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cricket20 [7]
3 years ago
9

Two firms compete by advertising. Given the payoff matrix to this advertising​ game, identify each​ firm's best response to its​

rival's possible actions. If Firm 2 does not​ advertise, then Firm 1 should ▼ advertise not advertise and if Firm 2​ advertises, then Firm 1 should ▼ not advertise advertise . If Firm 1 does not​ advertise, then Firm 2 should ▼ not advertise advertise and if Firm 1​ advertises, then Firm 2 should ▼ not advertise advertise . Does either firm have a dominant​ strategy? Firm​ 1's dominant strategy is to ▼ not advertise advertise and Firm​ 2's dominant strategy is to ▼ not advertise advertise . What is the Nash​ equilibrium? A. The Nash equilibrium is for both firms to advertise. B. The Nash equilibrium is for Firm 1 to advertise and Firm 2 to not advertise. C. This game has no Nash equilibria. D. The Nash equilibrium is for both firms to not advertise. E. The Nash equilibrium is for Firm 1 to not advertise and Firm 2 to advertise.
Business
1 answer:
Yuki888 [10]3 years ago
3 0

Answer:

If Firm 2 does not advertise, Firm 1 should advertise

If Firm 2 advertises, then Firm 1 should also advertise

Firm 1 dominant strategy is to advertise

Firm 2 dominant strategy is to advertise

1. A. Nash equilibrium is for both Firms to advertise.

Explanation:

Nash equilibrium is a state where interactions by different firms in a matrix is involved. No firm can gain by a unilateral change of strategy if other firm does not changes its strategy. It is a situation where there is optimal when there is no deviation from the initial strategy. Here firm 1 can by advertise and Firm 2 can also optimize by advertising.

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Insight Guides, a line of travel books, provide travelers with background information about the peoples' beliefs, values, and cu
astra-53 [7]

Answer:

culture

                               

Explanation:

Insight Guides refers to a travel company based in London, England, having operational offices in Singapore and Warsaw, established by Hans Johannes Hofer. They offer customized vacation packages to thousands of locations all over the world and also a range of full-color guide books. They even manufacture tourists ' charts, globes, and traveling accessories.

Insight Guides announced a new website in September 2015, focusing on the sale of customized package deals crafted by real experts. They often publish stuff and updates relevant to travel on their forum.

6 0
2 years ago
During the process of succession, A. only consumers can enter a developing ecosystem. B. producers typically enter a developing
Karolina [17]

Answer: B. producers typically enter a developing ecosystem before consumers.

Explanation: Succession can be described as the series of predictable changes that occur in a community over time.

During the process of Succession,producers typically enter a developing ecosystem before consumers.

Consumers need producers, this is because producers create food for themselves and also provide energy for the rest of the ecosystem.

6 0
3 years ago
Assume a state has a criminal statute that punishes "every person who by himself or his employee or agent sells anything at shor
Kitty [74]
<span>Because the statute penalizes the person committing the crime as well as the employer whose employee committed the crime, Chris can be held liable, and the company that we works for (Watkins) can be held vicariously liable under the statute.</span>
5 0
2 years ago
Highway 55 Studios has budgeted the following amounts for its next fiscal​ year: Total fixed expenses $ 1 comma 980 comma 000 Se
faust18 [17]

Answer:

Contribution per unit = Selling price - Unit variable cost

                                     = $70 - $10 = $60

Break-even sales in units = <u>Fixed cost</u>

                                             Contribution per unit

                                         = <u>$1,980,000</u>

                                                   $60

                                        = 33,000 units

If fixed cost reduced by $49,500, new fixed cost will be $1.930,500

33,000     = <u>$1,930,500</u>

                      $70 - VC

33,000(70 - VC) = $1,930,500

2,310,000 - 33,000VC  = $1,930,500

2,310,000 - $1,930,500 = 33,000VC                                          

379,500  = 33,000VC

<u>379,500</u>  = VC

33,000

VC = $11.50

Increase in variable expenses per unit

= $11.50 - $10 = $1.50

Explanation:

In this case, we need to determine the break-even point in units, which is fixed cost divided by variable expenses per unit. If total fixed expenses reduced by $49,500, the new total fixed expenses will be $1,930,500. Then, we will equate the break-even point in units to the new fixed cost divided by contribution per unit, which is selling price minus variable expenses per unit. Since break-even point in units, new fixed cost and selling price were known with the exception of variable cost, variable cost becomes the subject of the formula. The old variable expenses will be deducted from the new variable expenses so as to obtain increase in variable expenses per unit.

7 0
3 years ago
Montclair Corporation had current and accumulated E&amp;P of $500,000 at December 31, 20X3. On December 31, the company made a d
siniylev [52]

Answer:

The tax consequences of the distribution to Montclair in 20X3 would be a $150,000 gain recognized and a reduction in E&P of $175,000.

Explanation:

The distribution company distinguishes profit on the distribution, which is included in E&P netting of tax and decreases E&P by rhe lands fair market value fewer the liability believed by the shareholders.

Therefore, The tax consequences of the distribution to Montclair in 20X3 would be a $150,000 gain recognized and a reduction in E&P of $175,000.

3 0
3 years ago
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