Tom Is Responsible for Ordering Hardware for a Custom Home

question 56

Multiple Choice

Tom is responsible for ordering hardware for a custom home his company is building.The contractor installing the hardware is scheduled to start in 5 working days, but the hardware is on backorder and will not arrive for another 9 working days.Fortunately, Tom has 10 days of slack; however, he shares this slack with the hardware installer.He will have to let the contactor know that the hardware will be ready 4 days later than expected and that the slack for the installer has been reduced by 4 days.Tom and the installer share 10 days of

• A)Free Slack.
• B)Shared Slack.
• C)Total Slack.
• D)Critical Slack.
• E)Functional Slack.

---

Definitions:

Externalities Criteria

Standards used to evaluate the unintended consequences of economic activities on third parties not directly involved in the transaction.

Social Institutions

Structures and mechanisms of social order and cooperation governing the behavior of a set of individuals within a given human community.

Global Economy

The interconnected worldwide economic activities that determine the production, distribution, and consumption of goods and services.

Tax Exemption

A monetary exclusion that reduces the taxable income of an individual or organization, often granted by government policy.