United States home front during World War II. United States home front during World War II supported the war effort in many ways, including a wide range of volunteer efforts and submitting to government-managed rationing and price controls. Everyone agreed that the sacrifices were for the national good for the duration.. The labor market changed radically.
Cost of goods sold is an expense charged against sales to work out a gross profit (see definition below). So, for example, we may have sold 100 units this year at $4 each, and these 100 units that we sold cost us $3 each originally.
To compute contribution margin, subtract variable costs of a sale from the amount of the sale itself: For example, if you sell a gadget for $10 and its variable cost is $6, the contribution margin for the sale would be $4 ($10 â $6 = $4). Selling this gadget would increase your profit by $4.