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Performance is generally better on event-based tasks than time-based ones primarily because:
Net Operating Income
A company's revenue minus its operating expenses, not including taxes and interest.
Fixed Manufacturing Overhead
The total of all production costs that do not change with the level of production output, such as salaries of managers, rent, and property taxes.
Variable Costing
Variable Costing is an accounting method that only assigns variable costs to inventory, treating fixed costs as period expenses.
Contribution Margin
The amount remaining from sales revenue after variable costs have been deducted, indicating how much contributes to covering fixed costs.
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