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Segment Margin
The amount of profit or loss generated by a particular segment of a business, after accounting for the direct and indirect costs associated with that segment.
Segmented Income Statement
A financial statement that breaks down revenues, expenses, and profits by specific segments, such as product lines or geographic areas, within a company.
Variable Expenses
Variable expenses are costs that change in proportion with the level of activity or production volume, such as raw materials and direct labor.
Contribution Margin
The residual sum from sales income following the subtraction of variable costs.
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