The Table Below Shows the Payoff Matrix in the Form

question 69

Multiple Choice

The table below shows the payoff matrix in the form of short term profits for two firms,A and B,for two different strategies,investing in new capital or not investing in new capital.Payoffs are in millions of dollars. $\begin{array}{c}\quad \quad \quad \quad \quad \quad \quad \text { Firm } B\\\text { Firm } A\begin{array}{|l|l|l|}\hline& \text { Invest } & \text { Not Invest } \\\hline {\text { Invest }} & \$ 20 \text { for } \mathrm{A} & \$ 70 \text { for } \mathrm{A} \\& \$ 20 \text { for } \mathrm{B} & \$ 5 \text { for } \mathrm{B} \\\hline{\text { Not Invest }} & \$ 5 \text { for } \mathrm{A} & \$ 50 \text { for } \mathrm{A} \\& \$ 70 \text { for } \mathrm{B} & \$ 50 \text { for } \mathrm{B} \\\hline\end{array}\end{array}$
Refer to the figure above.An industrial spy comes to firm B and claims to know what firm A has decided.How much would this information be worth to firm B?

• A)$0.
• B)$50 million.
• C)$30 million.
• D)$70 million.

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Definitions:

Physical Stimulation

Activities or actions that invoke a sensory or physical response, often used in developmental and therapeutic contexts.

Upright

Refers to a position or posture where an individual or object is vertical and straight, typically in contrast to being horizontal or lying down.

Balance

The ability to maintain a stable and controlled body position while stationary or moving.

Motor Activity

Bodily movements produced by skeletal muscles that result in energy expenditure; essential for various physical actions.