When the total revenue earned by a firm is less than the total cost of production the firm faces a(n)
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Solution 1
When a firm's total revenue (TR) is less than its total cost (TC) of production, the firm is facing a loss. This situation implies that the firm is not able to cover its production costs with the revenue generated from its sales. In economic terms, a loss occurs when:
[ \text{Total Revenue} < \tex Knowee AI is a powerful AI-powered study tool designed to help you to solve study problem.
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