The Total Contribution Margin calculator computes the total contribution margin as a function of the margin on an individual item and the number of items sold.
INSTRUCTIONS: Choose the preferred currency units and enter the following:
Total Contribution Margin: The calculator returns the margin in U.S. dollars. However, this can be automatically converted to other currency units via the pull-down menu.
The margin is a product’s price minus all associated variable costs, resulting in the incremental profit earned for each unit sold. The total contribution margin generated by an entity represents the total earnings available to pay for fixed expenses and to generate a profit.