Types of games, Managerial Accounting

Assignment Help:

Types of games

Four basic ways in which competitive situations (or games) can be classified are:

(a) Number of Competitors:

In game theory a competitor is characterized as a distinct set of interests and is usually referred to as a person.  Competitors could be individuals, group of individuals, corporation, and an army etc. The smallest no. of competitors is 2 and the situation is referred to as a two-person game. If there are more than two competitors, the resulting many-person competitive situation is called and N-person game.

(b) Nature of the payoff:

Games are also classified with respect to the nature of the payoff, that is, what happens at the end of the game. The distinction in this respect is between zero-sum games and non zero-sum games. If the sum of the payoffs to all players of a game is zero, counting winnings as positive and losses as negative, then, the game is zero-sum otherwise it is non zero sum.  Zero-sum games are strictly competitive games. In a non-zero sum game, the interests of competitors may best be served if they corporate with each other.

c) The amount of information the competitors have:

There are three basic aspects of the game about which the players need some information in order to play

(i) Who their competitors are
(ii) What their competitors can do
(iii) How the outcome of the game will be affected by the actions taken by participants.

Games in which each participant knows the payoff for winning, knows who the competitors are, and knows all the moves the competitors make as soon as they make them are referred to as games with perfect information. Games lacking full information on what competitors can do or on what the outcome of the game will be in certain situations are said to be games with incomplete information. Games with complete but imperfect information may also exist.

d) Strategies:

In game theory a strategy for a particular player is a plan which specifies his action for every possible action of his opponent. It is a complete plan for playing the game in every possible eventuality. Games can be categorized according to the number of strategies available to each player. If player 1 has M possible strategies and player 2 has N possible strategies, then the game is M x N. If the greatest no. of strategies available to any player is finite, then the game is finite and if at least one player has an infinite no. of available strategies, then the game is infinite.


Related Discussions:- Types of games

Accounting rate of return - arr, ARR gives a fast estimate of a project's v...

ARR gives a fast estimate of a project's value over its useful life. ARR is derived by determining profits before taxes and interest.   ARR is an accounting technique used fo

Optimum solution, Optimum Solution From the stand point of implementing...

Optimum Solution From the stand point of implementing the LP solution, the mathematical classification of the variables as basic and non-basic is of no importance and should be

Illustration of graphic analysis , Illustration of Graphic Analysis Th...

Illustration of Graphic Analysis The four steps of cost-volume-profit analysis can be employed to graph and study any cost-volume relationship. Suppose that you have been aske

Credit investigation, Once the credit information is accumulated the subseq...

Once the credit information is accumulated the subsequent step is to analyze the gathered information and isolate those matters that may need further investigation. The factors whi

Assignment help, I need help making sure I did my accounting assignment cor...

I need help making sure I did my accounting assignment correctly

Analysis of each decision package , Analysis of Each Decision Package ...

Analysis of Each Decision Package This analytic procedure permits the manager of the decision package and its alternatives to assess and validate its operation. Numerous quest

Determine the value of equipment at the current date, A company is preparin...

A company is preparing a value in use calculation for a factory building and the equipment used to make a particular product. It has prepared cash flows for the next five years fro

Starbucks project, 1) FUTURE CASH FLOWS: Prepare a three (3) year forecast ...

1) FUTURE CASH FLOWS: Prepare a three (3) year forecast of estimated future cash flows for starbucks and give valid economic/business reasons for your projections. This means you w

Generates paychecks and management reports, Time sheets are collected in a ...

Time sheets are collected in a batch, and the information is manually keyed into the system. This data is now stored on a magnetic disk. An editing program is run, which verifies w

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd