Define contribution margin , gross margin, contribution margin percentage, variable-cost percentage and margin of safety.
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Contribution Margin
Contribution margin is an important element of cost volume profit analysis that managers carry out to assess the maximum number of units that are required to be at the breakeven point. Contribution margin is the profit before fixed cost and taxes...
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Contribution margin is calculated as revenues minus all costs that vary with respect to ...View the full answer
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Related Book For 
Management and Cost Accounting
ISBN: 978-1405888202
4th edition
Authors: Alnoor Bhimani, Charles T. Horngren, Srikant M. Datar, George Foster
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