Contribution margin is calculated by deducting: (a) Variable costs from revenue (b) Variable costs and controllable fixed

Question:

Contribution margin is calculated by deducting:

(a) Variable costs from revenue

(b) Variable costs and controllable fixed costs from revenue

(d) Fixed costs from revenue

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...