Examlex
The value of any asset can be described as the present value of the cash expected to be generated by the asset during its life.
Contribution Margin
The amount by which a product's sales price exceeds its variable costs, indicating how much contributes to covering fixed costs and generating profit.
Machine Hour
A measurement of production time, counting one hour of operation of a machine or a piece of equipment for manufacturing purposes.
Sales Margin
The difference between the selling price of a product and the cost of goods sold, expressed as a percentage of sales, indicating the profitability of a product.
Fixed Costs
Expenses that do not change with the level of output or sales, such as rent, salaries, and insurance premiums.
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