2) Evanlyn and Halt are in an ECOIUI study group. They need to prepare for their study group meeting and must make their choice at the same time. Suppose they have two choices Prepare or Don't Prepare. Preparation effort is costly. Denote this effort cost by 'E'. The benet of preparation is a higher grade on the nal. If both prepare5 they both get an A. If one prepares and the other doesn't, the one who prepares gets a B and the other a C. If neither prepares5 they both get a D. 2a) [3 points] Is this a strategic situation? Explain your reasoning. 2b) [7 points] Create a payoff matrix that captures the outcomes of their choices using only the letters A:B,C:D and E. What assumptions would we need on Evanlyn Wiluations of the different grades (A, B, C, D) and preparation effort (E) for 'Prepare' to be her strictly dominant strategy? Briey explain your reasoning.