co Consider a market with two firms, Kellogg and Post, that sell breakfast cereals, Both companies must choose whether to charge a high price ($5.00) or a low price ($3.50) for their cereals. These price strategies, with corresponding profits, are depicted in the payoff matrix to the right. Kellogg's profits are in red and Post's are in blue. What is the cooperative equilibrium for this game? Kellogg O A. A cooperative equilibrium does not exist for this game. Price = $5.00 Price = $3.50 O B. The cooperative equilibrium is for Kellogg to choose a price of $3.50 and Post to choose a price of $5.00. $800 $50 Price = $5.00 O C. The cooperative equilibrium is for Kellogg to choose a price of $5.00 and Post to choose a price $800 $900 of $3.50. Post OD. The cooperative equilibrium is for Kellogg and Post to both choose a price of $5.00. $900 $350 O E. The cooperative equilibrium is for Kellogg and Post to both choose a price of $3.50. Price = $3.50 $50 $350 Is the cooperative equilibrium likely to occur? The cooperative equilibrium A. is likely to occur because the game does not have a Nash equilibrium. O B. is unlikely to occur because the cooperative equilibrium is a Nash equilibrium. O C. is likely to occur because charging $5.00 is a dominant strategy. O D. is unlikely to occur because charging $5.00 is not a dominant strategy. O E. is likely to occur because the companies do not have dominant strategies