Contribution margin is also known as gross margin.

Name: Contribution margin is also known as gross margin.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Contribution margin and gross margin are two distinct metrics. Contribution margin is calculated by subtracting variable costs from sales revenue, while gross margin is calculated by subtracting the cost of goods sold (which includes both variable and fixed costs directly associated with production) from sales revenue.

Contribution Margin Is Also Known as Gross Margin