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Definition: Function Point Analysis
Function Point Analysis is used to measure the size of the software- the functionality the software should provide is used to measure the size of the user functions of the software in terms of business transactions and business data. It represents logical view of the size of the user functions. Hence, it evaluates the capabilities of the system from the user point of view.
These user functions consist of Logical files and transactions.
This logical file can be internal (residing within the application boundary) or external ( for use as reference).
Transactions are consecutive in nature and can be either External Input (data moves from outside to inside), External Output (data moves from inside to outside) or External Enquiry types (retrieved data moves from inside to outside).
Functional Point analysis is easy to use, supports communication and helps understand the size of the functionality better.