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In most ancient cities:
Contribution Margin
The selling price per unit minus the variable cost per unit, used to cover fixed costs and contribute to net profit.
Selling Price
The price for which a product or service is sold to the customer.
CVP Income Statement
An income statement format used in cost-volume-profit analysis to determine how changes in costs and volume affect a company's profit.
Variable Costs
Costs that vary directly with the level of production or sales volume, including materials and labor costs.
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