Contribution margin is:

Sales less cost of goods sold.

Sales less variable production, variable selling, and variable administrative expenses.

Sales less variable production expense.

Sales less all variable and fixed expenses.

Sales less variable production, variable selling, and variable administrative expenses.

Explanation:

On a contribution margin income statement the variable administrative and variable selling are considered as variable cost and used to determinate the contribution margin.

Contribution margin =

sales revenue - total variable cost

the fixed cost are listed below the contriution,

once subtracted from the contribution, the rest is the net income.