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Under the regular (actual expense) method, the portion of the office in the home deduction that exceeds the income from the business can be carried over to future years.
Total Product Curve
A graphical representation showing how the total output of a firm changes as the amount of a single input is increased, holding other inputs constant.
Marginal Product
The additional output generated by increasing one unit of a specific input, keeping other inputs constant.
Labor
The human effort, both physical and mental, used in the production of goods and services.
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