The contribution margin format income statement classifies costs according to their behavior patterns.

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The contribution margin format income statement separates costs into two categories: fixed and variable. This is based on the behavior pattern of the costs - whether they remain constant or vary based on the level of production or sales. By separating fixed costs from variable costs, the contribution margin income statement provides a clearer picture of how changes in sales or production levels will affect profitability.

The Contribution Margin Format Income Statement Classifies Costs According to Their