If a firm is earning negative profits it should shut down immediately if: Revenue is greater than

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If a firm is earning negative profits it should shut down immediately if:

Revenue is greater than avoidable cost but less than non-avoidable costs.

Revenue is greater than variable costs; assume all fixed costs are avoidable.

Revenue is greater than variable costs; assume all fixed costs are non-avoidable.

Operating losses are smaller than non-avoidable fixed costs.

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Managing Business Ethics Making Ethical Decisions

ISBN: 9781506388595

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Authors: Alfred A. Marcus, Timothy J. Hargrave

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Posted Date: Dec 30, 2023 12:53 AM

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Managing Business Ethics Making Ethical Decisions

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