Contribution margin is an important method of not only understanding how profitable a business is, but also how its products and services contribute to the bottom line. It’s important to understand that contribution margin is different from profit margin, since profit margin measures the total amount of sales revenue minus costs. Instead, contribution margin measures the profitability of each individual product or service after subtracting variable costs.
Contribution Margin Formula & Definition
Posted by Exit Promise under FinanceFrom https://exitpromise.com 2249 days ago
Made Hot by: sundaydriver on March 4, 2018 11:59 am
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