Contribution Flashcards by Maryam Chowdhury | Brainscape

Q

What is the definition of contribution?

A

The amount remaining after all direct costs have been subtracted from revenue

How well did you know this?

1

Not at all

2

3

4

5

Perfectly

Q

Formula 1 to find contribution

A

Selling price- variable costs

How well did you know this?

1

Not at all

2

3

4

5

Perfectly

Q

Formula 2 to find contribution

A

(Fixed costs/selling price) - variable cost

How well did you know this?

1

Not at all

2

3

4

5

Perfectly