The effectiveness of ChatGPT to support threshold concepts knowledge in financial accounting an exploratory study

Purpose: This paper explores the effectiveness of using ChatGPT (an artificial intelligence text generator (AITG)) as a reliable source for accounting knowledge and skills. Design/methodology/approach: This study follows a descriptive-interpretive approach to explore and evaluate the effectiveness of ChatGPT in explaining threshold concepts in Business Combinations and Consolidations and their application. ChatGPT text outputs are critically analysed in a descriptive-Findings:-like language, which can benefit students with language barriers. However, responses lacked depth and specificity. For procedural knowledge omissions in practical tasks like preparing consolidated financial statements. Educators can leverage these shortcomings to foster critical thinking and develop comparative learning exercises. Originality/value: The use of AITG in education is a rapidly evolving field. Educators must continuously develop their understanding of these tools to reflect on how they may affect students' engagement. This study adds value by helping educators understand the effectiveness of AITG in correctly responding to questions related to accounting knowledge. The study highlights the beneficial explanation of challenging accounting concepts in easy-to-understand language and its limitations in application without supervision.