You want to create and manage your personal budget and think a database is the b

Question

You want to create and manage your personal budget and think a database is the best way to do it. You want to establish a budget based on several categories such as food, entertainment, travel, utilities, rent, and many more of your choosing. Your goal is categorize your purchases and track your spending habits. Then you want to establish a budget based on these categories. You will eventually import your monthly bank statements into your database to have access to all your transactions. Create an ERD for a database that can help you do this.

Explanation / Answer

Answer:

ERD database Key elements

Entities – An entity is a thing. In business domain terms, it’s a concept or glossary-level term. In relational database terms, it’s the table.
Relationships – The real insight from this type of diagram comes when we see how entities relate to one another, or relationships. Relationships can be thought of as verbs that link two or more nouns. Relationships can be modeled numerically, using the multiplicity syntax from a class diagram, or using Crows Foot Notation.
Attributes – Within each entity, there can be more than one attribute. Attributes provide detailed information about the concept. In a relational database, attributes are represented by the fields where the information inside a record is held.

Steps for creating an ERD database:

A.Create boxes for each entity or primary business concept relevant to your model.
B.Model the relationships between each by drawing lines to connect related entities. Label the relationships using verbs or a numeric notation. Crows Foot Notation is common for ERDs, but you can also use the multiplicity notation from UML’s Class Diagrams.
C.Identify relevant attributes within each entity. For a conceptual model, focus on the most important attributes. As your model evolves, make your attribute lists more specific.
D.Review your model with business and technical stakeholders.
E.Repeat until your domain is well-represented by your model.

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