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Variable Costing
An accounting method that includes only variable costs—costs that change with production levels—in the calculation of cost of goods sold and excludes fixed costs.
Net Operating Income
The total earnings from a company's operations after deducting operating expenses but before interest and taxes.
Net Operating Income
The profit a company makes after deducting operating expenses from gross profit, not including income and expenses from investments and interest.
Variable Costing
An accounting method that only considers variable costs in determining the cost of products.
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