In Bertrand competition with differentiated goods, the demand curve for bags of Wilson tennis balls is $q_w = 80 - 4P_w + 2P_D$, and the demand curve for bags of Dunlop tennis balls is $q_D = 80 - 2P_D + P_w$. The two firms both have zero marginal costs. How many bags of tennis balls does each firm produce?
$q_w = 64; q_D = 48$
$q_w = 16; q_D = 24$
$q_w = 38; q_D = 32$
$q_w = 44; q_D = 44$