3. Switching to an electronic system would mean a large capital expense for new computers and software.

How could analyzing the company's income statement help you justify this expense? To encourage students to think about the advantages and disadvantages of using an electronic system for handling accounts receivable and accounts payable.

Method Step 1 As the CFO of a utility company, you are analyzing the feasibility or switching from a paper to an electronic system. You decide to discuss the ramifications of the choice with three associates (choose three classmates to take on these roles). Your d iscussion requires that you research electronic payment systems now being developed. Specifically, using online and library research, you must find out as much as you can about the electronic bill-paying systems being developed by companies like VISA International, Intuit, IBM, and the Checkfree Corporation.