Contribution margin is first used to cover expenses. Once the break-even point has been reached, contribution margin becomes:.

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14-02-2022
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Contribution margin is first used to cover expenses. Once the break-even point has been reached, contribution margin becomes:.

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topeadeniran2 topeadeniran2 · Answer 1 · 2022-02-22T12:33:07+01:00

It should be noted that the contribution margin is first used to cover fixed expenses.

What is contribution margin?

The contribution margin simply shows you the aggregate amount of revenue that is available after variable costs to cover fixed expenses.

Contribution margin is first used to cover fixed expenses. Once the break-even point has been reached, the contribution margin becomes profit.

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