4. (20 points) Consider the Bertrand price setting game we studied in class. There are two firms that sell homogeneous goods. Each firm chooses a price to compete in the market. Firm 1 has a capacity of g = 7 and Firm 2 has a capacity of ; = 5. Firms split the total demand in the proportion of their capacity if the choose an identical price. The market demand is given by P(q) =20 gq. 'What prices will be set by each firm in a Nash Equilibrium if (a) (10 points)Both firms have a marginal cost of 57 (b) (10 points)Both firms have a marginal cost of 147