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CVP Analysis of Article on

Company is Starbucks.

Review the following site for a summary of the computation of contribution margin.
Calculating the Break-Even Point and the Contribution Margin, Retrieved October 28, 2008 from:
This site is a detailed slide presentation of cost-volume-profit analysis.
Cost-Volume-Profit-Analysis, Retrieved October 28, 2008 from:
Review this site for a discussion on the preparation of a contribution form of income statement.
Contribution Margins, Retrieved October 28,2008 from: ttp://
Click here for two simple income statments in Excel format. Note that more detail may be required in the case.
For additional insight and background information, refer to the following article in the library. It gives a detailed example of the application of contribution margin to real-world decision making.
Quain, B., Sansbury, M.W., LeBruto, S.M. (1999) Revenue Enhancement, Part 4, Cornell Hotel and Restaurant Administration Quarterly, 40(3):38-47.


Solution Summary

The answer clearly explains the concept of CVP analysis, Break even point and also reviews the article publised in