Examlex
Which of the following tools is most useful for removing the yellow rind from a lemon?
Contribution Margin
The amount remaining from sales revenue after variable expenses are deducted, showing the revenue available to cover fixed expenses and provide profit.
Operating Leverage
A measure of how revenue growth translates into growth in operating income, demonstrating the effect of fixed costs on profits.
Contribution Margin
The difference between the sales price of a product and its variable costs, used to cover fixed costs and profit.
Sales Mix
The composition of different products or services sold by a company, which can significantly impact profitability based on the varying margins of each item.
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