Use the information in Table 10.5. How much total slack is generated from the schedule?

The theory of transaction cost analysis states that:

A. Short-term increases in sales volume will eliminate any switching costs acquired as the result of replacing an independent agent with an internal sales force B. The costs of product failure will be minimized with the use of an independent agent and maximized with an internal sales force C. When substantial transaction-specific assets are necessary to sell a manufacturer's product, the costs of using and administering independent agents is likely to be higher than the costs of hiring and managing an internal sales force D. Costs of using and administering independent agents tend to rise faster as the manufacturer's sales volume increases E. When substantial transaction-specific assets are necessary to sell a manufacturer's product, the costs of using and administering independent agents is likely to be lower than the costs of hiring and managing an internal sales force

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