Data Flow Diagrams Evolve from the More General to the More

question 116

True/False

Data flow diagrams evolve from the more general to the more detailed as current and replacement systems are better understood.

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Definitions:

Merchandise Inventory

Goods or products that a company holds for the purpose of resale to customers, recorded as a current asset on the balance sheet.

Income Summary

is an account that aggregates all revenue and expenses during an accounting period, used to transfer the net income (or loss) to the capital account.

Freight-in

represents the cost of transporting goods into a business, typically considered as part of the cost of goods sold.

Operating Expense

An expense that a business incurs through its normal business operations, often including items like rent, utilities, and payroll.