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In a Multi-Step Income Statement,which of the Following Items Is

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In a multi-step income statement,which of the following items is excluded from the calculation of operating income?


Definitions:

Total Variable Cost

The total of all costs that vary with the level of output, including materials, labor, and other expenses that increase as production increases.

Total Cost

The sum of fixed cost and variable cost.

ATC

Average Total Cost, which is the total cost of production divided by the quantity of output produced, encompassing both fixed and variable costs.

Plant Size

The physical capacity or output potential of a manufacturing or production facility.

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