If van's fire engines were a competitive firm instead and $100,000 were the market price for an engine, increasing its production would not affect the price at which he can sell engines. a. true
b. false

The given statement is False.

Explanation:

If Van's Fire Engines was a competitive firm and would have increased the production of engines, the fixed costs associated will be allocated to more units and will result in a lower cost per engine produced as compared to the less production of units. Therefore Van’s Fire Engines will be able to sell engines at a lower price.

answer; by looking at total product,marginal product,and changes in both after changes in inputs

answer makes less frequent trips to the bank and firms make less frequent price changes;