations
More integration of data
Real time access to knowledge
8. New perspective on established research
methodologies
THE RESEARCH PROCESS
The research process involves similar activities
regardless of area of research or research methodology.
The process expresses scientific method using the steps
as follows:
- statement of the problem
- hypothesis
- review of relevant literature and studies
- measurements
- sample selection
- data analysis (collecting data, analyzing the data and
reporting results)
Business research process involves the stages as
follows:
1. Clarifying the research question
2. Proposing research
3. Designing the research project
4. Data collection and preparation
5. Data analysis and interpretation
6. Reporting the results
WHAT IS GOOD RESEARCH?
1. Purpose clearly defined
2. Research process detailed
3. Research design thoroughly planned
4. High ethical standards apply
5. Limitations frankly revealed
6. Adequate analysis for decision makers’ needs
7. Findings presented unambiguously
8. Conclusions justified
9. Researchers experience reflected
ETHICS IN BUSINESS RESEARCH
Ethics are norms or standards of behavior that guide
moral choices about our behavior and our relationship
with others. Hence, the goal of ethics in research is to
ensure that no one is harmed or suffers adverse
consequences from research activities. Unethical
activities are pervasive such as follows:
1. Violating non-disclosure agreement
2. Breaking participant confidentiality
3. Misrepresenting results
4. Deceiving people
5. Using invoicing irregularities
6. Avoiding legal liability
ETHICAL TREATMENT OF PARTICIPANTS
1. Explain study benefits
2. Explain participants rights and protection
3. Obtain informed consent
ETHICS AND THE SPONSOR
1. Confidentiality
Sponsor non-disclosure.
2. Sponsor-Researcher Relationship- both of them
should fulfill their respective obligations
Source of Manager-Researcher Conflict
a. Knowledge gap between the researcher and
the manager
-CAISY ANNE
 ACCOUNTING RESEARCH METHODS
b. Job status and internal political coalitions to
preserve status
c. Unneeded or inappropriate research
d. The right to quality research
Sponsor’s Ethics
Unethical behavior that must be avoided:
1. Violating participants confidentiality
2. Changing data or creating false data to meet a desired
objective
3. Changing data presentation or interpretation
4. Interpreting data from a biased perspective
5. Omitting sections of data analysis and conclusions
6. Making recommendations beyond the data collected
ETHICS AND RESEARCHERS AND TEAM MEMBERS
1. Right to safety
2. Protection of anonymity of the participants and
confidentiality of the sponsor’s information
H. CLASSIFICATION OF RESEARCH
We can classify the research according to:
1.The Purpose of Research
2.The technique Based Classification
PURPOSE OF THE RESEARCH
We can classify the research into three basic categories
according to the purpose of the research:
Descriptive research
Descriptive research presents a detailed picture of the
problem or situation. Descriptive research is in more
detail as compared to exploratory research.
a. Finds answer to the questions who, what, when
where and how
b. Describes a situation or a given state of affair in terms
of specified aspects or factors.
c. What may be described are characteristics of
individuals or groups (students, administrators,
entrepreneurs, patients, customers) or condition
(marketing practices/strategies, sales, profit,
productivity)
Explanatory/Correlation research
Explanatory research is an attempt to connect different
ideas and to understand the different reasons, causes,
and effects.
a. Goes beyond description of the problem or situation.
b. It attempts to explain the possible factors related to
the problem which have been observed in the
descriptive study
c. Answers the questions why and how.
d. The factors related to the problem are not viewed as
real “causes” of the problem but factors which are
associated with or may contribute to the occurrence of
the problem
e. Also called “assumed to correlation research in which
the research investigates relationship between factors
or variables.
f. Certain factors are “assumed” to explain or
contribute to the existence of a problem or a certain
condition or the variation in a given situation
g. The researcher usually uses a theory or hypothesis to
account for or explain the forces that are “assumed to
have caused” the problem.
Experimental/Intervention Research
a. Evaluates the effects or outcome of a particular
intervention/treatment.
b. It studies the cause and effect relationship between
certain factors on a certain phenomenon under
controlled conditions.
c. The respondents of the study are randomly assigned
to the experimental group and to the control group and
both groups are exposed to similar conditions except for
the intervention.
Exploratory research
In exploratory research, a small amount of information
is available about the topic but if you want to explore it
in detail for a better understanding of the problem and
its solution.
Techniques Based Classification
We can classify the research into two basic categories
according to the techniques of the research.
QUALITATIVE RESEARCH
Qualitative research does not handle the measurable
variable. This research is mainly done to find
relationships and to define things in a qualitative way.
QUANTITATIVE RESEARCH
In quantitative research data is represented in the
quantitative from in the form of numbers. Statistical
analysis is conducted in quantitative research.
MODULE 2 OVERVIEW: SELECTING AND DEFINING A
RESEARCH TOPIC
CHARACTERISTICS OF A GOOD RESEARCH PROBLEM
1.Research problem must be relevant.
2.Research problem must be feasible.
3.Research problem must be clear.
4.Research problem must be ethical.
-CAISY ANNE
 ACCOUNTING RESEARCH METHODS
THE PROBLEM STATEMENT/ OBJECTIVES AND
HYPOTHESIS OF THE STUDY
THE PROBLEM STATEMENT/ OBJECTIVES
-State what the study aims to do and find out.
-Stated in behavioral terms, it specifies the what, why,
and who of the study.
-The variables of the study are specified in measurable
terms.
Statement of the Problem should have the introductory
problem/general problem and sub-problems/specific
problems.
Introductory/General Problem - Reflects the main
problem of the study
Sub-Problems/Specific Problems - be stated in such a
way that it’s not answerable by either yes, no, when, &
where.
-include all the independent & moderate variables
which are reflected in the conceptual framework.
-be arranged in logical order and extensive in coverage
and must be mutually exclusive in its dimensions.
THINGS TO REMEMBER WHEN DEFINING A RESEARCH
PROBLEM
1.Review relevant literature and previous studies on the
problem.
2.Examine current available data/statistics.
3.Seek educated opinions from persons concerned with
the problem.
4.Determine the problem reasons for the existence of
the problem from social, economic or other theories
that may explain the existence of the problem and the
possible connection between the problem and other
factors.
A careful review of existing information or studies on a
problem can also help the investigator determine:
-What answers or solutions have been found/tried in
the past to solve the problem and how successfully they
were, and
-What questions still remain unanswered and what
aspects of the problem need to be studied further.
HYPOTHESIS OF THE STUDY
-The statement created by researchers when they
speculate upon the outcome of a research or
experiment.
-Statements of tentative answers to the research
objectives/questions
-Although the hypotheses are often stated in the null
form, the alternative hypotheses or the research
hypotheses are generally preferred
-They must be coherent with the research questions/ or
the study objectives
-A hypothesis must be testable, taking into account
current knowledge and techniques, and be realistic.
-A hypothesis must be verifiable by statistical and
analytical means, to allow a verification or falsification.
Types of Hypothesis
1.NULL HYPOTHESIS VS. ALTERNATIVE HYPOTHESIS
2. DIRECTIONAL VS. NON- DIRECTIONAL
NULL HYPOTHESIS VS. ALTERNATIVE HYPOTHESIS
Null Hypothesis
-The null hypothesis (H0) is a hypothesis which the
researcher tries to disprove, reject or nullify.
-The 'null' often refers to the common view of
something, while the alternative hypothesis is what the
researcher really thinks is the cause of a phenomenon.
-The simplistic definition of the null is as the opposite of
the alternative hypothesis, H1
-Negative statement which indicates the absence of a
relationship/correlation between two variables or
absence of a significant difference between the
proportions of two groups of people or objects
possessing a particular characteristics
EXAMPLES
-There is no significant relationship between mass
media exposure and attitude towards smoking among
the customers of KTV bars in Iloilo City.
-There is no significant relationship between customer
service and customer satisfaction among food
establishments in Iloilo City.
Alternative Hypothesis
Positive form of the null hypothesis
it may state the presence of a significant relationship
between the independent and dependent variables or
the presence of a significant difference between two
means.
EXAMPLES
-There is a significant relationship between mass media
exposure to the attitude towards smoking among the
KTV customers in Iloilo City.
-The amount paid in advertisement by food
establishments is significantly associated with their
monthly gross sales.
-CAISY ANNE
 ACCOUNTING RESEARCH METHODS
DIRECTIONAL VS. NON- DIRECTIONAL
Directional Hypothesis
States whether the relationship between two variables
is direct or inverse or positive or negative
Positive/direct relationship is present when the value of
one variable increases with the increase in the value of
another
Negative/inverse relationship when the value of one
variable increases as the value of another decreases
EXAMPLES
-The higher the level of exposure of KTV customers to
mass media the less favorable their attitude towards
smoking. (NEGATIVE)
-The higher the advertisement expenses of food
establishments, the higher their monthly gross sales.
(POSITIVE)
Non-Directional Hypothesis
-Does not specify the direction of relationship between
variables
-it merely states the presence or absence of a
relationship between two variables or that one variable
influence another, or there is a significant difference in
the mean values of the two variables.
EXAMPLES
-The KTV customers exposure to mass media is
significantly associated with their behavior towards
smoking.
-The advertisement expenses of the food
establishments is significantly associated with their
gross sales.
MODULE 3 OVERVIEW: RESEARCH FRAMEWORK
THEORETICAL FRAMEWORK
a. Presented to explain the theoretical basis of the
problem
b. A theory that explains the existence of the problem
and an elaboration on how the problem (dependent
variable) may be influenced by the independent
variables is presented.
c. consist of theories, principles, generalizations &
research findings which are closely related to the
present study under investigation.
d. where the recent research problem understudy
evolved.
e. Authors be cited.
FUNCTIONS OF THEORETICAL FRAMEWORK IN
RESEARCH
-It provides the general framework which can guide data
analysis.
-It identifies the variables to be measured.
-It explains why one variable can possibly affect another
or why the independent variable can possibly influence
the dependent variable.
-It limits the scope of data relevant to the framework by
focusing on specific variables.
-It stipulates the specific frame of mind or viewpoint
that the researcher will take in analyzing and
interpreting the data.
CONCEPTUAL FRAMEWORK
a. Explains in operational terms the assumed
relationship between/among the major variables of the
study.
b. The dependent, independent, intervening (if any)
and sometimes the antecedent variables (if any) are
identified and the possible links between/among them
are explained
c. The explanation is based on the theoretical
framework
d. The schematic diagram which shows the variables
included in the study and the expected flow of
relationship among them is presented
e. Arrows or lines should be properly placed &
connected between boxes to show the relationship
between the independent and dependent variables.
f. All the independent & dependent variables should be
clearly discussed & explained how these would
influence the results of the study.
g. It is summarized in a paradigm identifying the
hypothesized link between the independent &
dependent variables, independent & intervening
variables (if any) & intervening variables & dependent
ones.
MODULE 4 OVERVIEW: THE VARIABLES OF THE
RESEARCH STUDY AND DEFINITION OF TERMS
THE VARIABLE OF THE STUDY
-A concept that stands for a variation within a class of
objects or person
-A characteristic or property that can take different
values or attributes.
-The basic elements which are measured in a study
which observable and measurable.
EXAMPLES
Age, sex, civil status, income location of business,
product, price, promotion, service quality, customer
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 ACCOUNTING RESEARCH METHODS
relationship management, corporate social,
responsibility, investments, financial management,
degree of effectiveness, extent of implementation,
business performance, sales, profit, cost
Types of Variables
1. Dependent variable
a. The “assumed effect” of another variable
b. The change that occur in the study population when
one or more factors are changed or when an
intervention is introduced
c. Usually dependent variable is the problem itself
2. Independent variable
a. The “assumed cause” of a problem
b. It’s an assumed reason for any “change” or variation
in a dependent variable
c. Sometimes treated as “antecedent” variable (the
variable before)
d. Likewise the “antecedent” variable may be treated as
an “independent” variable
EXAMPLE
“RELATIONSHIP BETWEEN EXPOSURE TO MASS MEDIA
AND PURCHASE INTENTION OF FAST-MOVING
CONSUMER GOODS CUSTOMERS”
Independent Variable- Exposure to mass media
Dependent variable- Purchase Intention
3. Intervening variable
a. A factor that works “between” the independent and
dependent variables
b. It can weaken/decrease or strengthen/increase the
effect of the independent variable on the dependent
variable
c. Also called a facilitating variable/ moderating/ control
variable
EXAMPLE
“FACTORS THAT INFLUENCE CONSUMER DECISION
MAKING PARTICIPATION OF MARRIED PROFESSIONALS”
Independent Variable: sex, age, education, income
Intervening Variable: Gender Sensitivity (Perception
about gender roles)
Dependent Variable: Consumer Decision-Making
Participation
4. Antecedent variable
a. A factor or characteristics which is found before
(ante) the independent variable.
b. It is expected to influence the independent variable
EXAMPLE
“EXTENT OF EXPOSURE TO ADVERTISEMENT AND
PURCHASE INTENTION OF THE CUSTOMERS OF
AESTHETIC PRODUCTS”
Antecedent Variables: Income, Age
Independent Variable: Extent of Exposure to
Advertisement
Dependent Variable: Purchase Intention
THE DEFINITION OF TERMS
Operational Definition of Variables and Other Terms
a. The major variables of the study and other relevant
terms should be operationally defined according to how
they are used in the study.
b. It gives a specific meaning to the variable.
c. It must indicate and clarifies how a variable is going
to be measured and used.
d. The variable must be defined in terms of
events/units of measurements that are observable by
the senses. Which serve as indicators of the variable?
HOW TO MAKE OPERATIONAL DEFINITIONS
1.List your independent and dependent and intervening
and antecedent (if any) variables.
2.Write an operational definition for each variable.
3.Identify the possible categories of each variable and
determine if the categories can be clearly understood,
are mutually exclusive (do not overlap) and exhaustive.
The list of categories is complete so that all respondents
can be categorized.
4.List the key terms which may be interpreted
differently by different people unless they are
operationally defined. Write an operational definition
for each term.
5.When defining a variable or a term, be guided by the
following questions:
a. Does the definition clearly specify the way the
variable will be measured?
b. Are the categories of each variable mutually
exclusive?
c. Are the categories exhaustive?
-CAISY ANNE