A principle of valuation that states that the value of any portion of a property is determined by how it affects the performance of the total property. Therefore, a property is considered a combination of features, each of which adds something to the total value based on its contribution to the property's usefulness.
Refers to the flow of revenues from services with rates above cost to those with rates below cost, mainly basic local residential services; specifically, the revenues that flow from toll services to subsidize residential services.
Sales value less variable cost of sales, which may be expressed as total contribution, contribution per unit, or as a percentage of sales.
Sales - variable costs... more on: Contribution
The contribution is the amount of income less direct costs. In terms of profit and loss, it appears as the gross profit.
Contribution per unit can be defined as selling price less variable costs. Overall contribution is the difference between total sales revenues and variable costs
The difference between the selling price of a product and the cost to make that product. The amount of money that remains to pay fixed costs. After you break even, contribution is the amount of money from each sale of your product or service that now is counted as profit.
An appraisal principle that states the value of any component or improvement is equal to what the market would pay, or the value it adds to the whole, regardless of the actual cost.
The difference between the revenue from a class of mail and the costs attributable to that class of mail. For example, if a class of mail has revenues of $1.5 billion and attributable costs of $1 billion, its contribution is $500 million, which means that this class of mail covers its costs and contributes $500 million to the common costs of all mail services.
The difference between total sales revenue and total variable costs, or, on a per-unit basis, the difference between unit selling and the unit variable cost and may be expressed in percentage terms (contribution margin) or dollar terms (contribution per unit).
The difference between the revenue from a class of mail and that class's volume-variable costs. For example, if a class of mail has revenue of $1.5 billion and volume-variable costs of $1 billion, its contribution is $500 million, which means that this class of mail covers its costs and contributes $500 million to the common costs of all mail services.
An amount charged to offset the costs of providing local telephone service.
The amount by which a business’s revenue exceeds its variable costs. This amount is a contribution to the business’s fixed costs. Only if the contribution exceeds the fixed costs will the business make a profit. The contribution after variable costs is sometimes referred to as the gross contribution, with the term net contribution being used to refer to the contribution after both variable and fixed costs; that is, the profit.
The measure of the amount each department or product contributes to fixed costs. It is calculated by taking variable costs from total revenue.
principle of. The principle that any improvement to a property, whether to vacant land or a building, is worth only what it adds to the property's market value, regardless of the improvement's actual cost.
Contribution is the amount - under marginal costing principles – of profit that has been earned before taking account of fixed costs or expenses of a business.
A principle of valuation, stating that improvements add to market value as a factor of current supply and demand, and not necessarily on the basis of actual cost.
Principle of value which states that total value may not equal the total cost of the individual parts. For example, adding a third bathroom to a small house will probably increase value less than the cost of the improvement.
sales price - variable cost per unit... more on Contribution
