Question: Exercise 19.6: Suppose the demand for Coke and Pepsi is a small city are given by formulas (12) and (13) [below], with D=50. The marginal cost is $0.30 per can. Find the Nash equilibrium prices. How does a change in D affect competition? Why?

(12) \({{Q}_{C}}=45-50{{P}_{C}}+D\left( {{P}_{P}}-{{P}_{C}} \right)\)

(13) \({{Q}_{P}}=45-50{{P}_{P}}+D\left( {{P}_{C}}-{{P}_{P}} \right)\)