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Positional traction is used to:
Absorption Costing
An accounting method that includes both variable and fixed production costs in the cost of goods sold.
Total Gross Margin
A financial metric that measures the difference between revenue and the cost of goods sold, indicating the profitability of sales before deducting operating expenses.
Variable Costing
A method of inventory costing that includes only variable manufacturing costs - direct materials, direct labor, and variable manufacturing overhead - in the cost of a product.
Net Operating Income
Income from a company's operations, calculated by subtracting operating expenses from operating revenue, excluding income and expenses from non-operating activities.
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