Final answer:
In Computers and Technology, particularly System Analysis and Design, the correct term for a person, place, or thing within a system that transforms data is an 'internal entity'.
Step-by-step explanation:
A person, place, or thing within a system that transforms data is commonly referred to as an internal entity. In System Analysis and Design, which falls under the purview of Computers and Technology, a system is defined by the boundaries of an object or collection of objects being observed. The person, place, or thing that processes data within these boundaries is called an internal entity. This is distinct from an external entity, which originates outside the system, and a data store, which retains data for later use. Understanding the role of internal entities is crucial in designing and analyzing systems, particularly in the context of data flow diagrams where these entities are represented and their interactions with the rest of the system are depicted.