Regarding ENTITY bean local interfaces

Hi all,
I have a component session bean - containing a number of service methods for creating, retrieving, updating & deleting instances of a related entity bean. This session bean is used by another session facade bean, which invokes the various service methods in some sequence to complete a major task.
In the component session bean, the retireve methods return the local interface of the entity bean - on which it operates. The update methods accespt local interfaces of entity bean which can be directly updated.
My question is : Is it a right approach to pass the entity bean instances between method calls.
Thanks in advance,
Baskar

Your pointers regarding pt 2 was nice. Thanks.
This being my first J2ee design, I'am just collecting as much information as possible to stay confident.
Later, I started thinking a bit more regarding pt 1.
Where, I decided using individual session beans for different components(representing unique functionalities).
i.e,, I'am just thinking, should I use individual session beans for each of these different components.
What if I use standard java classes - implementing pre-defined interfaces for each of these components & use the components through these interfaces in session facade.
Now, I'll be using entity bean creates/retrieves/updates/deletes from inside normal java classes.
I thought, this would obviate the need for JNDI lookups - each time I want to use the components in my session facade.
But, I'am not sure of where this will impact..As far as I can visualize, this seems to be normal. Please share ...your thoughts regarding this. (something regarding transactions ??)

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