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When Rebecca and Julie worked together on a project last year, both did more than their share and earned a nice bonus from their boss. Julie was then sent to another state to help set up a new office over the summer, and from her messages on social media, Rebecca could tell that she was working harder than ever. In the fall, when Julie returned to her home office, Rebecca suggested that they work together on a new project. This time, however, things did not go well: Julie seemed to lose interest quickly, and Rebecca began to feel resentful when she realized that she was doing most of the work. What most likely happened?
Variable
A quantity that can change or vary, often used in mathematics and statistical analysis as well as in economic models to represent changing economic indicators.
Fixed Cost
Costs that do not vary with the level of production or sales over a certain range, such as rent, salaries, and insurance.
Direct Materials
Direct materials are raw materials that are directly traceable to the manufacturing of a product and are a significant component of its cost.
Fixed Costs
Costs that remain constant in total regardless of changes in the level of activity or volume of production.
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