Assume that two companies (A and B) are duopolist who produce identical products. Demand for the products is given by the following linear demand function: P=200-Qa -Qb

where Qa and Qb are the qualities sold by the respective firms and P is the selling price. Total cost functions for the two companies are:

TCa=1500+55Qa+Qa^(2)

TCb=1200+20Qb+2Qb^(2)

Assume that the firms act independently as in the Cournot model (that is, each firm assumes that the other firm's output will not change.)

(A) determine the long-run equilibrium output and selling price for each firm

(B) determine Firm a, Firm b, and total industry profits at the optimal solution found in part(a)