The Market for Bagels Contains Two Firms: BagelWorld (BW)and Bagels'R'Us

The market for bagels contains two firms: BagelWorld (BW) and Bagels'R'Us (BRU) .The owners of the two firms decide to fix the price of bagels.The table shows the total profits the firms will earn if they abide by the price setting agreement or if they cheat on the agreement. $\begin{array}{c}\text { Bagel World }\\\text { Bagels'R'Us }\begin{array}{|l|l|l|}\hline & \text { Cheat } & \text { Abide } \\\hline \text { Cheat } & \text { BRU: } \$ 40 ; \text { BW: } \$ 40 & \text { BRU: } \$ 80 ; \text { BW: } \$ 0 \\\hline \text { Abide } & \text { BRU: } \$ 0 ; \text { BW: } \$ 80 & \text { BRU: } \$ 45 ; \text { BW: } \$ 45 \\\hline\end{array}\end{array}$
Refer to the figure above.This game has __________ with __________.

A) a Nash equilibrium;both firms abiding by the agreement
B) no equilibrium;no prediction about which strategy will be chosen
C) a Nash equilibrium;both firms cheating
D) a Nash equilibrium;Bagel World cheating and Bagels 'R' Us abiding