activity-based costing

1. What is activity-based costing (ABC)? Why is it important (if at all)?
2. What is meant by cost-estimating relationships (CERs)? How are they determined?
3. In the evaluation of alternative design configurations, an individual cost profile is developed for each. These individual profiles must be reviewed and evaluated in terms of some form of “equivalence.” Briefly describe the steps you would follow in accomplishing such.