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lost contribution

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA APM Exams › lost contribution

  • This topic has 5 replies, 2 voices, and was last updated 13 years ago by Ken Garrett.
Viewing 6 posts - 1 through 6 (of 6 total)
  • Author
    Posts
  • November 11, 2012 at 7:08 pm #55199
    Miss A..
    Member
    • Topics: 32
    • Replies: 41
    • ☆☆

    how to calculate lost contribution in example 6 of chapter 13 of OT notes.???

    November 11, 2012 at 7:57 pm #107012
    Ken Garrett
    Keymaster
    • Topics: 10
    • Replies: 10652
    • ☆☆☆☆☆

    Before I tell you that, first let me know what you think contribution is.

    November 12, 2012 at 1:22 pm #107013
    Miss A..
    Member
    • Topics: 32
    • Replies: 41
    • ☆☆

    contribution = revenue – variable costs

    November 13, 2012 at 10:24 am #107014
    Ken Garrett
    Keymaster
    • Topics: 10
    • Replies: 10652
    • ☆☆☆☆☆

    So, lost revenue if you don’t sell outside = outside selling price – variable cost of production.

    November 13, 2012 at 11:06 pm #107015
    Miss A..
    Member
    • Topics: 32
    • Replies: 41
    • ☆☆

    20-15=5.??

    November 14, 2012 at 6:31 pm #107016
    Ken Garrett
    Keymaster
    • Topics: 10
    • Replies: 10652
    • ☆☆☆☆☆

    Yes

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