Explanation:

- Factor Cost refers to the cost of production, which includes wages, rents, and profits, without factoring in taxes or subsidies.

- Market Price is the selling price of goods and services, which includes taxes and excludes subsidies.

- Option 1: Indirect taxes < subsidies

- If subsidies are greater, the cost of production (factor cost) would exceed the market price.

- Option 2: Indirect taxes > subsidies

- If taxes are greater, this would increase market price, thus market price would be higher than factor cost.

- Option 3: Indirect taxes = subsidies

- This balance would mean no change; factor cost would equal the market price.

- Option 4: None

- Not applicable if factor cost is greater than market price.