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5. Assume that firms produce identical products and make their pricing decision simultaneously. The cost stricture of firms 1

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TC1 = 1001 Deriving MC from TC1, MC1 = 10 TC2 = 2002 Deriving MC from TC2, MC2 = 20 TC3 = 3003 Deriving MC from TC3, MC; = 30Calculation of equilibrium price for firm 1: P = MC1 600 - 2Q1 = 10 Q = 295 By substituting the value of Q1, P=600 - 2*295 PP = MC3 600 - 2Q3 = 30 Q = 285 By substituting the value of Q3, P=600 - 2*285 P = $30 Thus, the equilibriumprice for firm 1 i

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