Case-Based Critical Thinking Questions Case 2-3

question 19

Multiple Choice

Case-Based Critical Thinking Questions Case 2-3
Syed and Marino Li own a small furniture consignment shop in Atlanta, GA. Syed is designing a database that will allow them to keep track of item information and seller information.  Each item is assigned to one seller; however, each seller may be assigned multiple items in the database. The database will contain the following information: item identification number, item description, seller code, condition of item, retail price of item, item quantity, date item received, condition of item, date the item is sold, the final sale price of the item, seller name, seller address, and seller contact information.  Using appropriate database design guidelines, answer the following questions.
Based on the information to be included in the database, what is the best way to avoid data redundancy in the database?

• A) store data for each field in only one table (excluding the common field)
• B) store data for each field in multiple tables (excluding the common field)
• C) create a composite primary key (including the common field)
• D) change field properties for all fields to require data input

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Definitions:

Adjusting Entry

A journal entry made at the end of an accounting period to update account balances before preparing financial statements.

Unearned Service Revenue

Represents payments received for services that have not yet been performed or delivered, classified as a liability on the balance sheet.

Advance Payment

Money paid before it is due or for goods or services before they are received.

Adjusting Entries

At the conclusion of an accounting cycle, entries recorded to accurately distribute revenues and costs to their respective periods.