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In the quantity discount model,the cost of acquiring goods (product cost)is not a factor in determining lot size.
Break-even
The point at which total revenues and total expenses are equal, resulting in no net loss or gain.
Monthly Dollar Sales
The total sales revenue earned by a business within a month, measured in dollars.
Variable Expenses
Costs that change in proportion to the activity of a business, such as sales or production levels.
Fixed Expenses
Costs that do not change in total despite fluctuations in the volume of goods or services produced or sold.
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