Xs strategy, Managerial Accounting

Assignment Help:

X's Strategy

X will like to divide his play between his rows in such a way that his expected winnings or losses when Y plays the first column will be equal to his expected winnings or losses when Y plays the second column.

337_table1.jpg

Total = Q + 5(1-Q)

1954_table2.jpg



Total = 4Q + 3(1-Q)

Therefore, Q + (1-Q)5 = 4Q + 3(1-Q)
Giving Q = 2/5    and    (1-Q)    = 3/5

This means that player X should play his first row 2/5th of the time and his second row 3/5 of the time.

Using the same reasoning Y' Strategy;

1 X R + 4(1-R) =     5R + 3(1-R)
Giving R = 1/5    and    (1-R)    = 4/5

This means that player Y should divide his time between his first and second column in the ratio 1:4

This is shown in the following matrix:

768_formula.jpg


Related Discussions:- Xs strategy

What are the characteristics of standard costing, Characteristics of standa...

Characteristics of standard costing 1) Flow of information : in a standard costing system cost information flows in a straight forward manner as material is requisitioned and

Explain decision unit - zero base budgeting, Explain decision unit - zero b...

Explain decision unit - zero base budgeting Decision units: an organization is divided among decision units. The manager of the decision unit justifies the relative budget

Show process of pricing under decline stage, Q. Show process of Pricing und...

Q. Show process of Pricing under decline stage? In this stage the producer should follow the pricing strategy which may fetch revenue not less than its cost of production. If h

Ordering costs-relevant costs of eoq model, Ordering Costs These are in...

Ordering Costs These are incurred in getting purchased items into the company’s inventory or stores, and usually consist of clerical costs of: •    Making the purchase demand.

#title.standard cost and variances., Direct materials,4yard at$3.50per yard...

Direct materials,4yard at$3.50per yard...$14.00 Direct labor,1.5direct labor hours at $12.00 per direct labor hour....$18 Variableoverhead,1.5 direct labour hours at $2.00 per dire

Markov analysis, Markov Analysis It is a way of analyzing the current mov...

Markov Analysis It is a way of analyzing the current movement of some system in an effort to predict the future movement of the same system. There are two elements that must be

Explain phases of life cycle of a product, Q. Explain Phases of life cycle ...

Q. Explain Phases of life cycle of a product? Every product move through a life cycle having five phases as shown in figure and they are 1) Pricing during introduction 2)

What is product life cycle, Product life cycle Every product has a life...

Product life cycle Every product has a life cycle. The life cycle of a product vary from months to various years. For example in the case of cameras photocopying machines etc.

Hire purchase and leasing, This is a most familiar form of medium term fina...

This is a most familiar form of medium term financing in obtaining plant and vehicles, machinery etc. In hire purchase transactions, the purchaser of goods will obtain the possessi

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd