SYNOPSIS:

The purpose of our experimental study was to investigate the association between presentation format and task when subjects used financial statements. Classical frameworks served as the basis for a model which represented the performance of subjects who used various presentation formats for various tasks. An experiment was designed and conducted in which each participant completed one of four tasks (varying from low task levels to high task levels) and used one of two presentation formats (either tabular or graphical) when they responded to questions about financial statements. The experiment examined decision performance as measured by efficiency and accuracy. The results of this experiment suggested that presentation format, with respect to the task being performed, does have a relationship to the decision-making process of financial decision makers. The results were consistent with the research model. Accountants and researchers may use the results of this study to determine the appropriate report format which they should use when presenting financial information. Future researchers should examine the impact of learning upon the use of presentation format.