MGMT 88
University Of California - Davis
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MANAGEMENT ACCOUNTING - Solutions Manual CHAPTER 12 COST-VOLUME-PROFIT RELATIONSHIPS
- Exam (elaborations) • 33 pages • 2024
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I. Questions
1. The total “contribution margin” is the excess of total revenue over total variable costs. The
unit contribution margin is the excess of the unit price over the unit variable costs.
2. Total contribution margin:
Selling price - manufacturing variable costs expensed - nonmanufacturing variable costs
expensed = Total contribution margin.
Gross margin:
Selling price - variable manufacturing costs expensed - fixed manufacturing costs expensed =
Gross margin.
3. A company ...
Exam (elaborations)
MANAGEMENT ACCOUNTING - Solutions Manual CHAPTER 12 COST-VOLUME-PROFIT RELATIONSHIPS
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I. Questions 1. The total “contribution margin” is the excess of total revenue over total variable costs. The unit contribution margin is the excess of the unit price over the unit variable costs. 2. Total contribution margin: Selling price - manufacturing variable costs expensed - nonmanufacturing variable costs expensed = Total contribution margin. Gross margin: Selling price - variable manufacturing costs expensed - fixed manufacturing costs expensed = Gross margin. 3. A company ...
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