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Organizational customers are likely to prefer functional departmentation rather than product departmentation.
Contribution Margin
The amount by which sales revenue exceeds variable costs, used to cover fixed costs and generate profit.
Sales Mix
The composition of different products or services sold by a business, affecting overall sales volume, revenue, and profit margins.
Special Order
An order for goods or services that is unusual or not standard, often requiring a unique setup or production process.
Fixed Overhead
Regular, ongoing costs associated with operating a business that are not directly tied to production levels, such as rent and salaries.
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