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Briefly describe the process of activity-based costing.
Net Operating Income
The profit generated from a company's regular, core business operations, excluding deductions of taxes and interest.
Unit Product Cost
The total cost (direct materials, direct labor, and overhead) divided by the number of units produced.
Variable Costing
A costing method that includes only variable manufacturing costs - direct materials, direct labor, and variable manufacturing overhead - in the cost of a product.
Unit Product Cost
The total cost assigned to a single unit of product, including direct materials, direct labor, and allocated overhead.
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