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Capital Intensive
Describes industries or businesses that require large amounts of money and equipment to produce goods or services.
Variable Costs
Expenses that fluctuate in direct proportion to changes in productive output or other measures of volume.
Operating Leverage
Operating leverage refers to the extent to which a company can increase its operating income by increasing revenue, highlighting the proportion of fixed costs in a company's cost structure.
Capital Intensive
A business process or industry that requires significant financial investment in capital assets like machinery and equipment, versus labor or operational costs.
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