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Cost Structure
The composition of a firm's fixed and variable costs, used to understand the financial impact of its operations and pricing strategies.
Unit Product Cost
The total cost to produce one unit of a product, including direct labor, direct materials, and allocated overhead expenses.
Operations
Refers to the day-to-day activities involved in the running of a business that are essential for producing and delivering goods or services.
Variable Costing
An accounting method that includes only variable costs—direct materials, direct labor, and variable manufacturing overhead—in product cost calculations.
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