A socio-ecological system consists of 'a bio-geo-physical' unit and its associated social actors and institutions.
Contribution Margin. Contribution margin is a productâs price minus all associated variable costs, resulting in the incremental profit earned for each unit sold. The total contribution margin generated by an entity represents the total earnings available to pay for fixed expenses and to generate a profit. The contribution margin concept is useful for deciding whether to allow a lower price in special pricing situations.
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.