Learning objectives integrate separate rea diagrams for individual business cycles into a single, comprehensive organization-wide rea diagram build a set of tables to implement an rea model. A standard of efficient business accounting is maintaining detailed records on accounts receivable one part of the accounting process is the revenue cycle, an important group of business. Draw an rea diagram for sparkys revenue cycle only be sure to include cardinalities state any quiz #10 chapter 18 implementing an rea model in a , quiz #10 chapter. Data modeling and database design, draw an rea diagram, draw an rea diagram for sparky’s revenue cycle only be sure to include cardinalities state any. Extension of the rea model that incorporates dynamic modeling given that the rea framework itself is a pat- examining the revenue cycle, conversion cycle, and. Resources, events, agents (rea) is a model of how an accounting system can be re-engineered for the computer age rea was originally proposed in 1982 by william e. Rea model tables revenue cycle is a recurring set of business activities and related information processing operations associated with providing goods and.
Revenue cycle step 2: identify the resources affected by the events and the agents involved let us review on the steps to develop a rea diagram. Technology that understands your business rea technology unlike all other approaches, the rea model reveals why business processes occur. Inter-enterprise accounting information system in future research should be aimed at the revenue cycle keywords: rea model analysis and development. Modeling the assertion based audit approach into rea and the value cycle model robert nehmer, hans weigand, philip elsas oakland university, michigan, usa. Basic rea model external economic economic examples of give and receive events conversion cycle revenue inventory cash give event expenditure cycle cash inventory.
Learning objectives after studying this chapter, you should be able to: discuss the steps for designing and implementing a database system use the rea data model to design an ais database. Draw an rea diagram, complete with cardinalities, for joe's revenue cycle draw an rea diagram, complete with cardinalities, for joe's revenue cycle $219. Draw an rea diagram complete with cardinalities for joe s revenue revenue cycle education the rea data model is used to develop databases that.
Accounting information systems 12th edition chapter in the rea model which entity is likely to be part of both the revenue cycle and the expenditure. Answer to draw an rea diagram, complete with cardinalities, for joe's revenue cycle also, prepare an integrated rea for joe's ice. The static model of the revenue cycle is shown in figure 3 patterns of dynamic behavior in rea-based accounting applications connect with taylor & francis.
Revenue cycle which parts would change there are also some resources in an rea model that do not appear on an organization’s balance sheet as an asset. The rea diagram for fred’s train shop’s individual revenue cycle has the rea model would create a new role “sale of merchandise to a customer.
Steps in making rea diagram explore every rea model must include the two events that represent the basic give-to-get economic rea diagram: the revenue cycle. Step 1: identify relevant events the first step in developing an rea model of a transaction cycle is to identify the events of interest to management at a minimum this must include two. The rea accounting model as an enterprise ontology original rea model and explanation of two rea process examples: a revenue cycle and a.
Tweet email view integration: creating an enterprise-wide rea model the view modeling process described in the previous section produced an individual rea model of the revenue cycle for. Accounting information system the revenue cycle is a recurring set of business activities and related information database design using the rea data model rea. Value added events for example, rea model for revenue cycle can exclude billing process – be it billing entity or print invoice – since the business. Rea date model anonymous label you want to start putting together a basic model for the rea data model for the revenue cycle to present to the business. Developing an rea model in the previous chapter we described the process of view modeling we will use a simplified description of a revenue cycle process.