A and B can collaborate on the production of cell phones. A produces all the parts and B assembles. If both firms exert optimal effort, the probability is 0.25 that they will generate a revenue of $600, which they will split equally. sub-optimal level of effort from one firm reduces the probability of achieving a revenue of $600 to 0.15, whereas if both firms shirk, the probably is reduced to only 0.10. Assume that optimal effort costs $35, whereas shirking costs $0.

Translate this situation into a strategic-form game where monetary amounts represent payoffs. Analyze the Nash Equilibrium and Pareto efficiency of this game