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4. An Application: A Law Partnership Game PARTNERSHIPS Rachel and Linda are partners in a small law firm (Croson and Babcock). By working hard,
4. An Application: A Law Partnership Game PARTNERSHIPS Rachel and Linda are partners in a small law firm ("Croson and Babcock"). By working hard, each partner brings $80 of revenue into the firm but personally bears a $36 effort cost. It the partner shirks instead, she only brings $40 of revenue into the firm but bears no cost of effort. The partners' revenues are pooled and then split equally between the two. Linda Work Shirk Hard $40 $24 Shirk Rachel $40 $60 $60 $44 Work Hard $24 $44
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Financial and Managerial Accounting the basis for business decisions
Authors: Jan Williams, Susan Haka, Mark Bettner, Joseph Carcello
16th edition
0077664078, 978-0077664077, 78111048, 978-0078111044
