Ian’s place sells pet supplies to dog and cat owners. To sell its products, the marketing department
requires sales personnel to call on the pet store retailers within their assigned geographic territories.
Salespeople have an application on their mobile phones that allows them to record sales orders and
send these sales orders directly to the company network for updating the company’s sales order file.
Each day, warehouse personnel review the current sales orders in its file, and where possible, pick
the goods and ready them for shipment. (Ian’s Place ships goods via common carrier, and shipping
terms are generally FOB from the shipping point.) When the shipping department completes a
shipment, it also notifies the billing department, which then prepares an invoice for the customer.
Payment terms vary by customer, but most are "net 30." When the billing department receives a
payment, the billing clerk credits the customer’s account and records the cash received.
1. Identify the resources, events, and agents involved in the revenue process at Ian’s Place.

Inventory – pet supplies sold to pet store retailers
Cash – generated from sales/sales order
Mobile phone app
Sales order files
Warehouse equipment
Record sales orders – done by salespeople using mobile phone app
Review sales orders – done by warehouse personnel using sales order files
Ready goods for shipment – done by warehouse personnel using warehouse equipment
Ship goods – done by shipping department personnel via common carrier
Receive payment – done by billing department personnel (cash received)
Notifying the billing department is not an economic event because there is not a transfer of
resources however it could be a business event because if the customers are not paying within
the payment terms it could generate a management decision as this effects cash available
Customers – pet store retailers
Warehouse personnel
Shipping department personnel
Billing department personnel