If a firm is losing money, this implies that
A) consumers do not understand the value of the product.
B) the value of the resources used to make the product is being reduced.
C) the firm must go out of business immediately.
D) this product cannot be produced profitably in the long run.

Question

Quizplus · Accepted Answer

When a firm is losing money, it indicates that the resources used to produce the product are not being utilized efficiently, leading to a reduction in their value.

If a Firm Is Losing Money, This Implies That