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After Jeff is expelled from school for missing too many classes, he seeks help from a therapist. The therapist develops a contract that specifies that if Jeff attends all his classes, he will be allowed certain privileges at home; but if he cuts classes he will be subject to certain penalties. Jeff's therapist is probably a ________ therapist.
Variable Components
Variable components are costs or elements of a product, service, or project that change in proportion with the level of activity or volume.
Fixed Components
Parts of a budget or costs that remain constant regardless of the level of production or business activity.
Direct Materials Cost
The cost of raw materials that are directly traceable to the manufacturing of a product.
Break-Even Point
The level of production or sales at which total revenues equal total expenses, resulting in no net loss or gain.
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