3) Consider a simultaneous quantity choice (Com-not) game between 2 rms. Each rm chooses a quantity, ql and q2 respectively. The inverse market demand function is given by P(Q) = 1434 2Q where Q = ql + Q2. Firm 1 has cost functions, T0031) 2 3(Q1)2 MC(91) = 591 and Firm 2 has cost functions, TC(q2) = 12(q2)2 129:2 Mom) 2 24.32 12 Each rm wishes to maximise its prot. [Note: the Cournot game is an example of the continuous strategy games we studied in the game theory topic.] a) Set up the prot function for Firm 1 and Firm 2. b) You know that MR1 = 1434 4q1 2q2 and MR2 = 1434 2q1 4q2. Find the best response functions for Firms 1 and 2. c) Find the Nash equilibrium to this game. d) Find the (1) total market quantity, (2) price, and (3) prot for each rm