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Consider a market with two firms, providing substitutable products. The inverse demand function faced by firm is . and the marginal cost of these two firms are , respectively. Suppose that firm 1 sets price first and firm 2 decides its price after observing firm 1's price, what is the equilibrium price charged by firm 1 and firm 2?
A.
Firm 1 charges 0, firm 2 charges $ 10
B.
Firm 1 charges $9.99, firm 2 charges $10
C.
Firm 1 charges $9.99, firm 2 charges 0