Economics - Economic Losses in Short Run...?

Question

A firm suffering economic losses in the short run decides whether or not to produce on the basis of

whether revenues from operating are sufficient to cover variable costs

whether future profits will allow it to recover fixed costs

whether revenues from operating are sufficient to cover fixed costs

whether revenues from operating are sufficient to cover fixed plus variable costs

Answer 1

Whether revenues from operating are sufficient to cover variable costs, or TR≥VC