I often stay at Trump's Taj Mahal. It is right on the boardwalk and has a great view of the ocean. They also have shuttle service to Trump Marina, Trump Plaza and the shopping outlets! They will definitely want to shop there! You can call to inquire as to the cost for the shuttle and rooms.
As for fun, other than the casinos I wouldn't venture out into the city. Many of the places in towns are closed after Labor Day. Wildwood (about a half hour drive) might have some clubs open. I would suggest looking into the clubs in AC (House of Blues, Borgata, Tropicana). House of Blues is two doors down and has a few events scheduled for that weekend (
http://www.hob.com/venues/clubvenues/atlanticcity/). The lounge in the Taj casino is hopping on weekend nights too. I am sure it is the same at Borgata (although they are somewhat isolated out by the marina). They could also check out Showboat (where the HOB is located) but I haven't stayed there myself.
I have stayed at Resorts. Some rooms are small in the tower closest to the beach; some are renovated and nice. If I had to choose, I would choose Taj over Resorts. Caesars is in the middle of things with their new pier shops. It's ok but nothing I would return to and not much for the younger crowd.