contribution per unit
What contribution per unit means in Business A-Level, as defined for AQA.
Definitions of contribution per unit
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Reference: AQA
Selling price per unit less variable cost per unit, measured in pounds, and the money each sale leaves behind to put towards the fixed costs.
Selling price minus variable cost per unit, measured in pounds per unit, and the bridge to the rest of the figures.
Selling price minus variable cost per unit, which a weaker pound squeezes when imported components become dearer.
Selling price less variable cost per unit.
Topics that use contribution per unit
- Analysing financial performance (AQA A-Level)
- Annex: quantitative skills in business (AQA A-Level)
- Assessing globalisation and internationalisation (AQA A-Level)
- Making marketing decisions: using the marketing mix (AQA A-Level)
Related terms
- break-even output
- gross profit margin
- margin of safety
- qualitative factors
- analysis
- average rate of return
- averages
- axes and scales
Using contribution per unit in the exam
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