REA model -- adirondacks classic furniture adirondacks classic furniture (ACF) manufactures a range of rustice chairs, lawn furniture, and interior furnishing including lamps, desks, and bedframes. ACF's customer base comprises both private consumers and retail outlets. Consumer’s sales are for cash or by credit card, but business customers are extended a line of credit. New business customers undergo a credit check before receiving a credit line. All sales are made online, by fax or mailed in hard-copy order. When a credit order is received, the sales clerk verifies inventory availability, prepares a sales order, and sends the stock release copy to the warehouse clerk who picks the goods and arranges shipment. He then prepares the bills of lading and sends copies of the shipping notices to the billing department and inventory control. The billing department updates the sales journal and sends an invoice to the customer. The clerk then sends the shipping notice to the AR department, where the AR clerk updates the AR subsidiary Ledger. Customers submit checks and remittance advices to the mail room. A clerk sends the remittance advices to the AR department and the checks to the cash receipts department. At the end of the day the cash receipts clerk prepares a deposit slip and deposits the checks into the company’s bank account, files the bank receipt, and updates the cash receipts journal. The physical aspects of cash sales transactions are handled similar to the process described here except that checks or credit card account numbers are submitted with the original order. Required Prepare the REA model to support the sales/collection process. Show the cardinalities for all associations List the tables, keys, and attributes needed to implement this model in a relational database

Accounting Information Systems

10th Edition

ISBN:9781337619202

Author:Hall, James A.

Publisher:Hall, James A.

Chapter9: Database Management Systems

Section: Chapter Questions

Problem 6P

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1. REA model -- adirondacks classic furniture adirondacks classic furniture (ACF) manufactures a range of rustice chairs, lawn furniture, and interior furnishing including lamps, desks, and bedframes. ACF's customer base comprises both private consumers and retail outlets. Consumer’s sales are for cash or by credit card, but business customers are extended a line of credit. New business customers undergo a credit check before receiving a credit line. All sales are made online, by fax or mailed in hard-copy order.
When a credit order is received, the sales clerk verifies inventory availability, prepares a sales order, and sends the stock release copy to the warehouse clerk who picks the goods and arranges shipment. He then prepares the bills of lading and sends copies of the shipping notices to the billing department and inventory control. The billing department updates the sales journal and sends an invoice to the customer. The clerk then sends the shipping notice to the AR department, where the AR clerk updates the AR subsidiary Ledger.

Customers submit checks and remittance advices to the mail room. A clerk sends the remittance advices to the AR department and the checks to the cash receipts department. At the end of the day the cash receipts clerk prepares a deposit slip and deposits the checks into the company’s bank account, files the bank receipt, and updates the cash receipts journal.

The physical aspects of cash sales transactions are handled similar to the process described here except that checks or credit card account numbers are submitted with the original order.

Required
1. Prepare the REA model to support the sales/collection process.
2. Show the cardinalities for all associations
3. List the tables, keys, and attributes needed to implement this model in a relational database

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