It's like getting a chocolate bar and only eating part of it - the part you've eaten is the contribution per unit!

🍫 Simple Explanation: If a chocolate bar (selling price) costs you $3, but you've only eaten $1 worth (variable cost), your remaining portion is $2. That's your 'contribution per unit'.

🌍 Real-World Example: If you sell a hand-made bracelet for $20, but the beads and thread only cost $5, your contribution per unit is $15.

Imagine all the chocolate you ate this month. Add it up. That's your total!

🍫 Simple Explanation: Total revenue (all the money from selling stuff) minus all the variable costs (stuff like materials) gives the total contribution.

🌍 Real-World Example: If you sold 10 bracelets this month, your total contribution is $150 ($15 x 10).

Profit's like the treasure at the end of a gaming level.

🎮 Simple Explanation: To unlock this treasure, take your total contribution and deduct all fixed costs (like monthly shop rent or salaries). Another way to get it? Subtract all costs (fixed and variable) from total revenue.

🌍 Real-World Example: If your total contribution for bracelets was $150, but you spent $50 on a fancy jewelry-making kit (a fixed cost), then your profit is $100.

Imagine a see-saw. There's a point where it's perfectly balanced. That's the break-even point on a chart.

🖌 Simple Explanation: This chart plots costs and revenues to show where they intersect. This 'meeting point' is where you've neither made a profit nor a loss.

🌍 Real-World Example: If you sell 50 ice creams, and only at that point you cover all your costs without any profit, then 50 is your break-even poin