Answer to Question #291808 in Accounting for Jen

Question

Which of the three documentation methods (BPDs, flowcharts, and DFDs) would be most useful to management? To company accountants? To external auditors? To a software engineer developing a new system? For each person, explain your answer. Write a 100 word response.

Answer 1

Management needs DFDs

The data flow diagram (DFD) applies symbols to represent the entities, processes, data flows, and data stores. 

Software Engineer needs flowcharts

These are commonly used in developing business plans, designing algorithms and determining troubleshooting steps. Flow charts to provide people with a common language or reference point when dealing with a project or process.

An accounting flow chart represents a process using different symbols containing information about steps or business processes specifically designed for the area of accounting and financial department. This special type of flowchart contains the collection of standardized accounting elements and shapes which will help you design various types of Accounting Flowcharts that includes: Purchasing Process, Account Receiving Flowchart, Account Payable Flowchart among others.

External Auditors need BPDs

These are used in detecting errors in and making inferences from business representations.