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Problem - Zalifa Savioe is a manager in the Computer Systems Specialist group, part of the Assurance practice of Andy, Gilmore & Dale ("AGD"). In the next few minutes, she will be meeting with the Deputy CEO of a growing retail specialty chain. She is quite optimistic that she will be able to land a contract for a major systems analysis project that she anticipates will generate about $500,000 in revenues for the firm. She knows that the client has been talking with other firms as well; however, she realizes that the new firm approach she has been advocating has drawn the client's interest. Zalifa is up for promotion and believes that landing this deal would secure her move to the next level. She suspects that the client has already requested and secured proposals from at least two other firms. Developing the proposal from AGD will likely be her next step after this meeting.

After waiting in the reception area for several minutes, Zalifa is ushered into the client's office. Apologetically, the secretary explains that the client has been delayed for about 10 minutes. Offering to bring coffee, the secretary notes, "Mr. Hoover asks that you make your- self at home."

Declining the coffee, Zalifa settles into one of the comfortable chairs facing the desk. Lying in plain view is a thick spiral-bound book with the logo of another firm labeled "Proposal for an Enhanced Retail Systems Analysis."

Questions

a. What are the key issues?

b. What should Zalifa do?

c. With whom should Zalifa consult?

Accounting Basics, Accounting

  • Category:- Accounting Basics
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