On what you have to be more espesific
Answer:
pricing low
yes
Explanation:
Game theory looks at the interactions between participants in a competitive game and calculates the best choice for the player.
Dominant strategy is the best option for a player regardless of what the other player is playing.
Nash equilibrium is the best outcome for players where no player has an incentive to change their decisions.
if either firm charges high, they either earn 11 million or 2 million.
if either firm charges low, it would earn either 15 million or 8 million.
because the payoffs of charging low is higher than the payoffs of charging high, the best strategy is for the firms to charge low if there is no cooperation.
the game is a prisoners dilemma because the choice the firms make isn't the choice that will yield the highest payoffs. the choice that would yield the highest payoffs is to both charge high prices.
Answer:
Answer:
$215
Explanation:
Eagles product has an EBIT of $400
Its tax rate is 30%
= 30/100
= 0.3
The depreciation is $16
The capital expenditures are $56
The planned increase in net working capital is $25
Therefore, the free cash flow to the firm can be calculated as follows
Free cash flow= EBIT(1-tax)+depreciation-capital expenditures- change in working capital
= 400(1-0.3)+16-56-25
= 400-120+16-56-25
= $215
Hence the free cash flow to the firm is $215
Based on the PPF of the country, if the country were to produce an additional 20 computers at that level, the opportunity cost would be 40 kg of wheat.
If a technological advancement allows for computers to be produced more efficiently, the PPF would expand outwards as shown in the attachment.
<h3>What would be the opportunity cost?</h3>
At the point where this country can produce 10 computers, the amount of wheat it can produce is 400 kg wheat.
If it produces 20 more computers, it will move to the point where it can produce 30 computers and 360 kg of wheat. Opportunity cost would be:
= 400 - 360
= 40 kg wheat.
<h3>What happens due to a technological advancement?</h3>
When there is an improvement in technology, the production capacity of a nation increases. This leads to the production possibilities frontier expanding outward.
Find out more on the production possibilities frontier at brainly.com/question/26685094.