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0. Given below are two statements, one labelled as Assertion (A) and the other labelled as Reason (R). Read the statements and choose the correct answer using the code given below.Assertion (A): There exists excess capacity of the production for the firms if these incur losses.Reason (R): Their production level has to remain below their economic capacity level.
(A) is incorrect, but (R) is correct.
Both (A) and (R) are correct, but (R) is not the right explanation of (A).
(A) is correct, but (R) is incorrect.
Both (A) and (R) are correct and (R) is the right explanation of (A).
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