There Are Only Two Firms in an Industry with Demand

Multiple Choice

There are only two firms in an industry with demand curves q₁ = 30 - P and q₂ = 30 - P.Both have no fixed costs and each has a marginal cost of 10 per unit produced.If they behave as profit-maximizing price takers,each produces 20 units and sells them at a price of 10 so that each firm makes zero economic profits.If they formed a cartel and split the production of the output evenly,the profit-maximizing quantity produced by each firm is

A) 5.
B) 10.
C) 15.
D) 20.