Instructions: Show all your work (including bi-matrix and/or game tree when relevant).1. Two investors have each deposited 4 (all amounts are in $10,000s) with a bank. The bankhas invested these deposits in a long-term project.If both investors make withdrawals at date 1 then each receives 2 and the game ends. Ifonly one investor makes a withdrawal at date 1 then that investor receives 4, the otherreceives 0, and the game ends. Finally, if neither investor makes a withdrawal at date 1 thenthe project matures and the investors make withdrawal decisions at date 2.If both investors make withdrawals at date 2 then each receives 8 and the game ends. Ifonly one investor makes a withdrawal at date 2 then that investor receives 10, the otherreceives 6, and the game ends. Finally, if neither investor makes a withdrawal at date 2 thenthe bank returns 8 to each investor and the game ends.Find the subgame-perfect outcomes.

Given Information: Consider a given information in which two investors have each deposited 4…

Answered: Instructions: Show all your work…

MATLAB: An Introduction with Applications

6th Edition

ISBN:9781119256830

Author:Amos Gilat

Publisher:Amos Gilat

Chapter1: Starting With Matlab

Section: Chapter Questions

Problem 1P

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Reduce the payoff matrix by dominance.
Duffin House, Higgins Press, and Sickle Publications all went public on the same day recently. John O'Hagan had the opportunity to participate in all three initial public offerings (partly because he and Marjory Duffin are good friends). He made a considerable profit when he sold all of the stock 2 days later on the open market. The following table shows the purchase price and percentage yield on the investment in each company. Purchase Priceper Share ($) Yield (%) Duffin House (DHS) 8 20 Higgins Press (HPR) 10 15 Sickle Publications (SPUB) 15 15 He invested $25,000 in a total of 2,600 shares and made a $4,350 profit from the transactions. How many shares in each company did he purchase? Duffin House shares Higgins Press shares Sickle Publications shares I have x+y+z=2600 8x+10y+15z=25,000 160x+150y+225z=435,000 i keep getting y=506, i know im doing something wrong :(
Avicenna, an insurance company, offers five-year commercial property insurance policies to small businesses. If the holder of one of these policies experiences property damage in the next five years, the company must pay out $26,500 to the policy holder. Executives at Avicenna are considering offering these policies for $497 each. Suppose that for each holder of a policy there is a 2% chance they will experience property damage in the next five years and a 98% chance they will not.(If necessary, consult a list of formulas.) If the executives at Avicenna know that they will sell many of these policies, should they expect to make or lose money from offering them? How much? To answer, take into account the price of the policy and the expected value of the amount paid out to the holder. Avicenna can expect to make money from offering these policies. In the long run, they should expect to makedollars on each policy sold. Avicenna can…
Avicenna, an insurance company, offers five-year commercial property insurance policies to small businesses. If the holder of one of these policies experiences property damage in the next five years, the company must pay out $23,600 to the policy holder. Executives at Avicenna are considering offering these policies for $791 each. Suppose that for each holder of a policy there is a 3% chance they will experience property damage in the next five years and a 97% chance they will not. (If necessary, consult a list of formulas.) If the executives at Avicenna know that they will sell many of these policies, should they expect to make or lose money from offering them? How much? To answer, take into account the price of the policy and the expected value of the amount paid out to the holder. O Avicenna can expect to make money from offering these policies. In the long run, they should expect to make dollars on each policy sold. O Avicenna can expect to lose money from offering these policies.…
2.)A jar contains 2 red, 3 green, and 6 blue marbles. In a game a player closes their eyes, reaches into the jar and randomly chooses two marbles. The player wins the game if at least one of their marbles is red. Suppose it costs $1 to play the game and the winning prize is $3. Mathematically analyze this game and determine if it is in your financial interest to play the game.
2. A venture capitalist, willing to invest $1,000,000, has three investments to choose from. The first investment, a software company, has a 11% chance of returning $5,000,000 profit, a 44% chance of returning $1,000,000 profit, and a 45% chance of losing the million dollars. The second company, a hardware company, has a 12% chance of returning $6,000,000 profit, a 24% chance of returning $2,500,000 profit, and a 64% chance of losing the million dollars. The third company, a biotech firm, has a 8% chance of returning $7,000,000 profit, a 37% of no profit or loss, and a 55% chance of losing the million dollars.Order the expected values from smallest to largest. first, third, second third, second, first second, first, third first, second, third second, third, first third, first, second
The casino game is played by a person called the shooter, who rolls two dice. There are two phases to the game. The first phase is called the 'come out' phase, and the second is called the 'point' phase. If the 'come out' roll of 2, 3, or 12, the shooter loses. If the 'come out' roll is a 7 or 11, the shooter wins. Otherwise, the game progresses to the 'point' phase. Complete parts (a) through (c) below. (a) What is the probability that the player loses? The probability is nothing. (Type an integer or a simplified fraction.) (b) What is the probability that the player wins? The probability is nothing. (Type an integer or a simplified fraction.) (c) What is the probability that the player progresses to the 'point' phase? The probability is nothing. (Type an integer or a simplified fraction.)
The casino game is played by a person called the shooter, who rolls two dice. There are two phases to the game. The first phase is called the 'come out' phase, and the second is called the 'point' phase. If the 'come out' roll of 2, 3, or 12, the shooter loses. If the 'come out' roll is a 7 or 11 , the shooter wins. Otherwise, the game progresses to the 'point' phase. Complete parts (a) through (c) below. (a) What is the probability that the players loses? (Type an integer or a simplified fraction.) (b) What is the probability that the player wins? (Type an integer or a simplified fraction.) (c) What is the probability that the player progresses to the 'point' phase? (Type an integer or a simplified fraction.)
The casino game is played by a person called the shooter, who rolls two dice. There are two phases to the game. The first phase is called the 'come out' phase, and the second is called the 'point' phase. If the 'come out' roll of 2, 3, or 12, the shooter loses. If the 'come out' roll is a 7 or 11, the shooter wins. Otherwise, the game progresses to the 'point' phase. Complete parts (a) through (c) below. (a) What is the probability that the player loses?
. The table below states the payoffs in political points (measured in billions of rubles) to two nations that are rivals in world politics, Russia and Ukraine. Each country can take one of two courses: peace; or war. In each cell, the first payoff is for Russia, and the second payoff is for Ukraine. (a) Assume that neither country observes the military strategy of its rival, and solve the game (if it can be solved). Explain your solution step-by-step. Does this outcome maximize total political points? (b) In general, what is a Nash equilibrium? Is the solution to this game a Nash equilibrium? (c) Suppose that each country deposits a fund of two billion rubles with the United Nations. Either country would forfeit this fund if it wages war. What is the solution now to the game? Is this a Nash equilibrium? Russia, Ukraine Peace War Peace 4,4 1, 5 War 5, 1 2,2
Investing: Lesser-Known Stocks The following question is based on the following information about the stocks of Whitestone REIT, HCC Insurance Holdings, Inc., and SanDisk Corporation.t Price Dividend Yield ($) (%) WSR 16 (WSR Whitestone REIT) НСС 56 (HCC Insurance Holdings, Inc.) SNDK 80 (SanDisk Corporation) You invested a total of $8,400 in shares of the three stocks at the given prices, and expected to earn $248 in annual dividends. If you purchased a total of 200 shares, how many shares of each stock did you purchase? WSR shares НСС shares SNDK shares
Find the value of the game given the payoff matrix below and the optimal mixing strategies of both players.

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