Valuing Assets. Joe Fisher, the president of Hoosier Company, has returned from an executive management seminar. He sees you in the office coffee lounge and says, "As I read and hear more and more on valuing assets, I am increasingly bewildered by the 'language of accounting.' Yes, I understand historical cost and its problems. But you accountants also mix and match terms like market value, replacement value, economic value, present value, opportunity value, disposal value, entry value, and more values! You seem to have extra time since I see you here in the lounge a lot. Maybe you could help clear up this confusion for me by describing how these terms can help us to make decisions about divisional performance and about keeping or selling these assets and to inform our shareholders about our performance."

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Respond to the president's request.