Define Contribution margin? Give three examples?

Q: What is cost-allocation base? Give three examples?

A: Costing: Costing is a technique used in cost accounting to determine the cost of a product. With the…

Q: Define cost-volume-profit analysis?

A: Cost-Volume-Profit Analysis (CVP Analysis): CVP Analysis is a tool of cost accounting that measures…

Q: contribution margin

A: Number of units sold Sales/Selling price $880000/$55 = 16000

Q: Define and explain the contribution margin.  Include the difference in fixed and variable costs in…

A: Contribution margin may be defined as the amount of profit generated when only the cost of goods…

Q: What is the contribution margin percentage?

A: Contribution Margin: The Contribution Margin is also can be treated on a gross or per unit basis.…

Q: Define cost object and give three examples?

A: A cost object can be defined as something to which the management feels the need to seperately…

Q: What are the three ways contribution margin can be expressed?

A: Contribution Margin: The process or theory which is used to judge the benefit given by each unit of…

Q: Describe three alternative cost-plus pricing methods.

A: Target Costing:Target costing refers to the cost that is ascertained as per the needs and wants of…

Q: What is the Contribution Margin?

A:

Q: What Is the Benefit-Cost Ratio Calculation?

A: Benefit-cost ratio: It can be defined as a financial ratio that shows a relationship between the…

Q: Define cost tracing? Give three examples?

A: Cost tracking: Cost tracking means the historical record of all the information of cost as it is…

Q: n be obtained from this rating?

A: Given: To analyse the cost classification with the benefits as follows,

Q: a. Define and explain contribution margin on a per unit basis.

A: Contribution margin is the amount of sales revenue over and above it's variable costs in the…

Q: e contribution margin percentage?

A: Contribution Margin % = (( Sales Revenue - Variable cost )/(Sales revenue ) ) * 100

Q: contribution margin ratio

A: The contribution margin is the amount left after subtracting the variable costs from the selling…

Q: What is interpretation of the usefulness of the contribution margin concept?

A: Contribution margin The additional profit gained for each unit sold is calculated by subtracting the…

Q: What are the two components that can affect the contribution margin? Why is it important to…

A: The two components that can affect contribution margin: 1) Number of units sold. 2) Price / cost per…

Q: Describe three alternatives of cost-plus pricing methods?

A: Cost-plus pricing is a method in which the selling price is set by evaluating all variable costs a…

Q: What is cost allocation? Give three examples?

A: Cost allocation :Cost allocation is the allocation of cost to several cost objects such as…

Q: what is the definition and significance of contribution margin ratio

A: Contribution margin ratio Contribution margin ratio is also profit-volume ratio. It helps us to…

Q: How can we calculate the Total Present Cost for the Base Case and Alternative?

A: The question is based on the concept of calculation of cost benefit analysis of base case and…

Q: What is a standard cost? Explain? Give an example?

A: Standard Cost: Standard cost is the benchmark amount of per unit product, per unit input or per unit…

Q: How is contribution margin calculated? What about contribution margin ratio? Aren’t they the same…

A: Subtracting the selling price per unit from the variable cost per unit yields the contribution…

Q: How is contribution margin calculated?

A: Contribution margin means sales revenue over and above the variable costs of production and selling…

Q: Discuss the FOUR basic steps in benefit-cost analysis, which aspect of benefit-cost analysis would…

A: Cost-benefit analysis or CBA is referred to as the prices, which helps in measuring the benefits of…

Q: Write the equation for the Contribution margin?

A: Cost volume profit analysis: CVP analysis established the relation between cost, volume, and profit…

Q: What does the Contribution margin equation express?

A: Break Even Point:                 Break Even Point is defined as the level where there is no profit…

Q: Define cost pool with three examples?

A: Cost pool: The cost accountant make individual group of all the indirect cost used in an item. In…

Q: Define the term an incremental benefit-cost ratio?

A: The incremental cost is the additional cost incurred for producing an additional one unit of a…

Q: Express the two ways of contribution margin?

A: Contribution margin is the difference between the sales revenue and the variable costs.

Q: Write the equation for the Unit contribution margin?

A: Answer: Cost volume profit analysis estimates how cost changes in both fixed and variable, sales…

Q: Contribution margin is

A: The formula Contribution= sales - variable cost

Q: Please explain what is meant by the contribution margin.  Also, please provide an example of how the…

A: contribution margin is sales price minus variable cost is called contribution margin, contribution…

Q: Define contribution margin, contribution margin per unit, and contribution margin percentage.

A: Contribution Margin: The contribution margin is the excess of selling price over the variable costs…

Q: Describe the Define the term Benefit-Cost Ratio?

A: Cost benefit analysis is a quantitative approach used by top level management to evaluate the…

Q: Which of the following is the best definition of a variable cost?

A: Types of Costs 1. Variable Cost: The cost which changes with the change in the level of activity is…

Q: Explain contribution margin.

A: Contribution Margin is the amount of revenue available after variable costs to cover fixed expenses…