Leighton Beridon owns "Jeemp Farms", located near Weimar, TX.The farm produces pecan trees and sod. He has so many orders fromthe Houston metropolitan area that he is able to sell all hisinventory each year, but he is not netting as much as he has inpast years. His daughter, Liesl Beridon, came home from collegeover Thanksgiving and mentioned ABC costing, which she learnedabout in her cost accounting class. Mr. Beridon does not reallyknow what ABC costing is and is skeptical as to whether it would beright for his business. He has hired your company to educate himabout ABC and whether or not he should use an ABC system. Over thenext few weeks, you will work towards helping Mr. Beridon decidewhat is the best route for his company to take. Shortly after youget started, Mr. Beridon sends you an email stating that he feelshe needs to discontinue the sod portion of his business and focuson his tree sector, as he can charge more per tree than he cancharge for a foot of sod. He sends you an email stating, "I cancharge so much more for a tree than a foot of grass. Therefore, Iam planning on discontinuing the sod portion of the businessimmediately as I make so much more on the trees! I am going toplant all my sod acres with trees". Write a 700- to 1,050-wordpaper plan for your boss explaining how you will analyze JeempFarms. Include the following: Prepare an argument convincing him tohold off on his decision and see the results of your analysisfirst. As you have not had time to do any analysis yet, you need toconvince Mr. Beridon to wait on whether to discontinue his sodbusiness. Project potential benefits Mr. Beridon could gain fromusing an ABC system. Explain how ABC creates these benefits. Yourteam is planning on conducting an analysis of whether ABC would bebeneficial to Mr. Beridon. Create a process for conducting thisanalysis. Include the following:

How could you apply the data in the company's generalledger?