If the Accounting Profit for a Firm Is Negative

question 54

Multiple Choice

If the accounting profit for a firm is negative:

• A) the economic profit must be positive.
• B) the economic profit must be negative.
• C) the firm should produce more.
• D) the firm will not owe any taxes.

---

Definitions:

Political Groups

Organizations or collectives that seek to influence public policy, political opinion, or government decisions based on specific ideological, economic, or social beliefs.

Intellectual Elite

A segment of society composed of individuals with high intellectual achievements and capacities, often involved in complex decision-making or high-level reasoning tasks.

Manual Workers

Laborers who perform physical work with their hands, often in construction, manufacturing, or agriculture.

Petty Bourgeoisie

In Marx’s usage, is the class of small-scale capitalists who own means of production but employ only a few workers or none at all, forcing them to do physical work themselves.