Dear Sir, How do you determine loss or profit if you are given only sales and contribution?

Contribution Margin is Price less Variable cost. Total contribution margin is composed of two components: Total fixed cost plus profit. In your question sales of 5 products were given with their respective Contribution margins.

If we simply multiply each sale with its contribution margin, we get a total of $88,000 which is a mix of total fixed cost plus profit. In other words, one cannot determine loss of profit from the information given.

When applying this formula to real data, it is important that you correctly determine which value is A and which is B. For example, yesterday you had 80 apples and how you have 100, meaning that now you have 20 apples more than before, which is 25% increase. If you had 100 apples and now you have 80, your number of apples has reduced by 20, which is 20% decrease.

I cant really gove you an answer,but what I can give you is a way to a solution, that is you have to find the anglde that you relate to or peaks your interest. A good paper is one that people get drawn into because it reaches them ln some way.As for me WW11 to me, I think of the holocaust and the effect it had on the survivors, their families and those who stood by and did nothing until it was too late.

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