1. Contribution Accounting
Concept: Identify Revenues and Costs with Organization Segments
Segment Examples
Services
Clients
Donors
Fund Raising Events

2. Annual Costs $40,000 Annual Costs $30,000 Annual Costs $200,000
Rev $230,000
Rev $160,000
Rev $320,000
Rev $170,000
Cost 70,000
Cost 90,000
Cost 220,000
Cost 60,000
Segment A
Segment B
Segment C
Segment D
Annual Costs $40,000
Annual Costs $30,000
Annual Costs $200,000

3. Accounting Contribution $170,000
Rev $230,000
Rev $160,000
Rev $320,000
Rev $170,000
Cost 70,000
Cost 90,000
Cost 220,000
Cost 60,000
Cont $160,000
Cont $70,000
Cont $100,000
Cont $110,000
Segment A
Segment B
Segment C
Segment D
Annual Costs $40,000
Annual Costs $30,000
Acctg Contrib $180,000
Acctg Contrib $190,000
Annual Costs $200,000
Accounting Contribution $170,000

4. Accounting Contribution $160,000
Revenue $60,000
Revenue $120,000
Revenue $50,000
Cost ,000
Cost ,000
Cost ,000
AccCont $50,000
AccCont $95,000
AccCont $35,000
Product X
Product Y
Product Z
Annual Costs $5,000
Annual Costs $0
AccCont $140,000
Annual Costs $15,000
Accounting Contribution $160,000
Details for Segment A

5. Accounting Contribution $60,000
Rev $230,000
Rev $160,000
Rev $320,000
Rev $170,000
Cost 70,000
Cost 90,000
Cost 220,000
Cost 60,000
Cont $160,000
Cont $70,000
Cont $100,000
Cont $110,000
Segment A
Segment B
Segment C
Segment D
Annual Costs $40,000
Annual Costs $30,000
AccContrib $190,000
AccContrib $70,000
Annual Costs $200,000
Accounting Contribution $60,000

6. Accounting Contribution ($10,000)
Rev $230,000
Rev $160,000
Rev $320,000
Rev $170,000
Cost 70,000
Cost 90,000
Cost 220,000
Cost 60,000
Cont $160,000
Cont $70,000
Cont $100,000
Cont $110,000
Segment A
Segment B
Segment C
Segment D
Annual Costs $40,000
Annual Costs $30,000
AccContrib $190,000
AccContrib $180,000
Annual Costs $200,000
Accounting Contribution ($10,000)

8. $ Decisions Principle: Link people to the financial consequences
of their decisions