So each person could have been sharing one binary digit of their number with each round. Or they might have used a completely different encoding. We simply cannot know.
edit: After rereading the problem they weren’t told the parameters of the problem or even that they are participating in a puzzle.
The primes below that can be present in products that have multiple possible answers: eg. we can't eliminate 47 right off the bat because Peter could have been told a product like 3290.
How do you figure? If Peter is given 97 (a prime), how is he supposed to know that a) he's been given a product (puzzle doesn't say he was told it's a product) and b) if he knows he's been given a product how is he supposed to know 97 is prime? He wasn't told that in the puzzle either.
1. is a person that solves logical puzzles if possible
2. knows that the other one + (insert point 1 here).
3. knows that the other one + (2)
4. knows that the other one + (3)
...
Common knowledge is a special kind of knowledge for a group of agents. There is common knowledge of p in a group of agents G when all the agents in G know p, they all know that they know p, they all know that they all know that they know p, and so on ad infinitum. It can be denoted as {\displaystyle C_{G}p}.