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Contribution Margin

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The contribution margin equals________.

revenues minus manufacturing support costs, revenues minus total manufacturing costs, revenues minus flexible (varible) costs, or revenues minus capacity-related (fixed) costs

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Solution Summary

This solution calculates the Contribution Margin using revenues, manufacturing support costs, total manufacturing costs, flexible (varible) costs, and capacity-related (fixed )costs.

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The contribution margin equals revenues minus flexible (varible) costs

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Solution provided by:
Umut Oltulu, MBA
Education
  • BSc, Dokuz Eylul University
  • MBA, Texas A&M University-Kingsville
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