Required:

Conceptual model: Draw an REA model with cardinalities for the operating events, agents and resources in the sales/collection process described above. Use crows feet notation for cardinalities.

A shipping employee receives the tagged goods and keys the information into the system to update the shipping transaction file and print a shipping label.Each shipment goes directly to a customer's address because the store locations do not have any extra space capacity.Shipping procedures require all tagged items from an order be shipped the next day using a third party carrier.An electronic shipping log is maintained by the shipping clerk and viewable to all store locations to aid in customer inquiry.An electronic copy of the shipping log is sent to billing.

Upon electronic notification of shipping, a billing clerk charges the customer account for 50% of total charges.The remaining 50% will be billed in 30 days.The billing policy is standard and applies to all customers.A cashier records customer collections received into FFI's main checking account.In order to improve internal controls, FFI maintains a separate payroll cash account.An AR clerk manages past due accounts.