Contribution margin and conversion ratio, Management Theories

Contribution Margin:

A common  of a firm's profitability and performance, this is a calculation of how much a firm's revenues exceed its variable costs of production, and thereby contribute to covering the fixed costs related with all stages of production.

Conversion Ratio

The number of shares of a company common stock related with one share of that company's convertible privacy.

Convertible Security

Preferred stock for an organization that is convertible into common stock for that organization at a previously particular ratio. It is the security holder's choice, or option, to make this conversion.



Posted Date: 10/15/2012 8:32:51 AM | Location : United States

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