This study was conducted to assess the students' level of abilities in solving algebraic word problems which is a main component in Science, Technology, Engineering and Mathematics (STEM). It also aims to determine the students' difficulties in solving these problems by using Newman's Model of Error Analysis (NMEA). Furthermore, this study was conducted to investigate the attitudes of undergraduate students towards STEM and its relationship to the achievement of the test. The instruments are a test on algebraic problems and a set of questionnaire on attitudes towards STEM. The test which was validated by an expert from a university was adopted and adapted from a problem solving source. The test contained questions from one of the main areas of algebra which focused on two parts namely algebraic knowledge (AK) and algebraic knowledge in the context of science (AKCS). There were a total of 63 undergraduate mathematics education students who took part in this study. This study was carried out using the mixed-methods qualitative approach. The result showed that the majority of the students have a low level of algebraic knowledge as well as algebraic knowledge in the context of science. For the attitude towards STEM, findings displayed that the majority of the students were interested and gave positive attitude towards STEM.