SAN MATEO MUNICIPAL COLLEGE

General Luna St., Guitnang Bayan I, San Mateo, Rizal

Tel. No. (02) 997-9070
www.smmc.edu.ph

ACCOUNTING INFORMATION SYSTEM

Midterms Activity

Understanding a Relational Database

Vid. Co. Enterprises manufactures and sells specialized electronic components to customers across the
country. The tables presented below illustrate some of the records in its accounting databases. Thus, for example,
the Sales by Inventory Number records show detailed sales data for each of the company’s inventory items, and
the Customer Payments records indicate customer cash payments, listed by invoice number. Use the information
in these tables to answer the following questions.
Sales by Inventory Number Sales by Invoice Number
Invoice Price per Invoice Salesperson
Item Number Quantity Amount Customer Number Date
Number Item Number Number
I-1 V-1 1 2,000 V-1 7,200 C-1 S-12
V-3 1 2,000 V-2 10,000 C-2 S-10
V-6 3 1,575 V-3 16,000 C-5 S-10
I-2 V-5 2 3,000 V-4 10,000 C-2 S-10
V-6 10 3,500 V-5 16,600 C-5 S-10
I-3 V-3 6 1,000
V-6 35,000 C-3 S-10
I-4 V-1 2 600
V-7 23,000 C-4 S-11
V-5 2 300
I-5 V-3 2 4,000
Sales by Salesperson
V-7 3 3,000
I-6 V-2 2 5,000
Salesperson
Quarterly Sales Commission Rate
V-4 2 5,000 Number
V-5 2 5,000 S-10 ? 0.1
V-7 2 7,000 S-11 ? 0.1
S-12 ? 0.12
S-78 0 0.08
Customer Payments
Customer Data
Remittan
Invoice
ce Advice Amount
Number
Number Customer Accounts Salespers
Customer Name
Number Receivable Amount on
V-1 R-3 7,200 C1
V-2 R-1 1,666 C2
V-2 R-5 1,666 C2 C-1 DDS Inc. ? S-12
V-3 R-4 16,000 C5 C-2 Yellow Construction ? S-10
V-4 R-2 10,000 C2 C-3 Mabadera Corp. ? S-10
V-5 R-4 16,600 C5 C-4 J&J Firm ? S-99
C-5 Z Land Inc. ? S-10

Requirements
1. The Sales by Inventory Number records are listed by inventory item number. How is this useful? Why might this
information also be useful if it were listed by invoice number instead of inventory number?
2. In the Sales by Invoice Number, invoice V-3 shows a sales amount of ₱16,000. What was the name of the
customer that made this purchase? What specific inventory items did this customer purchase? How much did this
customer pay for each item?
3. Customers can choose among one of three payment options: (1) 5% discount if immediate cash payment, (2)
2% discount off list amount if total invoice paid by the fifteenth day of the month following purchase, or (3)
deferred payment plan, using six monthly payments. Which option does Yellow Construction appear to be using
for invoice V-2?
4. Using just the information provided, what are the quarterly sales amounts and their commission for
salespeople S-10, S-11, and S-12?
5. Assume that customers C-1 through C-5 began this quarter with net accounts receivable balances of zero. What
are their balances now?