The slack values in the Answer Report can refer to either slack or surplus values based on the type of the inequality

Reiger Company had planned for operating income of $10 million in the master budget but actually achieved operating income of only $7 million.

a. The static-budget variance for operating income is $3 million favorable. b. The static-budget variance for operating income is $3 million unfavorable. c. The flexible-budget variance for operating income is $3 million favorable. d. The flexible-budget variance for operating income is $3 million unfavorable.

Purchase of Treasury Stock (company's own stock).

a. Operating b. Investing c. Financing d. Supplemental