Two Men's Clothing Stores That Compete for Most of the Market

Two men's clothing stores that compete for most of the market in a small town in Ohio must choose their advertising levels simultaneously. The following payoff table facing the two firms, Arbuckle & Son and Mr. B's, shows the weekly profit outcomes for the various advertising decision combinations. Use this payoff table to answer Questions .
$\begin{array} { l } &\text {Mr: B's aavertisinglevel }\\ \text {Arbuckle \& Son advertising level }&\begin{array}{l|l|l|}& \text {High }& \text { Low }\\\hline High &\mathrm{A}&\mathrm{B}\\& {\$ 4,000, \$ 4,000} &{\$ 3,000, \$ 5,000} \\\hline Low &\mathrm{C}&\mathrm{D}\\&{\$ 5,000} \$ 3,000 & {\$ 3,500, \$ 3,500} \\\hline\end{array}\\\end{array}$
-Which of the following statements is NOT true for the advertising decision facing Arbuckle & Son and Mr. B?

A) When both firms choose a high level of advertising, they are in Nash equilibrium.
B) When both firm choose a low level of advertising, they are in Nash equilibrium.
C) This is a prisoners' dilemma decision situation.
D) Cell's B and C are not strategically stable.
E) A dominant strategy equilibrium exists for Arbuckle and Mr. B.