Examlex
The preferred hierarchy of environmental supply chain strategies is:
Variable Costing
A costing method that includes only variable production costs (materials, labor, and overhead) in product costs.
Net Operating Income
This represents the total profit of a company after subtracting operating expenses, excluding taxes and interest.
Variable Costing
An accounting method that considers only variable costs as product costs, with fixed costs treated as period costs.
Net Operating Income
A measure of a company's profitability, calculated by subtracting operating expenses from operating revenue.
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