Benha University IND301_Advanced Operations Research

Faculty of Engineering at Shoubra Assignment #5 1st term 2022/23 (231)

Industrial Engineering Program Subject: Theory of Games
[1] Solve the following game whose pay-off matrix is given below.

[2] Two companies are producing a new toy under license from a patent holder. In order to
meet the demand, they have the option of running the plant for 8, 16, or 24 hours a day. As
the length of production increases, so does the cost. One of the manufactures, A, has set up
the matrix given below in which he estimates the percentage of the market that he could
capture if he adopts the different product schedules.

(a) At which level should each produce.

(b) What per cent of the market share will A have?

[3] In a certain game player A has three possible course of action L, M, and N, while B has
two possible choices P and Q. Payments to be made according to the choice made
choices Payments
LP A pays B $3
LQ B pays A $3
MP A pays B $2
MQ B pays A $4
NP B pays A $2
NQ B pays A $3
What are the best strategies for players A and B in this game? What is the value of the game
for A and B?

[4] Solve the following game and determine the value of the game.

Dr. Sayed Ali Zayan 1

[5] The following is the payoff matrix of a game being played by A and B. Determine the
optimal strategies for the players and the value of the game.

[6] Consider the matching coins game. The matching player is paid $8 if the two coins are
both heads and $1 if both are tails. The non-matching player is paid $3 when coins do not
match. Given the choice of being the matching or the non-matching player, which would you
choose and what would be your strategy?

Dr. Sayed Ali Zayan 2