Analysis of AI Literacy and its Role in Enhancing Accounting Students' AI Awareness

Generative Artificial Intelligence (Gen-AI) among accounting students has been growing rapidly. However, the lack of supervision and an adaptive curriculum have diminished student integrity, as many have become highly dependent on AI. This study examines several factors of capabilities that contribute to accounting students’ AI awareness. A quantitative approach was used, distributing a questionnaire to 98 undergraduate accounting students in Jakarta and Tangerang, where the data were analysed with Partial Least Squares Structural Equation Modelling using SmartPLS version 4.1.1.8. The results indicate diagnostic capabilities, prognostic capabilities, and students AI awareness have significant affected by AI Literacy, which suggests that students across semesters understand and are motivated to adopt AI to uncover hidden information in analysing financial reports and evaluating transaction data. In contrast, diagnostic capabilities and prognostic capabilities were not have a significant effect on AI awareness, suggesting a structural gap in AI competencies only being a habit to find the fastest way because there is still a transition phase of the learning development, where Gen-AI has not yet been fully optimized the need to support decision-making, since the curriculum is not being directed toward building scenario models for future financial performance through synergizing students with AI to find the best practice. This underscores the importance of integrating the curriculum with AI Literacy and ethics as a foundation for developing predictive modelling capabilities, enabling accounting students to leverage predictive models for financial data analysis and support strategic decision-making, where AI has been moved to Gen and Agentic AI globally