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If students who completed a study skills course raised their grade point averages,can we conclude that the course caused their improvement?
Contribution Margin
The sum by which the income from sales surpasses variable expenses, showing the extent to which revenue aids in covering fixed costs and generating profit.
High-low Method
A technique used in accounting and finance to estimate variable and fixed costs based on the highest and lowest levels of activity.
Variable Component
An element of cost or expense that varies directly with changes in production volume, business activity, or other drivers.
Contribution Margin Ratio
The percentage of each sales dollar remaining after variable costs have been deducted, indicating how much contributes to fixed costs and net profit.
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