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Please help! Antonio's Fire Engines is the sole seller of fire engines in the fictional country of Pyrotania. Initially, Antonio produced four fire engines, but

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Antonio's Fire Engines is the sole seller of fire engines in the fictional country of Pyrotania. Initially, Antonio produced four fire engines, but he has decided to increase production to five fire engines. The following graph shows the demand curve Antonio faces. As you can see, to sell the additional engine, Antonio must lower his price from $105,000 to $90,000 per fire engine. Note that while Antonio gains revenue from the additional engine he sells, he also loses revenue from the initial four engines because he sells them all at the lower price. Use the purple rectangle (diamond symbols) to shade the area representing the revenue lost from the initial four engines by selling at $90,000 rather than $105,000. Then use the green rectangle (triangle symbols) to shade the area representing the revenue gained from selling an additional engine at $90,000. (7 150 135 Ravinun Lai! Darrind PROCE [Thousands of dollars per too oreganoal Ravinun Gained QUANTITY [For engines) Antonio increase production from 4 to 5 fire engines because the dominates in this scenario. True or False: If Antonio's Fire Engines were a competitive firm instead and $105,000 were the market price for an engine, decreasing its price from $105,000 to $90,000 would result in the same change in the production quantity and, thus, total revenue. o True o False

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