How did the use of steam engines affect the manufacturing and distribution of products such as iron and cotton cloth

Answer: The correct answer is : Factories increased production. New sources of energy were used, such as coal, which in addition to developing the steam engine with it, was widely used in the production of iron, which was of a better quality and less expensive. Machinery, locomotives and steamships were operated with the steam engine. The goods could be sent faster and at a lower cost by land.

After the steam engine was invented factories could be located anywhere. Not just by rivers. They could now (after the invention of the steam engine) transport things faster and easier.