ABC (or ABM; activity based management) is one of most popular costing and cost management technique (tool) that have been developed and implemented lately by industry leaders, as a new trend in cost management /managerial accounting.

Theory of Constraints (TOC) is an other one as the love story business novel,"The Goal"book is based on. (some of you have decided to do the book review term paper as an optional extra-credit coursework).

Please research these three topics and post your own comments and opinions, as you go through reading of your textbook chapter content.

Regarding new trend and practice in managerial and cost accounting and cost management field, here is a three-part question for your thoughts and for our good class discussion:

Part A:What is thevalue chain? Describe, in sequence, the main components of a manufacturer's value chain.

Part B:What isABC (activity-based costing), and what are its potential benefits?