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Kristina Riley
on Nov 17, 2024

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The contribution margin and the manufacturing margin are usually equal.

Contribution Margin

The amount remaining from sales revenue after variable costs have been deducted, indicating how much contributes to covering fixed costs and generating profit.

Manufacturing Margin

The difference between the sales revenue generated from manufactured goods and the cost of goods sold (COGS), highlighting the profitability of manufacturing activities.

  • Recognize the components and significance of contribution margin in decision-making.
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Faaiq HossainNov 23, 2024
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