equations Flashcards
1
Q
contribution per unit
A
selling price - variable costs per unit
2
Q
total contribution
A
contribution per unit x output
contribution per unit - selling price - variable costs
3
Q
total revenue
A
variable costs + contribution (or fixed costs)
4
Q
break even
A
fixed costs / contribution per unit
5
Q
margin of safety
A
actual output - breakeven
