You are a systems consultant for Ernst, Price, and Deloitte, CPAs. At your country club’s annual golf tournament, Frank Fender, an automobile dealer, describes a proposal from Turnkey Systems and asks for your opinion. The system will handle inventories, receivables, payroll, accounts payable, and general ledger accounting. Turnkey personnel would install the $40,000 system and train Fender’s employees. Identify the major themes you would touch on in responding to Fender. Identify the advantages and disadvantages of using a turnkey system to operate the organization’s accounting system.
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