On an income statement prepared with a direct costing approach, the excess of sales over the cost of goods sold, based on variable costs only, is referred to as
A)the manufacturing margin.
B)the marginal gross profit on sales.
C)the marginal income on sales.
D)the contribution margin.

Question

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The Answer of On an income statement prepared with a direct costing approach, the excess of sales over the cost of goods sold, based on variable costs only, is referred to as
A)the manufacturing margin.
B)the marginal gross profit on sales.
C)the marginal income on sales.
D)the contribution margin.

On an Income Statement Prepared with a Direct Costing Approach