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Which of the following costs is classified as a prime cost?
Special Molds
Custom-designed molds used in manufacturing processes to produce unique product shapes or designs.
Variable Costs
Expenses that change in proportion to the activity of a business, such as the cost of raw materials used in production.
Unit Product Cost
The cost associated with producing a single unit of a product, including all direct and indirect costs.
Contribution Margin
Contribution Margin represents the portion of sales revenue that is not consumed by variable costs and contributes to covering fixed costs.
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