If filing married (joint or separate), enter combined taxable amount for you and your spouse.
The contribution margin is a concept used with breakeven point or in break-even analysis. In words, the contribution margin is the amount of money a company has to cover its fixed costs after it pays all of its variable expenses.ontribution Margin per unit of sales = Sales Revenue per Unit-Variable Expenses per Unit. Contribution Margin-Fixed Costs = Net Operating Profit or Loss. The break-even formula calculates the point at which a company's sales are zero-there is no profit or loss:
Break-even Point Contribution Margin Approach. The contribution margin approach to calculate the break-even point (i.e. the point of zero profit or loss) is based on the CVP analysis concepts known as contribution margin and contribution margin ratio.hen calculated for a single unit, it is called unit contribution margin. Contribution margin ratio is the ratio of contribution margin to sales. In this method simple formulas are derived from the CVP analysis equation by rearranging the equation and then replacing certain parts with Contribution Margin formulas.