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stepladder [879]
3 years ago
11

In a duopoly game we observe the following payouts: if the two firms collude they will each earn $50,000. If one firm cheats the

n he earns $60,000 and the other firm earns -$10,000. If both firms cheat then they each earn zero economic profit. In this game what is the Nash equilibrium?
Business
1 answer:
OLEGan [10]3 years ago
7 0

Answer:

the Nash equilibrium for both players is to collude

Explanation:

A duopoly is when there are two firms operating in an industry.

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.

 the Nash equilibrium for both players is to collude because it is the best outcome for both players. if, a player cheats, there is a chance that the other player would cheat and both firms would end up earning a zero economic profit

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They save you time designing slides and allow you to focus more on the content.
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What do individual shareholders gain when they buy shares of a company’s stock?
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A partial ownership in the corporation.
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3 years ago
Eviyan recently received a copy of his performance review report. During the review, his manager took notes regarding his perfor
Sladkaya [172]

Answer:

Eviyan's Performance Evaluation Report:

The manager has scheduled him for a meeting for a performance feedback interview.

Explanation:

Performance feedback interview is an opportunity for the employee to meet with his manager in order to iron out issues and reflect on the outcome of the evaluation.  The employee will also be required at the interview to explain and defend the performance result face to face with the manager.  Since there are always some differences in perception and evaluation, the interview provides that needed chance for a detailed discussion so that corrective measures will be defined and agreed upon.  It is a good performance policy to schedule such an interview following a performance evaluation report.

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3 years ago
In an operating lease, a sale is not recorded by the lessor. Instead, the periodic lease payments are accounted for as rent reve
yaroslaw [1]

Answer:

-The lessee reports a single amount of lease expense, which is equal to interest expense plus amortization expense, in its income statement.

-The lessor reports a single amount of lease revenue, which is equal to interest revenue plus amortization revenue, in its income statement.

-The lessee reports lease expense on a straight-line basis and the lessor reports lease revenue on a straight-line basis over the lease term.

Explanation:

The mode of reporting in an operating lease is slightly different from that in a finance lease. For example, the lessor can use a straight-line form of reporting he revenue while the lessee can use a straight-line form of reporting the expense for the given term of the lease. The lessee and lessor usually report expense and revenue respectively.

5 0
3 years ago
Cullumber, Inc. acquired 30% of Marigold Corporation's voting stock on January 1, 2021 for $890000. During 2021, Marigold earned
Strike441 [17]

Answer:

The gain on the sale of investment is $145,325

Explanation:

In determining the gain on the sale of half of the stock,the first thing to do would be determine the cost of the stock sold such that the cost can then be compared with the proceeds from the sale of the investment so as to determine the gain therein.

The total investment should be valued in such a way that the share of profits should be added to the investment while the dividends received would be deducted.

Jan,1 2021                                                                   $890,000

Share of profit($367,000*30%)                                  $110,100

less dividends(since it already received in cash

($228,000*30%)                                                         ($68,400 )

Value of investment at 31 Dec,2021                         $931,700  

Share of profit(30%*$467000)*6/12                           $70,050

Dividends(30%$128,000)                                          ($38,400 )

Value of investment as at 1 july  2022                     $963,350  

Note that as at I july 2022 Marigold Corporation is only entitled to half year profits on the investment as well as half year dividends

Cost of half of investment=$963,350*1/2=$ 481,675.00  

Gain= proceeds-cost=$627,000- 481,675 =$145,325

4 0
3 years ago
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