Contribution Margin: What is it? (Learn Fast)

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Contribution Margin is closely analyzed by managerial accountants.

This margin helps them determine how much of their budget can be allocated to Fixed Costs.

In today's video we will be discussing what contribution margin is, how it is calculated and apply it to an example.

Through my simple strategy of defining the "gap" in the equation, you will easily remember contribution margin.

Comment below if you have any questions, I'm happy to help!



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