A firm's shutdown point is the same as its breakeven point.

Name: A firm's shutdown point is the same as its breakeven point.
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Question

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A firm's shutdown point is the point where the revenue from continuing operations no longer covers the variable costs. This point occurs at a lower level of output than the breakeven point, because at the shutdown point the firm is no longer covering its fixed costs.

A Firm's Shutdown Point Is the Same as Its Breakeven