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Contribution Margin
The selling price per unit minus the variable cost per unit, reflecting the amount contributing to covering fixed costs.
Variable Cost
Costs that vary directly with the level of production or with the volume of services provided.
Fixed Costs
Constant expenses, such as rent, salaries, and insurance, that are not influenced by the quantity of production or sales.
Fixed Costs
Fixed costs are business expenses that remain unchanged regardless of the level of production or sales activity, such as rent, salaries, and insurance.
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