Segment margin

Segment margin is the income resulting from subtracting only the direct fixed costs of a segment from its contribution margin. The segment margin contains no allocation of common fixed costs.

Definitions

According to Managerial Accounting by Braun, Tietz (5th edition),

Segment margin. The income resulting from subtracting only the direct fixed costs of a segment from its contribution margin. The segment margin contains no allocation of common fixed costs.