In the context diagram for an order entry/sales (OE/S) system that includes the revenue cycle processes...

In the context diagram for an order entry/sales (OE/S) system that includes the revenue cycle processes up through the shipment of goods (but does not include billing the customer), which of the following items is least likely to be an external entity?

the general ledger system

the purchases/accounts payable/cash disbursements (P/AP/CD) system

the carrier

the inventory system

the billing/accounts receivable/cash receipts (B/AR/CR) system

Expert Solution

External entities are entities that are outside the system boundary which interact with the system, in that they send information into the system or receive from it. Such entities are often called as sources and sinks because the source of all the information that is represented within the system is an external entity and data can leave the system only via an external entity. Considering the above, in the given case, it can be said that the general ledger system is least likely to be an external entity in comparison to purchases, billing, accounts receivables, payables, cash receipts & disbursements, carrier and inventory system because the general ledger system operates within the system boundary of the organisation as it contains information used by an organisation for the effective management of its internal affairs and for recognising transactions pertaining to its own business requirements.

ekkarill92 answered 2 years ago

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