The payoff matrix presents the profits for Firms X and Y under their two individual pricing strategies. Suppose both firms have agreed to maximize their combined profits by colluding on their pricing strategies. Use the information in this payoff matrix to answer the two questions.

	Firm X strategy
Firm Y strategy	Low price	High price
Low price	Firm X Profit = 77 Firm Y Profit = 77	Firm X Profit = 43 Firm Y Profit = 111
High price	Firm X Profit = 111 Firm Y Profit = 43	Firm X Profit = 89 Firm Y Profit = 89

Compare the profits of Firm X when both firms respect the collusive agreement to the profits of Firm X when Firm X secretly cheats on the agreement. How much additional profit would Firm X earn by secretly cheating on the agreement to collude? Round your answer to the nearest whole number.

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Compare the profits of Firm Y when both firms respect the collusive agreement to the profits of Firm Y when both firms cheat on the agreement. By how much would the profits of Firm Y fall if both firms cheat on the agreement to collude? Round your answer to the nearest whole number.

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