02 Oct Writer Choice

37423AndersonManufacturing(XBRL-enabled software)
The Anderson Manufacturing Company (AMC) is located in Las Vegas, Nevada, and manufactures specialty parts for high-end sports cars. The company currently has an accounting information sys- tem, but over time, has found that it would like its system to do more. For example, the finance department finds an increasing need for reporting financial data about the company in alternate report formats that the current system cannot perform. Rather than revise its existing accounting system piecewise, the company’s managers have begun to think about acquiring a new one. But which one? There are many packages available with various degrees of capability. To help it make a decision, AMC hires Kuechler Associates, a consulting firm that specializes in software acquisitions and implementation. One of KA’s areas of expertise is implementing ERPs. One of its suggestions is that AMC considers selecting XBRL-enabled software to help it with its financial reporting needs.
Requirements
1. What does it mean when software is “XBRL-enabled?”
2. Identify at least five advantages that KA might discuss with the company regarding an XBRL- enabled software solution. Identify any disadvantages that might also be relevant for AMC.
3. Assume that you are KA’s research assistant. Draft a memo to AMC that explains how XBRL works. Remember to keep in mind your audience. This should be an executive-level piece of correspondence.
4. As the research assistant, develop a PowerPoint presentation for AMC explaining exactly what benefits it could realize with an XBRL-enabled software solution. Be creative, and use diagrams and examples where appropriate.

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