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Component
A part or element of a larger system, device, or piece of equipment that is essential to its function.
Variable Expenses
Costs that change in relation to the level of activity or volume of production.
Fixed Expenses
Costs that do not vary with the level of production or sales over a short period, such as rent and salaries.
Relevant Costs
Future costs that will differ under various alternatives, considered important for making financial decisions.
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