In: Accounting
Compare between Sales/Collection and Acquisition/Paymentbusiness processes by describing the differences between entities (REA) and relationships used in each business process.
Identify the common entities and relationships between both business processes
The correspondence between the acquisition/payment process and previous business process very straight forward. Money made reachable by the financing processes dispense in the acquisition payment process in swap for merchandise and ventures.
A few merchandise and enterprises finish accessible by the acquisition/payment process are sold m the sales/collection process' others are spent in the change process.
The quantity of units anticipated that would be sold in the sales/collection method balanced for wanted changes in stock balances decide the no of units that an affiliation should plan to make in the conversion process. Planned production drive the quantity of material and past resources to be gain in the acquisition/payment process, and in addition specialists resources utilized and paid for through the human asset process This planning decides the financial resources that an organization must secure and handle through the financing process.