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Do managers want contribution margin to be a bigger or smaller figure?
Wiki User
∙ 13y ago
do managers want the contribution margin to be bigger or smaller
Wiki User
∙ 13y ago
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Sample of income statement contribution margin?
Sales xxxxLess:Variable cost xxxxContribution margin xxxx (balancing figure)
Importance of cost volume profit analysis?
Importance of Cost Volume Profit (CVP) Analysis:The most profitable combination of variable cost, fixed cost, selling price and sales volume can be found with the help of cost volume profit analysis. If fixed costs can be reduced by a greater amount, the profits can sometimes be increased by reducing the contribution margin.More commonly, however, we have seen that the way to improve profits is to increase the total contribution margin figure, Sometimes this can be done by reducing the fixed costs (such as advertising) and thereby increasing volume; and some times it can be done by trading off variable and fixed costs with appropriate changes in volume. Many other combinations of factors are possible.The size of the unit contribution margin (and the size of the contribution margin ratio - CM ratio) is very important. For example, the greater the unit contribution margin, the greater is the amount that a company will be willing to spend to increase unit sales. This explains in part why companies with high unit contribution margin (such as auto manufacturers) advertise so heavily, while companies with low unit contribution margin (such as dishware manufacturers) tend to spend much less for advertising.In short, the effect on the contribution margin holds the key to many decision.
How do you figure out cost of goods sold?
How do you figure out COGS from a worksheet
How do you figure out weekly payroll?
how do you figure out weekly payroll I am not interested in payroll services.
How do I Calculate the gross figure when only the VAT amount is known?
Multiply the VAT figure by 5 ie: VAT amount £20 x 5 gives you a net figure of £100.00.
What is it when you find out how much bigger a figure is from a smaller figure?
The ratio
Does dilation always make a congruent figure?
No it makes the figure bigger or smaller than the original
How can you find that a any smaller figure is what fraction of a greater figure?
It is the smaller divided by the bigger. For 5 and 17, the 5 is 5/17 of the 17.
When you make a figure bigger or smaller using scale factor it is called?
Scale Factor
How do dogs get hurt by men?
They feel more intimidated by a manly figure than a weaker and smaller woman figure, because men are bigger & have deeper voices.
What is the movement of a figure in a plane?
Transformations can be Translations--slide Reflections--flip Rotation--turn Dilation--either bigger or smaller
Missing the wood for the trees?
Missing the woods for the trees is a figure of speech. It means that someone is only focusing on the smaller details and so are missing the bigger picture in a situation.
Can a translation make a figure larger or smaller?
it make it smaller and a little lager not a lot
What happens if a cell gets bigger?
figure it out
Managers for which type of job use a percentage to figure the wages of an employee?
commission employees
How do you figure out the IQR in maths?
You arrange the data set in ascending order. You then find the observation such that a quarter of the observations are smaller than it and three quarters are bigger. That value is the lower quartile. Next find the observation such that three quarters of the observations are smaller than it and a quarter are bigger. That value is the upper quartile. Upper quartile minus lower quartile = IQR.
Can a translation make a figure smaller or larger?
it make it smaller and a little lager not a lot
