Question

If a monopolist or a perfectly competitive firm is producing at a break-even point, then:

i. average revenue is equal to average variable cost
ii. average revenue is equal to average total cost
iii. total revenue is equal to total variable cost
iv. total revenue is equal to total cost

Answer 1

If a monopolist or a perfectly competitive firm is producing at break-even point then they're basically equaling their average revenue to the average total cost - ii.

This basically means that they are operating at a level where the amount which they produce relates to the amount they spend.