The Table Below Shows the Payoff (Profit)matrix of Firm a and Firm

question 110

Multiple Choice

The table below shows the payoff (profit) matrix of Firm A and Firm B indicating the profit outcome that corresponds to each firm's pricing strategy (where $500 and $200 are the pricing strategies of two firms) . Table 25.2 Refer to Table 25.2.If firm both firm A and firm B choose their dominant strategies then:

• A)firm A makes a profit of $40 and firm B makes a profit of $45.
• B)firm A makes a profit of $50 and firm B makes a profit of $45.
• C)firm A makes a profit of $50 and firm B makes a profit of $40.
• D)firm A makes a profit of $42 and firm B makes a profit of $40.
• E)firm A makes a profit of $40 and firm B makes a profit of $20.

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Definitions:

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Fundamental sound units within a language that help to distinguish different words.

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The smallest grammatical units in a language that have semantic meaning.

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