Intel iMac w/fresh install still runs like a single task machine

I did a fresh install of OSX Leopard, immediately followed by the Snow Leopard upgrade. Ran the Software Updater and installed all updates. My machine still runs one task ok, but forget about multi-tasking. I see the beach ball more often than not. I have run the Tech Tool (prior to the fresh install) and have checked the hard disk via the disk utiility. All say the machine is fine. It feels like one processor isn't functioning. I do have AppleCare, but hate dragging it up to the store if I don't have to. Any help is greatly appreciated. Thank you.

If you are doing fresh clean install, I don't see the need to go back to Leopard.
Reading between the lines, you have 2008 iMac with dual core? 1-2GB RAM?
As for TechTool, I'd upgrade to TechTool Pro 5.x that is compatible.
Nothing that sounds like hardware malfunction to me.
To test a hard drive, boot from another hard drive - you can verify but that isn't as helpful. And Disk Utility doesn't even find problems that can interfere.
Monitor Activity Monitor for what is going on.
http://support.apple.com/kb/HT1342
http://homepage.mac.com/joemikeb/ActivityMonitor.htm

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