The correct answer is: A. Gross margin in terms of amount of money.
Gross margin is a measure of a company’s profitability. It is calculated by taking the difference between the revenue generated from sales and the cost of goods sold. The percentage of overall gross margin is multiplied to final sales value of products total production to calculate the gross margin in terms of amount of money.
The other options are incorrect because they do not measure profitability. Option B, gross margin in terms of separable costs, measures the cost of goods sold that can be directly attributed to a particular product or service. Option C, gross margin in terms of total cost, measures the total cost of goods sold, including both direct and indirect costs. Option D, gross margin in terms of labour cost, measures the cost of labor associated with the production of goods or services.