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Contribution Margin Ratio
The portion of sales revenue that exceeds variable costs, expressed as a percentage.
Fixed Costs
Expenses that do not change with the level of goods or services produced by a business.
Contribution Margin
The amount remaining from sales revenue after variable costs are deducted, indicating how much contributes to covering fixed costs and generating profit.
Pretax Income
The income earned by a business before any taxes have been deducted.
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