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Most people believe that the underlying causes of many companies' problems can be traced to its organizational structure.
Incremental Revenues
The additional income generated from a new product or service or as a result of making changes to an existing operation.
Fixed Overhead
Regular, predictable costs that do not vary with the level of production or sales, such as rent, salaries, and insurance.
Variable Overhead
Costs that vary directly with the level of production or business activity.
Direct Labor
The workforce directly involved in manufacturing products or delivering services, whose costs are directly attributable to the production.
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