02 Oct Writer choice
370225-3 Big Fun toys (Data Flow Diagrams)
Big Fun Toys is a retailer of children’s toys. The accounts payable department is located at company headquarter ins Boston, Massachusetts. The department consists of two full time clerks and one supervisor. They are responsible for processing and paying approximately 2,000 checks each month. The accounts payable process begins with receipt of a purchase order from the purchasing department. The purchase order is held until a receiving report and the vendor’s invoice have been forwarded to accounts payable.
At that time, the purchase order, receiving report, and invoice are matched together by an accounts payable clerk, and payment and journal entry information are input to the computer. Payment dates are designated in the input, and these are based on vendor payment terms. Company policy is to take advantage of any cash discounts offered. If there are any discrepancies among the purchase order, receiving report, and invoice, they are given to the supervisor for resolution. After resolving the discrepancies, the supervisor returns the documents to the appropriate clerk for processing. Once documents are matched and payment information is input, the documents are stapled together and filed in a temporary file folder by payment date until checks are issued.
When checks are issued, a copy of each check is used as a voucher cover and is affixed to the supporting documentation from the temporary file. The entire voucher is then defaced to avoid duplicate payments. In addition to the check and check copy, other outputs of the computerized accounts payable system are a check register, vendor master list accrual of open invoices, and a weekly cash requirements forecast.
Requirement:
Draw a context diagram and data flow diagram similar to those in figures 5-3 and 5-4 for the company’s accounts payable process using symbols in figure 5-2
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