Allocation of resources is inefficient only if:

we produce the goods and services that  people value less

Explanation:

Remember, an inefficient activity is one that fails to achieve maximum productivity with minimum wasted effort.

Let's take for example a mobile producer (manufacturer) decides to allocate its resorces into producing laptops. However, it later determined that the allocated resources were inefficient since most consumers according to a  survey now prefer tablet computers. The company received low sales volume as result.

statement of owner"s equity;