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Consideration should be given to providing patients with food that provides:
Fixed Expenses
Costs that do not change with the level of production or sales volume, such as rent and salaries.
Variable Expenses
Expenses that vary directly with the level of production or sales volume, such as raw materials and direct labor costs.
Net Income
The profit of a company after all expenses, taxes, and costs have been subtracted from total revenue.
Total Contribution Margin
The difference between total sales revenue and total variable costs, representing the amount available to cover fixed expenses and generate profit.
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