Effects of Cognitive Bias of Master Accounting Students on the Accuracy of Their Judgments Regarding Cost Behavior and Information Type

This study investigates the accuracy of recognition and estimation of the cost stickiness by master accounting students, in different presentation conditions and the impact of their cognitive bias on their judgments. This study uses questionnaire to collect data from the  sample consisting of 120 people from the population of 171 master students in accounting, auditing and management accounting fields in Tehran in the year 2017. ANOVA is used to analyze the data and test the hypotheses of the research .The results show that the degree of cost asymmetry and the way in which information is presented to accountants affect their judgment accuracy. Therefore, the cognitive bias resulting from the different degrees of cost asymmetry and the different data presentations (in percentage or in amount) affect the recognition and accuracy of their judgments about cost stickiness.