Appendix:
Refer to Exhibit 15A-1.

Part C: What is the expected net profit under the simple profit sharing contract,and why would the partners adopt an incentive-compatible revelation mechanism (i.e.,an optimal incentives contract)?

Question

Appendix:
Refer to Exhibit 15A-1.
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Part C: What is the expected net profit under the simple profit sharing contract,and why would the partners adopt an incentive-compatible revelation mechanism (i.e.,an optimal incentives contract)?

Quizplus · Accepted Answer

The Answer of Appendix:
Refer to Exhibit 15A-1.
​
Part C: What is the expected net profit under the simple profit sharing contract,and why would the partners adopt an incentive-compatible revelation mechanism (i.e.,an optimal incentives contract)?

Appendix: Refer to Exhibit 15A-1