I'm actually wondering what the correct name for the difference between the minimum selling price and the actual selling price is?
Let's say I'm having an product A. After all calculations(costs, planned profit, possible discounts,...) I can sell my product for 7€(my minimum selling price). On the market I can offer it for 10€. In this case im making an extra margin of 3€.
extra Margin(3€) = actual Selling price(10€) - minimum selling price(7€)
Now I'm wondering what the correct name of this
extra margin(3€) is?
I already thought it could be the contribution margin, but isn't this something different?