The following procedure performed by a food wholesaler is the best example of a unit level activity within a customer cost hierarchy:
A) Calling a retail customer to inquire if the customer is satisfied with the wholesaler's service
B) Driving the delivery truck to the retail customer's store
C) Sending the retail customer a bill for a recent order
D) Stacking items on the shelf of a retail customer's store

Question

Quizplus · Accepted Answer

In a customer cost hierarchy, activities are classified based on units, orders, customers, and facilities. A unit-level activity is one that is performed for each unit sold. Therefore, stacking items on the shelf is unit-level activity. Calling a customer is customer-level, and driving a truck to the customer's store and sending a bill for a recent order are both order-level activities.

The Following Procedure Performed by a Food Wholesaler Is the Best