Consider Two Firms Competing to Sell a Homogeneous Product by Setting

Multiple Choice

Consider two firms competing to sell a homogeneous product by setting price.The inverse demand curve is given by P = 6 − Q.If each firm's cost function is C_i(Q_i) = 2Q_i,then consumer surplus in this market is:

A) $2.
B) $4.
C) $8.
D) There is insufficient information to determine consumer surplus in this market.