Asset acquisition begins when the department manager recognizes the need to obtain or replace an existing fixed asset. The manager prepares two copies of a purchase requisition; one is filed in the department and one is sent to the purchasing department. The purchasing department uses the purchase requisition to prepare three copies of a purchase order. One copy of the purchase order is sent to the supplier, another copy is sent to the AP department, and the third copy is filed in the purchasing department. The receiving department receives the assets and packing slip from the vendor and prepares a receiving report. One copy of the receiving report is sent to AP, one is sent to the department manager, and one is sent to the inventory department clerk and used to update the inventory records. The AP clerk receives the invoice, which she compares to the purchase order and receiving report. The AP clerk inputs the information into the computer terminal, posts the liability, updates the purchase journal, and prints out hard copies of a journal voucher and cash disbursement voucher. The journal voucher is sent to the general ledger department, and the cash disbursements voucher and the supplier’s invoice are sent to the cash disbursements department. The purchase order and the receiving report are filed in AP. The cash disbursements clerk prepares and posts a check to the check register using the information from the supplier’s invoice and the cash disbursements voucher, and prints a hard copy of the check, which is sent to the vendor. The cash disbursements voucher is sent on to the general ledger department. The department manager also handles asset maintenance and asset disposal. The manager adjusts the fixed asset inventory subsidiary account balances as the assets depreciate ove
Asset acquisition begins when the department manager recognizes the need to obtain or replace an existing fixed asset. The manager prepares two copies of a purchase requisition; one is filed in the department and one is sent to the purchasing department. The purchasing department uses the purchase requisition to prepare three copies of a purchase order. One copy of the purchase order is sent to the supplier, another copy is sent to the AP department, and the third copy is filed in the purchasing department. The receiving department receives the assets and packing slip from the vendor and prepares a receiving report. One copy of the receiving report is sent to AP, one is sent to the department manager, and one is sent to the inventory department clerk and used to update the inventory records. The AP clerk receives the invoice, which she compares to the purchase order and receiving report. The AP clerk inputs the information into the computer terminal, posts the liability, updates the purchase journal, and prints out hard copies of a journal voucher and cash disbursement voucher. The journal voucher is sent to the general ledger department, and the cash disbursements voucher and the supplier’s invoice are sent to the cash disbursements department. The purchase order and the receiving report are filed in AP. The cash disbursements clerk prepares and posts a check to the check register using the information from the supplier’s invoice and the cash disbursements voucher, and prints a hard copy of the check, which is sent to the vendor. The cash disbursements voucher is sent on to the general ledger department. The department manager also handles asset maintenance and asset disposal. The manager adjusts the fixed asset inventory subsidiary account balances as the assets
Required:
a. Prepare the REA model of the fixed asset procedures. (10 points)
b. Show the cardinalities for all associations. (5 points)
c. List the tables, keys, and attributes needed to implement this model in a relational database. (10 points)
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