What is Contribution?

Answer Posted / akanksha saini

In cost-volume-profit analysis, a form of management
accounting, contribution margin is the marginal profit per
unit sale. It is a useful quantity in carrying out various
calculations, and can be used as a measure of operating
leverage. Typically, high contribution margins are prevalent
in the labour-intensive tertiary sector while low contribution
margins are prevalent in the capital-intensive industrial
sector.

Is This Answer Correct ?    2 Yes 0 No



Post New Answer       View All Answers


Please Help Members By Posting Answers For Below Questions

Tell me where do generally accruals appear on the balance sheet?

506


1)What is E-1 Sales (Sales in Transit) Full Guidence From Issue to receipient. 2) What is F Form How Are procedure

1358


Do you have any professional experience in this field?

642


What is the definition(meaning) for the Final accounts adjustment 'Uninsured goods lost fire'?

1181


how can we get a leaverage in intraday market if are not a professional acount holder?

1655






Under the accrual basis of accounting, when revenues are reported in the accounting period?

568


please inform me , how to make employee ladger account of salary...please inform me with entry..e.g if we give 14000 salary, as structure we put it half amount in advance and half is salary so in this case how to make entry in employee ledger account...please inform me...both things..Thank You.

4249


how many times we can deposit the old currency in one a/c in the bank

1708


What does it mean to do accounting training outside of public practice?

668


how sales invoices adjusted against advance received from Debtor?

1481


6. Your grandfather is 75 years old. He has total savings of Rs.80,000. He expects that he live for another 10 years and will like to spend his savings by then. He places his savings into a bank account earning 10 per cent annually. He will draw equal amount each year- the first withdrawal occurring one year from now in such a way that his account balance becomes zero at the end of 10 years. How much will be his annual withdrawal?

1578


Hey can any body tell me..What are negative assets?

1614


Do you think accounting standards are mandatory and why?

696


How Many Accounting Principale

1343


what is the enty for contract bill raised?

1820