If a Firm Cannot Make a Profit Regardless of Output

question 68

Multiple Choice

If a firm cannot make a profit regardless of output volume, then:

• A)FC > VC.
• B)VC > FC.
• C)VC > R.
• D)BEP > VC.

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Definitions:

Judicial Review

The process by which courts examine the actions of the three branches of government to ensure they comply with the Constitution.

Constitutional

Relating to an established system of fundamental principles according to which a state or other organization is governed.

Legislative

Pertaining to the process of making or enacting laws.

Branches Of Government

Refers to the division of government responsibilities into distinct sectors to prevent any one group from gaining too much power, typically including the executive, legislative, and judicial branches.