Contribution Margin
Contribution margin is the difference between the selling price per unit and variable costs per unit. In other words, it is equal to fixed costs plus profits.
-
Cost Accounting and Cost Management
What is Contribution Margin? Meaning and Calculation
The contribution margin is the amount by which the selling price of a product exceeds its total variable unit costs.…
Read More » -
Cost Accounting and Cost Management
Difference between gross margin and contribution margin
Contribution margin vs gross margin. This is a matter of great confusion among many accounting students. Most of them think…
Read More »