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Which of the following are most likely to create excessive optimism and encourage risk taking?
Unit Product Cost
The total cost associated with producing one unit of a product, including direct materials, direct labor, and allocated overhead.
Net Operating Income
A business's income after deducting operating costs, not including taxes or interest.
Break-even Points
The level of sales at which total revenues equal total costs, resulting in no profit or loss.
Break-even Sales
Break-even sales represent the amount of revenue needed to cover all fixed and variable costs, indicating the point at which a business neither makes a profit nor incurs a loss.
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