Contribution margin less fixed costs yields

Name: Contribution margin less fixed costs yields
Brand: Quizplus
Rating: 4.8 (50 reviews)

Question

Quizplus · Accepted Answer

Contribution margin is the revenue generated by a product or service minus the variable costs associated with that product or service. Fixed costs are expenses that do not vary with changes in the level of output or sales revenue. Subtracting fixed costs from contribution margin gives us the operating income or profit. Therefore, choice A is the correct answer.

Contribution Margin Less Fixed Costs Yields