One of the most confronting experiences for VCE Accounting students is opening their exam results and realising that their final score does not reflect how confident they felt walking out of the exam room. This is particularly common among students who are strong at calculations, complete practice exams diligently, and perform well in SACs.
The Examiner’s Reports make it clear that this outcome is rarely due to large conceptual gaps. Instead, marks are lost through a pattern of small, technical errors that accumulate across the paper. These errors often occur in questions students believe they have answered correctly.
Treating questions as procedures instead of decisions
A recurring issue identified in Examiner’s Reports is that students approach exam questions as if they are being asked to demonstrate a familiar procedure, rather than make an accounting decision. This is especially evident in General Journal and balance day adjustment questions.
For example, when recording depreciation or inventory adjustments, many students correctly identify the formula or calculation but fail to consider whether the adjustment is required at that point in time, which account should be debited or credited, or how the adjustment affects owner’s equity. Marks are then deducted not because the calculation is wrong, but because the accounting logic is incomplete.
The exam consistently rewards students who show that they understand why an adjustment is required, not just how to calculate it.
Misreading what the question is actually asking
Another major source of mark loss is misinterpretation of the task. Accounting exam questions are often layered. A question may require calculation, followed by recording, followed by explanation. Examiner’s Reports repeatedly note that students answer only part of what is asked.
A common example appears in questions that require students to explain the effect of a transaction. Many students simply restate what happened or describe the transaction again. Full marks, however, require explanation of how the transaction affects accounting elements such as assets, liabilities, expenses, revenue and owner’s equity.
Students who fail to move from description to explanation are capped, even if their understanding appears sound.
Incorrect or outdated terminology
Accounting is marked with strict attention to terminology. Examiner’s Reports across multiple years highlight that students continue to use outdated terms or imprecise language, particularly where the Study Design has specified preferred terminology.
For instance, students sometimes refer to profit instead of net profit, or use informal language when referring to reports or accounting assumptions. These errors are often minor in isolation, but they signal lack of alignment with the Study Design and result in mark deductions.
High-performing students consistently use the exact terms specified by the current Study Design and apply them accurately in context.
Structural errors in reports and ledger accounts
Another consistent issue is loss of marks due to structural errors rather than conceptual misunderstanding. This includes:
- missing or incorrect headings
- incorrect column labelling
- failure to balance accounts where required
- placing figures in the wrong section of a report
The Examiner’s Reports are clear that presentation is not a cosmetic issue in Accounting. Correct structure is part of demonstrating understanding. A Cash Flow Statement that contains the right numbers but places them under the wrong activity category does not demonstrate mastery and is marked accordingly.
Carry-forward errors and their consequences
Many students assume that once they make a single error, they will lose marks throughout the remainder of the question. While the VCAA does apply consequential marking in some cases, Examiner’s Reports show that students often compound errors unnecessarily.
For example, if a student miscalculates an amount early in a question but then records it consistently and correctly thereafter, marks may still be awarded for later parts. Students who panic, abandon structure, or change figures mid-way often lose more marks than necessary.
This highlights the importance of staying disciplined and consistent, even when an earlier error is suspected.
Ethical and discussion questions are not opinion pieces
Ethical questions remain one of the weakest areas of performance. Examiner’s Reports note that students frequently provide generic ethical statements that are not grounded in the scenario provided.
High-mark responses identify the specific accounting decision being made, explain why it raises an ethical issue, and link that issue to consequences for stakeholders. Responses that rely on vague notions of honesty or fairness without reference to the accounting context are consistently capped.
What this means for exam preparation
The consistent message from the Examiner’s Reports is that improvement in Accounting does not come from doing more questions indiscriminately. It comes from slowing down, reading questions carefully, and understanding how marks are allocated.
Students who want to move into the top bands must focus on:
- precision of language
- alignment with the Study Design
- structural accuracy
- disciplined interpretation of tasks
How ATAR STAR supports Accounting students
ATAR STAR supports Accounting students by focusing on exactly these issues. We work with students to identify recurring error patterns, refine exam technique, and align responses with VCAA expectations. This support benefits students who are already performing strongly but want to maximise their results, as well as students who feel their effort is not translating into marks.