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4. The following is a payo' matrix showing prot in millions of dollars when two companies simultaneously decide on various advertising budgets ($1 million, $2

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4. The following is a payo' matrix showing prot in millions of dollars when two companies simultaneously decide on various advertising budgets ($1 million, $2 million, or $3 million): Pizza Hut $1 mi\" $2 mi\" $3 mi\" 51 mill $70 / $125 65/ 130 55/ 120 Papa Johns $2 mill 85/ 120 70/ 110 65/ 105 $3 mill 80/ 100 75 / 95 60/ 90 a. In the first round of strategy elimination (when all three possible budgets are under consideration), which ad budget would the companies exclude? b. After the rst round of elimination (previous question), would either company make a second-round elimination? c. What would be the likely outcome of this simultaneous advertising decision (i.e. what ad budget would each company end up choosing)

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