CONTRIBUTION MARGIN Definition

Bookmark and Share

CONTRIBUTION MARGIN (CM) is the difference between sales and the variable costs of the product or service, also called marginal income. It is the amount of money available to cover fixed costs and generate profits.

Learn new Accounting Terms

 CMO RESIDUAL is the residual is the cash flow remaining on each payment date after all payments on the CMO tranches have been made. The primary source of the residual is cash generated by the collateral that is greater than the payments due on the CMO tranches.

ACH is Automated Clearing House.

Suggest a Term

Enter Search Term

Enter a term, then click the entry you would like to view.