Listed below are the activities of Tammy's Toy Store. Identify the level at which each activity would be classified in the cost hierarchy used with ABC. Indicate each activity as unit level (UL), batch level (BL), product level (PL), or facility level (FL). _____
a. Designing a new product
_____ b. Using direct materials
_____ c. Setting up equipment
_____ d. Maintaining a building
_____ e. Assembling the product
_____ f. Receiving raw materials
_____ g. Handling materials
_____ h. Cleaning up processing area
a. PL e. UL
b. UL f. FL
c. BL g. BL
d. FL h. BL
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Which of the following is true of a box spread?
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