Create an account
the reporting of the costs of manufactured products, normally direct materials, direct labor, and factory overhead, as product costs.
contribution margin analysis
the systematic examination of the differences between planned and actual contribution margins.
Costs that can be influenced (increased, decreased, or eliminated) by someone such as a manager or factory worker.
the variable cost of goods sold deducted from sales. Sales (-) VC of goods sold.
Cost that can not be influenced (increased, decreased, or eliminated) by someone such as a manager or factory worker.
the effect of a difference in the number of units sold, assuming no change in unit sales price or unit cost.
variable cost of goods sold
consists of direct materials, direct labor, and variable factory overhead for the units sold.
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