WGU D196 FORMULAS
Cost Volume Profit equation - ANSWER Sales - variable costs - fixed
costs = profit
Contribution Margin (CM) - ANSWER Sales Revenue - Variable Costs
Contribution Margin per Unit - ANSWER Sales Price per Unit - Variable
Costs per Unit
Contribution Margin Ratio - ANSWER Contribution Margin per Unit ÷
Sales Price per Unit
Variable Cost Ratio - ANSWER Variable Costs per Unit ÷ Sales Price
per Unit
Break-Even in Units - ANSWER Total Fixed Costs ÷ CM per Unit
Break-Even in Sales $ - ANSWER Total Fixed Costs ÷ Contribution
Margin Ratio (in decimal form)
gross profit (or gross margin) - ANSWER Sales−Cost of Goods
Sold=Gross Profit (Gross Margin)
Net Income - ANSWER Revenues - Expenses
Assets - ANSWER Liabilities + Equity
Cost Volume Profit equation - ANSWER Sales - variable costs - fixed
costs = profit
Contribution Margin (CM) - ANSWER Sales Revenue - Variable Costs
Contribution Margin per Unit - ANSWER Sales Price per Unit - Variable
Costs per Unit
Contribution Margin Ratio - ANSWER Contribution Margin per Unit ÷
Sales Price per Unit
Variable Cost Ratio - ANSWER Variable Costs per Unit ÷ Sales Price
per Unit
Break-Even in Units - ANSWER Total Fixed Costs ÷ CM per Unit
Break-Even in Sales $ - ANSWER Total Fixed Costs ÷ Contribution
Margin Ratio (in decimal form)
gross profit (or gross margin) - ANSWER Sales−Cost of Goods
Sold=Gross Profit (Gross Margin)
Net Income - ANSWER Revenues - Expenses
Assets - ANSWER Liabilities + Equity
