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16 CHAPTER 1 BUSINESS PROCESSES, DATA MODELING, AND INFORMATION SYSTEMS

1.2 A constlUction company always let its customers make installment payments. When the company
signs a contract with a customer, the customer is required to pay one percent of the total price as
down payment. So far, no customer has paid in full at once. Which set of cardinality correctly shows
this relationship?
(a) Sales (0,1) - (1,N) Cash receipts
(b) Sales (1,1) - (1,N) Cash receipts
(c) Sales (O,N) - (1,1) Cash receipts
(d) Sales (l,N) - (1,1) Cash receipts
1.3 A construction company only builds custom homes. So far, none of its customers has ordered two
houses at one time. Which set ofcardinality correctly shows the relationship between inventory and sales?
(a) Inventory (0,1) - (1,1) Sales
(b) Inventory (1,1) - (1,l) Sales
(c) Inventory (1,1) - (1,N) Sales
(d) Inventory (O,N) - (O,l) Sales
1.4 A grocery store accepts cash, checks, and credit card payments from customers. Which set of cardi-
nality conectly shows the relationship between sales and cash receipts?
(a) Sales (0,1) - (0,1) Cash receipts
(b) Sales (1,l) - (0,1) Cash receipts
(c) Sales (1,l) - (1,l) Cash receipts
(d) Sales (1,N) - (1,1) Cash receipts
1.5 A large company with several business lines has different types of bank accounts with a few banks.
Each business line has its own checking account for cash disbursements and cash receipts. Which
set of cardinality conectly shows the relationship between cash (bank accounts) and cash disburse-
ments for the company (not for each business line)?
(a) Cash (O,N) - (0, l) Cash disbursements
(b) Cash (O,N) - (1,1) Cash disbursements
(c) Cash (1,1) - (1,N) Cash disbursements
(d) Cash (1,N) - (1,N) Cash disbursements
1.6 A traditional book store just started its e-business using a Web site to take customer orders. Which
set of cardinality conectly shows the relationship between sales and salespeople?
(a) Sales (0,1) - (0,1) Salespeople
(b) Sales (0,1) - (1,1) Salespeople
(c) Sales (0,1) - (O,N) Salespeople
(d) Sales (1,1) - (1,N) Salespeople
1.7 A real estate company has many agents buying and selling residential properties and business sites.
The company has quite high turnover rates of these agents. Which set of cardinality correctly shows
the relationship between sales and agents?
(a) Sales (0,1) - (0,1) Agents
(b) Sales (1,1) - (0,1) Agents
(c) Sales (1,1) - (O,N) Agents
(d) Sales (1,1) - (l,N) Agents

1.8 A retail company would like to store information about current and potential vendors who supply
inventories to the company. 'Which set of cardinality correctly shows this relationship?
(a) Inventory (1,l) - (O,N) Vendor
(b) Inventory (1,N) - (1,N) Vendor