Contribution margin per unit represent the contribution earned i.e. income remained after deducting variable cost per unit. It is different from profit margin in the way that it is the difference between sales and all types of variable cost. Whereas in profit margin, all types of cost are considered including fixed cost. To determine: Contribution margin per unit

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Chapter 21, Problem 8DQ

To determine

Introduction:

Contribution margin per unit represent the contribution earned i.e. income remained after deducting variable cost per unit. It is different from profit margin in the way that it is the difference between sales and all types of variable cost. Whereas in profit margin, all types of cost are considered including fixed cost.

To determine:

Contribution margin per unit

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