Final answer:
Economic profits at a firm's break-even point are zero. This reflects that the firm's revenue covers all costs, including opportunity costs, meaning the firm is earning what it could earn in the next best alternative.
Step-by-step explanation:
At a firm's break-even point, economic profits are zero. This occurs when the price is equal to the average cost (AC), meaning the firm is covering all its costs, including the opportunity cost of capital. Hence, at the break-even point, a firm's economic profits are not positive, negative, or equal to fixed costs or opportunity costs; they are zero.
This is because a zero economic profit indicates that the firm's accounting profit is the same as what its resources could earn in the next best alternative use. In the long run, perfectly competitive markets achieve this state as a result of the process of entry and exit, driving economic profits to zero.