"Cookie jar reserves" can best be described as:.A) Buying a lot of chocolate chip cookies, storing them for when you have a hunger attack, and then releasing them into your stomach B) Accelerating the recording of revenues into an earlier year than is warranted C) Overstating or understating allowances and reversing amounts in the future to smooth out net income over time D) Delaying the recording of expenses to a later year to boost income in the current year

Activity-based costing (abc) is not truly a cost collection mechanism as much as it is an inventory valuation method. the main purpose for implementing an activity-based cost system is to try to overcome some of the cost distortions that occur in traditional costing from product differences when there are variations in size and complexity. however, one of the disadvantages of utilizing abc is that the additional information gathering necessary to implement costing with that level of detail might be beyond the reach of some companies with resource or financial constraints. with this in mind, what kinds of industries or companies do you think would benefit most from using activity-based costing and why? in designing or modifying an accounting system to capture appropriate costs for abc, what considerations do you think would need to be made?