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Explain the three different types of money demand.
Level of Activity
Level of activity refers to the volume of production or the rate at which a company operates, often influencing costs and operational strategy.
Cost Behavior
Cost behavior analyzes how different costs change or remain stable in relation to the level of production or business activity.
Managerial Decision Making
The process by which managers and leaders of an organization make choices and strategies to achieve organizational goals.
Relevant Range
The range of activity over which changes in cost are of interest to management.
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