Final answer:
A context diagram establishes the system's boundary and interactions with external entities and is rightly described by option C. It differs from a free-body diagram of physics, which shows only the external forces acting on a system without internal forces, acceleration, or velocity.
Step-by-step explanation:
The correct statement that describes a context diagram is option C: "The context diagram description establishes the boundary and connections between the system you're developing and everything else in the universe." A context diagram is a high-level, informal tool that establishes the scope of the system to be developed by showing the system's boundary and its interactions with external entities, which can be other systems, users, or external processes. It is not as detailed as other diagrams that may show specific interactions or data flows, like a system flowchart does.
On the other side, free-body diagrams are used in physics to represent the forces acting on a system of interest. Only the external forces are considered in a free-body diagram, and internal forces, acceleration, or velocity are not displayed. While context diagrams and free-body diagrams are both tools for visualizing systems, they are used for different purposes and fields.