Examlex
Which one of the following statements is not correct?
Variable Cost
Costs that vary directly with the level of production or sales volume, such as raw materials and direct labor.
Unit Contribution Margin
The difference between the selling price per unit and the variable cost per unit, showing how much each unit contributes to covering fixed costs and earning profit.
Operating Income
The profit earned from a firm's normal core business operations, excluding deductions of interest and taxes.
Fixed Costs
Expenses that do not change in proportion to the volume of goods or services a company produces.
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