Decide Whether the Game Is Strictly Determined A)A's Optimal Strategy Is Q; B's Optimal Strategy Is A;

question 6

Multiple Choice

Decide whether the game is strictly determined. If it is, give the players' optimal pure strategies and the value of the game.
$\begin{array} { l } &B& \\\text { A } &\begin{array} { r } \mathrm { P } \\\mathrm { Q } \\\mathrm { R } \\\mathrm { P }\end{array} \left[ \begin{array} { c c c } a &b& c\\-3&-5&10\\1&1&0\\-1&-2&-3\\1&1&-1\end{array} \right] \\\end{array}$

• A)A's optimal strategy is Q; B's optimal strategy is a; value: 0.5
• B) A's optimal strategy is P; B's optimal strategy is a; value: 1
• C) A's optimal strategy is P; B's optimal strategy is b; value: 1
• D) A's optimal strategy is R; B's optimal strategy is c; value: 3
• E) The game is not strictly determined

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Definitions:

Cost Equations

Mathematical formulas used to calculate the total cost of producing goods or services, often incorporating variable and fixed costs.

Absorption Costing

A method of accounting that encompasses all costs associated with manufacturing (such as direct materials, direct labor, as well as both variable and fixed overhead expenses) in the pricing of a product.

Variable Costing

An accounting method that includes only variable costs—costs that change with production levels—in the calculation of unit cost.

Standard Costs

Estimated costs associated with manufacturing a product or providing a service, used for budgeting and performance evaluation.