<Tr> <Td> Total Fixed Costs </Td> <Td> $96,101 </Td> </Tr> <Tr> <Td> Net Operating Income </Td> <Td> $62,581 </Td> </Tr> <P> The Beta Company's contribution margin for the year was 34 percent . This means that, for every dollar of sales, after the costs that were directly related to the sales were subtracted, 34 cents remained to contribute toward paying for the indirect (fixed) costs and later for profit . </P> <P> Contribution format income statements can be drawn up with data from more than one year's income statements, when a person is interested in tracking contribution margins over time . Perhaps even more usefully, they can be drawn up for each product line or service . Here's an example, showing a breakdown of Beta's three main product lines . </P>

Which are costs subtracted from in calculating profit answers.com