202k views
3 votes
Which of the following statements regarding master data are true?

1) Master data are a consequence of the execution of process steps
2) Master data represent entities such as customers and vendors

1 Answer

2 votes

Final answer:

The true statement about master data is that it represents entities such as customers and vendors. Master data is crucial non-transactional information that remains constant over time and enables business process steps.

Step-by-step explanation:

The statement that master data represent entities such as customers and vendors is true. Master data is a core set of information that is essential and non-transactional in nature. This data generally remains stable over time and includes details about customers, products, employees, vendors, and more. Contrary to this, master data is not a consequence of the execution of process steps; instead, it enables process steps in business operations. Master data are used throughout an organization to provide a consistent reference for business processes, and they form the backbone of an enterprise's information landscape.

User Andy Hopper
by
7.4k points
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.