Which of the Statements Below Is False with Respect to Enterprise-Wide

question 60

Multiple Choice

Which of the statements below is false with respect to enterprise-wide REA diagrams?

• A)Merging two or more REA diagrams that contain the same resource entity does not require any changes to the cardinality pairs in the individual diagrams.
• B)Merging two or more diagrams that contain a common event entity,however,often requires changing the minimum cardinalities associated with the other events to 0,to reflect the fact that the merged event may be connected to any one of several different events,but not to all of them simultaneously.
• C)The minimum cardinalities associated with agents may also have to be changed to 0.
• D)All of the above are true.

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Definitions:

Net Profit

The financial gain achieved after subtracting all expenses, taxes, and costs from total revenue.

Net Income

The total earnings of a company after subtracting all expenses, taxes, and costs, indicating the company's profitability.

Depreciation

The accounting process of allocating the cost of tangible assets over their useful lives, reflecting wear and tear or obsolescence.

Inventory

A company's merchandise, raw materials, and finished and unfinished products which have not yet been sold.