In the Third Phase of the Systems Development Life Cycle

question 18

True/False

In the third phase of the systems development life cycle, analysts can use data flow diagrams to chart the input, processes, and output of the business functions.

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Definitions:

Statement of Cash Flows

A financial report that summarizes the amount of cash and cash equivalents entering and leaving a company, categorized into operating, investing, and financing activities.

Financing Activities

These are transactions and events that relate to how a company finances its operations, including issuing equity, obtaining loans, or paying dividends.

Investing Activities

Financial transactions related to the acquisition or sale of long-term assets and other investments not included in cash equivalents.

Operating Activities

Transactions and other events that affect the net income of a business, relating to its principal revenue-producing activities.