Contribution Margin

Contribution is the central idea of marginal costing. Each unit sold contributes its selling price minus its variable cost towards fixed costs; once fixed costs are covered, contribution becomes profit.

• Contribution per unit = Selling price − Variable cost per unit
• Total contribution = Sales − Total variable cost = Fixed cost + Profit
• Profit-volume (P/V) ratio or contribution margin ratio = Contribution / Sales × 100

The P/V ratio shows the percentage of each sales rupee that contributes to fixed costs and profit. It helps answer questions such as how much profit an increase in sales will bring (change in profit = change in sales × P/V ratio) and which product to prioritise when a resource is limited (choose the product with the highest contribution per unit of the limiting factor).

Because fixed costs are ignored in unit-level decisions, contribution analysis supports short-term decisions like accepting a special order, make-or-buy and product mix.

योगदान सीमान्त लागत लेखाको मूल अवधारणा हो। बेचिएको प्रत्येक एकाइले बिक्री मूल्य − परिवर्तनशील लागत बराबर रकम स्थिर लागत धान्न दिन्छ; स्थिर लागत पुगेपछि योगदान नाफा बन्छ।

• प्रतिएकाइ योगदान = बिक्री मूल्य − प्रतिएकाइ परिवर्तनशील लागत
• कुल योगदान = बिक्री − कुल परिवर्तनशील लागत = स्थिर लागत + नाफा
• P/V अनुपात = योगदान / बिक्री × १००

नाफामा परिवर्तन = बिक्रीमा परिवर्तन × P/V अनुपात। सीमित स्रोत हुँदा सीमित तत्त्वको प्रतिएकाइ बढी योगदान दिने उत्पादनलाई प्राथमिकता दिइन्छ।