The March 1995 issue of Management Review includes an article by Barbara Ettorre entitled How Motorola Closes
Question:
The March 1995 issue of Management Review includes an article by Barbara Ettorre entitled "How Motorola Closes Its Books in Two Days."
\section*{Instructions}
Read the article and answer these questions:
(a) How often does Motorola close its books? How long did the process used to take?
(b) What was the major change Motorola initiated to shorten the closing process?
(c) What incentive does Motorola offer to ensure accurate and timely information?
(d) In a given year, how many journal entry lines does Motorola process?
(e) Provide an example of an external force that prevents Motorola from closing faster than a day and a half.
(f) According to Motorola's corporate vice-president and controller, how do external users of financial statements perceive companies that release information early?
Step by Step Answer:
Financial Accounting Tools For Business Decision Making
ISBN: 9780471169192
1st Edition
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso