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1. Explain why it is important to consider the concepts of value and value creation in a
textbook about cost accounting
– Value translates into how we perceive certain objects through the process of
creating goods. Value creation would refer to the performance that increases
the value of its goods. Value and value creation help any business in setting a
focus to achieve goals.
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2. Distinguish among the value chain, the supply chain, and the distribution chain.
a. Value chain is the process of creating goods from raw resources. Supply chain is
the businesses ones’ business works with in receiving resources to create a good.
Distribution chain is the process of distributing goods from the business to
consumers and/or retailers.
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3. Who are the customers of cost accounting?
a. Managers
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4. Financial or cost accounting
a. Financial accounting
b. Cost accounting
