Exercise 13-1 [Managerial]

construct an essay comparing and contrasting traditional and activitybased costing (ABC) systems. How do ABC systems provide value to a business's management?

Exercise 13-5 [Financial]

construct an essay discussing the various valuation bases used in GAAP, for example, historical cost, fair market value, liquidation value, replacement value, depreciated or amortized cost, and so on. For each basis in your discussion, cover its definition, describe in general terms when it is proper to use it, and critique the advantages and disadvantages of its use. Address the issue of why we should (or should not) use so many different valuation bases in GAAP. Is it accurate to claim that GAAP is still based on historical cost?