Question

Sales - Variable expenses is defined as ---------

a. Contribution margin

b. Weighted average contribution

c. Gross profit margin

d. Sales margin​

Answer 1

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A variable cost is a corporate expense that changes in proportion to how much a company produces or sells. ... Examples of variable costs include a manufacturing company's costs of raw materials and packaging—or a retail company's credit card transaction fees or shipping expenses, which rise or fall with sales.

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