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The first step in peg-type mnemonics is to
Net Income
The total profit of a company after all expenses, taxes, and costs have been subtracted from total revenue.
Sales
The total revenue generated from goods or services sold by a company.
Product Costs
Costs that are assignable to the production of goods, including direct materials, direct labor, and manufacturing overhead.
Period Costs
Expenses that are not directly tied to the production process and are recorded as expense in the period they are incurred, such as selling, administrative, and general expenses.
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