Concerning the development of an REA model,which of the following statements is true?
A)Events that pertain to the entry of data are included in the REA model.
B)The objective is to model the basic value-chain activity.
C)REA diagrams model individual transactions and data collections.
D)Information retrieval events are modeled as events in the REA model.

Question

Quizplus · Accepted Answer

The objective of developing an REA model is to model the basic value-chain activity of an organization. This includes identifying the resources, events, and agents that are involved in the value chain. Events that pertain to the entry of data and information retrieval events are not significant components of the REA model, which is primarily concerned with modeling the basic economic activities of the organization. REA diagrams model economic events, not individual transactions or data collections.

Concerning the Development of an REA Model,which of the Following