What is your current financial priority?
Uses in business
- In the Dobson Books Company example, the contribution margin for selling $200,000 worth of books was $120,000.
- For instance, a beverage company may have 15 different products but the bulk of its profits may come from one specific beverage.
- Either way, this number will be reported at the top of the income statement.
- Variable expenses are costs that change in conjunction with some other aspect of your business.