1
Q
what is contribution margin (cm)?
A
Contribution Margin - Difference between selling price and variable cost
2
Q
what is margin of safety?
A
Margin of Safety - excess over sales at break-even
3
Q
what is CVP equation for single product?
A
0 = (selling price x unit sold) - (variable cost x unit sold) - Fixed cost
4
Q
what is contribution margin ratio formula?
A
contribution margin ratio = cm / selling price
CHAE Book 1
flashcards
Decks in class (12)
# Cards
-
Chapter 11 Cost Approaches to Pricing8
-
Chapter 12 - Internal Control4
-
Chapter 1 - Introduction to accounting24
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Chapter 2 - Accounting for Business Transactions3
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Chapter 3 - Accounting Adjustments6
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Chapter 4 - Corporate Accounting10
-
Chapter 5 - Balance Sheet15
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Chapter 6 - Income Statement3
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Chapter 7 - The statement of cash flow9
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Chapter 8 - Introduction to Managerial Accounting3
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Chapter 9 - Basic cost concepts9
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Chapter 10 - Cost Volume Analysis4
