Given that self-efficacy has been found to influence the achievement of learning outcomes, this study examines the influence of prior knowledge on the self-efficacy levels of students enrolled in a tertiary level introductory accounting course. The self-efficacy levels of 272 students, captured through an in-class survey, were compared by gender, age, prior knowledge and work experience. The results suggest there was no significant difference in self-efficacy levels between students who had previously studied accounting at secondary school and those who had not. This research makes a theoretical contribution by confirming that prior knowledge does not necessarily influence an individual’s level of self-efficacy when there are few similarities between the prior knowledge gained and the current course being studied. In addition, there is a practical contribution which suggests that students who have not studied accounting at secondary school should not be discouraged from studying accounting at tertiary level.