Ask Question
22 July, 13:22

Contribution margin is a. the excess of sales revenue over variable cost b. another term for volume in cost-volume-profit analysis c. the same as sales revenue d. profit

+2
Answers (1)
  1. 22 July, 13:38
    0
    a. the excess of sales revenue over variable cost

    Explanation:

    The contribution margin shows a difference between the sales revenue and the variable cost

    And, the same formula is applied for calculating the contribution margin per unit

    i. e

    Contribution margin per unit = Selling price per unit - Variable expense per unit

    In mathematically,

    Contribution margin = Sales revenue - variable cost

    Therefore, the correct answer is a.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Contribution margin is a. the excess of sales revenue over variable cost b. another term for volume in cost-volume-profit analysis c. the ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers