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Chapter_8_Game_Tree_Problem_v2_Instructions.docx

Grader - Instructions Excel 2016 Project

Chapter 8 Game Tree Problem (v2)

Project Description:

In this problem, you will calculate the payoffs for the branches of the game tree and determine what decision should be made based on the game tree.

Steps to Perform:

Step

Instructions

Points Possible

1

Start Excel. Download and open the workbook named: Chapter_8_Game_Tree_Problem_Start.

0

2

In cells D22, D23, F22, F23, H22, H23, J22, and J23, do the following: By using cell references, calculate the payoffs for Firm A and Firm B for each of the game tree branches. Use cells E6-E8 and E10-E11. Enter zero as a numeric value if the payoff is zero. Note: Do not use the equal sign when entering a numeric value.

8

3

In cells D25 and D26, determine the correct decisions for each of the firms.

2

4

In cells D28 and D29, by using cell references, calculate the profit for each of the firms based on the decision made. Use appropriate cells among D22-D23, F22-F23, H22-H23, and J22-J23.

2

5

In cell F31, determine whether the threat from Firm A to combat entry is credible.

1

6

Save the workbook. Close the workbook and then exit Excel. Submit the workbook as directed.

0

Total Points

13

Created On: 07/05/2019 1 Chapter 8 Game Tree Problem (v2)