What is the contribution margin per dish and how does it differ from gross profit?

• A. Contribution margin equals selling price minus fixed costs; gross profit equals revenue minus cost of goods sold.
• B. Contribution margin equals selling price minus total costs; gross profit equals net profit.
• C. Contribution margin equals selling price minus variable costs; gross profit equals revenue minus cost of goods sold; contribution margin helps assess profitability before fixed costs are considered.
• D. Contribution margin and gross profit are identical metrics.

Answer: (C)