For each of the following situations, explain which method of valuing the item in question would be most useful:

a. You lost your accounting textbook and need to get another copy so you can study for the midterm exam.

b. You are planning to sell your textbooks from last year and want to estimate how much you will receive.

c. A photo album with irreplaceable pictures of your family was destroyed in a flood in your basement.

d. Your 2004 Ford Mustang was stolen and you are looking to get another one just like it.

e. You purchased a DVD player from a store that had a special sale offering to let you “use for a year and if you don’t like it you can get your money back.” You decide you don’t like the DVD player.

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Measurement method Cost Replacement cost Replacement cost new Net realizable value Explanation of the method What you paid for the item. What it would cost to replace the item with an identical item in the same condition. What it would cost to replace the item with an identical item that is new. What the item could be sold for now.