Use your knowledge of microeconomics to solve the problems.

(Ch. 14) The market for computer chips is controlled by two firms: AMD and Intel. Assume that the marginal cost of producing a chip is $200 and that any fixed costs of development are sunk. This table shows the demand schedule for computer chips. Price($) Quantity Demanded 1000 900 500 800 1000 700 1500 600 2000 1500 2500 400 3000 300 3500 200 4000 100 4500 5000 If the firms form a cartel and evenly split the profit-maximizing level of output, how many chips will each firm produce? O 1000 O 1500 O 2000 O 2500(Ch. 14) This payoff matrix describes the payoffs to Mcdonald's and Burger King depending on their choices of whether to price their burgers high ($4) or low ($3). Mcdonald's High Low High 1000, 1000 800, 1150 Burger King Low 1150, 800 900, 900 Which of the following is the Nash Equilibrium of this one-shot interaction? O (High, High) O (1000, 1000) O (Low, Low) O (900, 900)(Ch. 14) This payoff matrix describes the payoffs to Chili's and Applebees for different amounts of advertising (high or low). Chili's '3 High Low 3 High 1200, 1200 300, 1150 g Low 1150, 800 900, 900 a.