1. Explain the difference between acquisition cost and book value.
2. As the IS, the best year financially for Alphabet Inc. (Google) was ______.Why?
   

Alphabet Inc. (GOOGL) INCOME STATEMENT ($ in millions) Fiscal year ended (FYE) 12/31/2015 12/31/2014 12/31/2013 Sales revenue EA 74,989 $ 66,001 55,519 Cost of goods sold (COGS) 28,164 25,691 21,993 Selling, general, admin expense (SGA) $ 15,183 $ 13,982 $ 10,986 Research and development expense (R&D) 12,282 9,832 7,137 Depreciation /amortization expense O Other operating expenses 0 O o O o Total operating expenses 27,465 23,814 18,123 Interest income (expense) 0 0 0 Other revenues (expenses) 291 763 496 Total nonoperating revenues and expenses 291 763 496 Provision for income tax 3,303 3,639 2,739 Nonrecurring items 0 0 0 Netincome $ 15,766 $ 12,094 $ 12,168