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An aggregation of cells and extracellular materials which perform a discrete function is known as

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Tissue

Explanation:

It is the basic structural and functional unit of life. It is the smallest functional unit inside the body.

Tissues are called cells that aggregate together to form tissues that function together.

It ranks second to the level of organization in a living organism.

A group of tissues work together to make the organ functional. Example: Adipocytes are the cells that combine to form adipose tissue.