Brick-by-Brick: Incorporating Lego Bricks to Build Accounting Basics and Increase Engagement in Financial Accounting

ABSTRACT To increase engagement in introductory financial accounting, students learn inventory and accounts receivable concepts through hands-on, active learning. In this case study, two friends own a business that sells sustainably sourced products. Business is booming, and the owners need help establishing proper accounting procedures. Students play the role of customers and retailers to simulate transactions and inventory flow using Lego bricks. Then, as consultants, students assist the company with accounting for inventory and/or accounts receivable. The learning objectives focus on inventory valuation, accounts receivable, allowance for doubtful accounts, and the impact on financial reporting. Optional expansions of the case include internal controls and sustainability. Students reported a perceived increase in engagement and learning following the implementation of the case. First-generation students, in particular, found that the case study provided a unique way to engage with and learn from peers and aided their comprehension of financial accounting topics.