Suppose Two Firms,Allstom from France,and Bombardier from Canada,are Bidding on a Contract

Suppose two firms,Allstom from France,and Bombardier from Canada,are bidding on a contract to replace train cars for the subway system in Mexico City.If they bid the same amount,they share the contract-otherwise,the low bid wins.The figure below shows the payoff matrix for this contest.
$\begin{array}{c}&\text { Allstom (A) }\\\text { bombardier (B) }&\begin{array}{|l|l|l|}\hline & \begin{array}{l}\text { A bids } \\\$ 50 \text { million }\end{array} & \begin{array}{l}\text { A bids } \\\$ 35 \text { million }\end{array} \\\hline \begin{array}{l}\text { B bids } \\\$ 50 \mathrm{million}\end{array} & \begin{array}{l}\text { Profit to } A: \$ 10 \mathrm{~m} \\\text { Profit to } \mathrm{B}: \$ 10 \mathrm{~m}\end{array} & \begin{array}{l}\text { Profit to } A: \$ 5 \mathrm{~m} \\\text { Profit to } \mathrm{B}: \$ 0 \mathrm{~m}\end{array} \\\hline \begin{array}{l}\text { B bids } \\\$ 35 \mathrm{million}\end{array} & \begin{array}{l}\text { Profit to } \mathrm{A}: \$ 0 \\\text { Profit to } \mathrm{B}: \$ 5 \mathrm{~m}\end{array} & \begin{array}{l}\text { Profit to } A: \$ 2.5 \mathrm{~m} \\\text { Profit to } \mathrm{B}: \$ 2.5 \mathrm{~m}\end{array} \\\hline\end{array}\end{array}$ FIGURE 11- 4
-Refer to Figure 11- 4.What is the Nash equilibrium in this bidding contest between Allstom and Bombardier?

A) The two firms will co- operate and maximize their joint profits at $10 million each.
B) There is no Nash equilibrium in this bidding contest,because each firm can expect to earn at least $5 million.
C) Each firm will bid the low price,and each will earn a profit of $2.5 million.
D) Each firm will bid the high price,expecting a larger total profit.
E) both A and C are Nash equilibrium.