Template-Type: ReDIF-Article 1.0 Author-Name: Luke Miller Author-Name: Mark Bertus Title: AN EXPOSITION ON THE MATHEMATICS AND ECONOMICS OF OPTION PRICING Abstract: The application of options pricing theory to value irreversible investment decisions has witnessed a marked increase over the last decade. For instructional and simplified applications, the Black-Scholes model is commonly demonstrated due to its tractability and acceptance in the finance community. This paper provides a detailed mathematical exposition of the Black-Scholes model. The main contribution of this paper is the step-by-step instructional account of the Black-Scholes model that can be used directly in the classroom to introduce stochastic calculus, arbitrage-free valuation, and option-pricing theory. In contrast with most Black-Scholes derivations found in the pedagogical literature, this paper develops the fair option price from an economic equilibrium perspective. Through this approach, it is hoped the reader will comprehend both the mathematics and economics underlying option pricing theory, as both are equally important. Classification-JEL: A22, A23, C02, G00, M19 Keywords: Options Pricing, Black-Scholes Model, Stochastic Calculus, Pedagogy Journal: Business Education & Accreditation Pages: 1-16 Volume: 5 Issue: 1 Year: 2013 File-URL: http://www.theibfr2.com/RePEc/ibf/beaccr/bea-v5n1-2013/BEA-V5N1-2013-1.pdf File-Format: Application/pdf Handle: RePEc:ibf:beaccr:v:5:y:2013:i:1:p:1-16 Template-Type: ReDIF-Article 1.0 Author-Name: Rita A. Franks Author-Name: Albert D. Spalding, Jr Title: BUSINESS ETHICS AS AN ACCREDITATION REQUIREMENT: A KNOWLEDGE MAPPING APPROACH Abstract: Most of the more prominent and highly ranked business and management schools in the United States and elsewhere are accredited by one of two international accrediting organizations, the Association to Advance Collegiate Schools of Business (AACSB) or the Accreditation Council for Business Schools & Programs (ACBSP). Both of these organizations require the inclusion of business ethics in the curriculum of each accredited institution. Business ethics, however, is a concept that includes, overlaps or integrates with such notions as social issues in management, corporate social responsibility, corporate citizenship and sustainability. Larger disciplines such as philosophy, psychology, the social sciences and even religion can also impact and interact with business ethics. This paper uses knowledge mapping to organize the various pockets of knowledge that comprise the business ethics domain, relying in part on traditional library science classification systems. The paper concludes that the accreditation regime would benefit from a more carefully constructed articulation of the content of business ethics. Classification-JEL: A2, M14, Z12 Keywords: Business Ethics, Accreditation, Knowledge Mapping, Philosophy, Religion. Journal: Business Education & Accreditation Pages: 17-30 Volume: 5 Issue: 1 Year: 2013 File-URL: http://www.theibfr2.com/RePEc/ibf/beaccr/bea-v5n1-2013/BEA-V5N1-2013-2.pdf File-Format: Application/pdf Handle: RePEc:ibf:beaccr:v:5:y:2013:i:1:p:17-30 Template-Type: ReDIF-Article 1.0 Author-Name: Diah Hari Suryaningrum Author-Name: Sri Hastuti Author-Name: Dwi Suhartini Title: ACCOUNTING STUDENT AND LECTURER ETHICAL BEHAVIOR: EVIDENCE FROM INDONESIA Abstract: Research on ethical behavior has been conducted to understand human behavior in their environment. It became an issue in Indonesia since there are many issues related to accountant behavior in their professional role. This study provides empirical evidence on an ethical behavior issue related to accounting student and lecturers in a private university in Surabaya, East Java-Indonesia. We added a personal variable of gender and locus of control to identify how women differ from men. Women in Indonesia have been treated as second citizen, not only in education but also in the working environment. This has held despite efforts of emancipation undertaken for many years. The locus of control as an individual factor represents how individuals react to making decision. About half of 23 private universities in Surabaya and 548 respondents engaged in the survey. The universities were separated by accounting program accreditation. Using analysis of variance and Pearson correlation the result of this study show women’s ethical attitudes were better than men’s. Second, it was concluded that individuals with internal lotus of control are more reluctant to do unfair and unethical acts than individual with external locus of control. Finally, accounting programs with better accreditation revealed better ethical behavior, even though the difference was statistically insignificant. Classification-JEL: M49 Keywords: Ethical Behavior, Gender, Locus of Control. Journal: Business Education & Accreditation Pages: 31-40 Volume: 5 Issue: 1 Year: 2013 File-URL: http://www.theibfr2.com/RePEc/ibf/beaccr/bea-v5n1-2013/BEA-V5N1-2013-3.pdf File-Format: Application/pdf Handle: RePEc:ibf:beaccr:v:5:y:2013:i:1:p:31-40 Template-Type: ReDIF-Article 1.0 Author-Name: Robert D. Green Author-Name: Farideh A. Farazmand Title: APPLIED PROJECT LEARNING OUTCOMES: DIFFERENCES BETWEEN UNITED STATES AND INTERNATIONAL STUDENTS Abstract: The presence of international students on college campuses has been a significant source of cultural diversity and globalization of college campuses. Therefore, determining factors for successful learning experiences of international students on American campuses could result in better recruitment strategies. This paper investigates the learning experiences of students in applied project courses and compares learning outcomes of international and the U.S. students in applied courses. Results show positive impacts of applied project courses on students’ learning outcomes with better results for international students. Classification-JEL: I21, M31, A22 Keywords: Applied Projects, Learning Outcomes, Global Business Education Journal: Business Education & Accreditation Pages: 41-51 Volume: 5 Issue: 1 Year: 2013 File-URL: http://www.theibfr2.com/RePEc/ibf/beaccr/bea-v5n1-2013/BEA-V5N1-2013-4.pdf File-Format: Application/pdf Handle: RePEc:ibf:beaccr:v:5:y:2013:i:1:p:41-51 Template-Type: ReDIF-Article 1.0 Author-Name: Richard Griffin Author-Name: Angie MacKewn Author-Name: Ernest Moser Author-Name: K. W. VanVuren Title: LEARNING SKILLS AND MOTIVATION: CORRELATES TO SUPERIOR ACADEMIC PERFORMANCE Abstract: This paper describes a study that was conducted at a mid-sized public state-university in the mid-south, USA, to examine various factors affecting student academic performance. In this study, the 10-scale Learning and Study Strategies Inventory (LASSI) assessment device was administered. This set of scales measures students’ receptivity to skills and strategies that purportedly enhance one’s ability to learn and successfully perform in an academic setting. Results from this instrument showed that the single most influential learning and study skill promoting positive academic performance was level of intrinsic motivation. To explore the individual aspects of motivation, the 8-scale Downing Self-Assessment Questionnaire was also administered. The Downing questionnaire examines motivational factors, for example, behaviors and beliefs, which might maximize one’s potential for positive achievement in college. Along with motivation, the subscale measuring an attitude of life-long learning significantly predicted academic performance. The results of this study have pedagogical implications for helping students maximize their academic performance in college. Classification-JEL: I21; I23 Keywords: Learning Skills, Academic Performance, Student Success, LASSI Journal: Business Education & Accreditation Pages: 53-65 Volume: 5 Issue: 1 Year: 2013 File-URL: http://www.theibfr2.com/RePEc/ibf/beaccr/bea-v5n1-2013/BEA-V5N1-2013-5.pdf File-Format: Application/pdf Handle: RePEc:ibf:beaccr:v:5:y:2013:i:1:p:53-65 Template-Type: ReDIF-Article 1.0 Author-Name: Richard T. Grenci Title: POSITIONING COMPUTER LITERACY AS A VALUEADDED BUSINESS CORE COURSE Abstract: Many business students are introduced to information systems via computer literacy coursework and or assessment tests. Such an introduction can be less than ideal, particularly in a field that suffers from declining enrollment. Introductory computing often is software skills-specific and tutorial-intensive and thus may not offer an engaging view of the field or capture the larger relevance of information technology. In addition, the mere existence of an assessment or test-out option can further trivialize the perceived value of the course. This research develops a solid foundation for advancing beyond a focus on computer literacy and software skills to tap the value-added potential of an introductory computing course. The proposed approach ultimately frames the course content around the documentation and presentation of a business plan. A business plan provides an integrative vehicle for teaching information concepts and software applications in the larger context of business analysis and communications. The importance of the framework goes beyond the teaching of skills – it provides for a broadly relevant and engaging approach that promotes a higher level of learning. The direction and implications of the approach are discussed. Classification-JEL: I29, M15 Keywords: Introductory Computing, Computer Literacy, Business Plan, Pedagogical Framework, Business Core Journal: Business Education & Accreditation Pages: 67-80 Volume: 5 Issue: 1 Year: 2013 File-URL: http://www.theibfr2.com/RePEc/ibf/beaccr/bea-v5n1-2013/BEA-V5N1-2013-6.pdf File-Format: Application/pdf Handle: RePEc:ibf:beaccr:v:5:y:2013:i:1:p:67-80 Template-Type: ReDIF-Article 1.0 Author-Name: Ranjini L. Thaver Title: INTEGRATING THE OUTPUT AND SUBSTITUTION EFFECTS OF PRODUCTION INTO THE INTERMEDIATE MICROECONOMICS TEXTBOOK Abstract: Intermediate microeconomics textbooks employ indifference curve analysis to explain the income and substitution effects of a change in the price of a good x on the demand for it, holding other variables constant. Further, they demonstrate how the shape and slope of the demand curve changes depending on whether good x is defined as normal, inferior, or Giffen. This analysis in turn enables an evaluation of public policies aimed to increase consumer welfare. Unfortunately, these textbooks do not apply a parallel analysis in production theory, creating an analytical vacuum at the undergraduate level. This paper develops a model to analyze the output and substitution effects in production when the price of one input (labor) changes, holding technology, resource availability, and the price of the other input constant. This study will also address the production equivalents of normal, inferior, and possibly Giffen inputs affecting the shape and slope of the input demand curve. Such an exercise may allow students to gain a better understanding of producer and consumer theories, and encourage them to employ these concepts to real economic problems such as the effect of wage subsidies on labor demand. It should therefore be included in intermediate microeconomics textbooks. Classification-JEL: A22, D11, D24 Keywords: Substitution Effect, Output Effect, Isoquants, Consumer Theory, Producer Theory Journal: Business Education & Accreditation Pages: 81-90 Volume: 5 Issue: 1 Year: 2013 File-URL: http://www.theibfr2.com/RePEc/ibf/beaccr/bea-v5n1-2013/BEA-V5N1-2013-7.pdf File-Format: Application/pdf Handle: RePEc:ibf:beaccr:v:5:y:2013:i:1:p:81-90 Template-Type: ReDIF-Article 1.0 Author-Name: Lynda S. Livingston Title: INTRAPORTFOLIO CORRELATION: AN APPLICATION FOR INVESTMENTS STUDENTS Abstract: Intraportfolio correlation (IPC), a measure of portfolio diversification, is becoming increasingly popular among investment practitioners. However, despite the assertions of these adherents, IPC is far from a free lunch. Instead, it is a simplistic and flawed measure that ignores material information about the relationships among portfolio assets. Deconstructing the IPC therefore can be a productive and educational exercise (and a cautionary tale) for students of portfolio theory. In this paper, we describe IPC and offer suggestions for incorporating it into an introductory investments course. Classification-JEL: G10, G11 Keywords: Portfolio Theory, Diversification, Finance Pedagogy Journal: Business Education & Accreditation Pages: 91-105 Volume: 5 Issue: 1 Year: 2013 File-URL: http://www.theibfr2.com/RePEc/ibf/beaccr/bea-v5n1-2013/BEA-V5N1-2013-8.pdf File-Format: Application/pdf Handle: RePEc:ibf:beaccr:v:5:y:2013:i:1:p:91-105 Template-Type: ReDIF-Article 1.0 Author-Name: DeShea Simon Author-Name: Kanata Jackson Author-Name: Karen Maxwell Title: TRADITIONAL VERSUS ONLINE INSTRUCTION: FACULTY RESOURCES IMPACT STRATEGIES FOR COURSE DELIVERY Abstract: Advances in communication technologies have provided alternative ways to deliver instruction to learners. With the availability of the Internet as a learning tool, educators are able to use this instrument for course delivery. This study takes an empirical look at course design and delivery factors that impact student perceptions of learning and course satisfaction. Students completed surveys addressing a variety of topics as they relate to traditional classroom and Internet courses. Results of the study suggest that online learning is a viable alternative to traditional classes in the information systems discipline. Students were active participants in the evaluation and comparative analysis of an undergraduate business course delivered in an online format for the first time. Implications of the results are discussed. Classification-JEL: I20 Keywords: Information Systems; Online Learning; Traditional Course Journal: Business Education & Accreditation Pages: 107-116 Volume: 5 Issue: 1 Year: 2013 File-URL: http://www.theibfr2.com/RePEc/ibf/beaccr/bea-v5n1-2013/BEA-V5N1-2013-9.pdf File-Format: Application/pdf Handle: RePEc:ibf:beaccr:v:5:y:2013:i:1:p:107-116 Template-Type: ReDIF-Article 1.0 Author-Name: Chad Patrizi Author-Name: Phil Ice Author-Name: Melissa Burgess Title: SEMANTIC MAPPING OF LEARNING ASSETS TO ALIGN CURRICULUM AND EVIDENCE LEARNING EFFECTIVENESS IN BUSINESS EDUCATION Abstract: Ensuring the alignment of course content against desired goals and objectives has always been at the core of effective instructional course design—whether the instruction is delivered face-to-face, or via the support of distance technologies. Nonetheless, with the latter delivery of instruction, two distinct challenges have recently emerged, thus prompting the need to re-examine the term quality as it relates to accreditation. The first challenge lies within the ability to locate and/or create and align digital learning objects to course goals and objectives. The second challenge lies within the ability to demonstrate learning effectiveness from learning management system metadata. A research and development team at American Public University System addressed these challenges by employing an open source repository and semantic engine for analysis and alignment of content, materials, and learning activities to goals and objectives across all courses within the School of Business. The result was a highly detailed, accurate mapping of the programs' knowledge base to established goals and objectives. As an added benefit, resources were disaggregated to a very granular level and sorted into taxonomies that can be independently referenced and utilized for cross-curricular consumption. Classification-JEL: I23, O31, O32 Keywords: Accountability, Accreditation, Business Education, Quality, Excellence, Online Learning, Semantic Mapping, Semantic Analysis, Learning Assets, Learning Management Systems, Goals and Objectives Journal: Business Education & Accreditation Pages: 117-128 Volume: 5 Issue: 1 Year: 2013 File-URL: http://www.theibfr2.com/RePEc/ibf/beaccr/bea-v5n1-2013/BEA-V5N1-2013-10.pdf File-Format: Application/pdf Handle: RePEc:ibf:beaccr:v:5:y:2013:i:1:p:117-128