What Is a Step That Is Specific to the REA

question 50

Multiple Choice

What is a step that is specific to the REA framework approach and not to the system output approach in developing a database for an accounting system?

• A) Identify and document what data elements need to be stored to produce the required output.
• B) Determine what tables to create and what data elements to put in which tables by using a process called data normalization.
• C) Identify and document the attributes that are related to resources, events, agents, and relationships that are of interest to users.
• D) Identify and document the system outputs and the contents of the outputs that are of interest to users.

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Definitions:

Real Wage

The purchasing power of wages, adjusted for inflation, reflecting the actual goods and services that can be bought.

Inflation Rate

The measure of inflation through the rising cost of goods and services, which diminishes the power of currency.

Nominal Wage

The wage earned by an employee, expressed in current currency terms, without adjustment for inflation or changes in purchasing power.

Efficiency Wage

A wage set above the market equilibrium by employers in an effort to enhance productivity, attract higher quality employees, and reduce turnover.