Question: Compare the contribution margin with the gross margin.

Compare the contribution margin with the gross margin.

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Contribution margin and gross margin are two important financial metrics used to evaluate the profitability of a company While both metrics relate to a companys revenue and costs they differ in how they are calculated and what they represent Gross margin is the difference between a companys revenue and its cost of goods sold COGS It is expressed as a percentage and represents the profit ... View full answer

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