Suppose you are attempting to buy a used bicycle, and you are bargaining with the owner over the sale price. The bike is worth $200 to you and $100 to the owner (he can sell it to another customer at a later date). Assume that bargaining takes place wit

Suppose you are attempting to buy a used bicycle, and you are bargaining with the owner over the sale 
price. The bike is worth $200 to you and $100 to the owner (he can sell it to another customer at a later 
date). Assume that bargaining takes place with alternating offers and that each stage of bargaining (an 
offer and a response) takes a full day to complete. If no agreement is reached after 3 days of bargaining, 
then the opportunity for sale disappears and both get zero. Suppose that both you and the current owner 
discount the future according to a discount factor of δ per day. The seller has allowed you to make the 
first offer. (Denote the buyer as player 1, the seller as player 2, and denote the selling price by x.)