Gross margin or contribution margin


Problem:

Understanding, analyzing, and providing accurate and relevant information to key areas helps guide management decisions. Review the job postings and financial data on the Anthony's Orchards website. Based on these postings, how do the two job descriptions influence your decision making about marketing variances? The method of paying a sales person can influence and change behavior. How do you recommend paying your salespeople in order to have them sell in the best interest of the company? How will the decision impact the company? Should the company focus on gross margin or contribution margin when determining its pricing strategy and its impact on throughput accounting?

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Accounting Basics: Gross margin or contribution margin
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