This phrase is an idiom, meaning its figurative sense is different from the literal meanings of its words. Our new software sliced through data analysis like a knife through butter.
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Visual Imagery
Imagine how easily a hot knife would cut through butter to grasp the ease implied in tasks or actions. The experienced skier went down the slope like a knife through butter.
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Informal Tone
Typically used in casual or informal situations, not in formal writing or speeches. She handled the negotiations like a knife through butter.