A firm is defined in Economics as
A) a corporation that creates demand for the goods it produces.
B) an entity that produces and sells goods that individuals demand.
C) an individual or group of individuals providing public services at no charge.
D) any group of individuals seeking to increase their income.

Question

Quizplus · Accepted Answer

A firm is an entity that produces and sells goods that individuals demand. This definition is fundamental to the study of microeconomics and is widely accepted by economists. A firm can be a sole proprietorship, partnership, corporation, or any other legal form of business organization. The key defining characteristic of a firm is that it produces and sells goods or services that are valued by consumers in the market.

A Firm Is Defined in Economics as