Question
Which of the following statements is correct about the difference between contribution margin and gross margin? Contribution margin and gross margin are equivalent. Gross margin
Which of the following statements is correct about the difference between contribution margin and gross margin?
Contribution margin and gross margin are equivalent.
Gross margin is used for external reporting, while contribution margin is used for internal reporting.
Gross margin is the difference between sales revenue and variable costs.
Contribution margin is the difference between sales revenue and cost of goods sold.
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Auditing and Assurance Services
Authors: Timothy Louwers, Robert Ramsay, David Sinason, Jerry Straws
6th edition
978-1259197109, 77632281, 77862341, 1259197107, 9780077632281, 978-0077862343
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