Hi, I need help understanding what I did wrong in question (1.C) and question (1.D). I already submitted my work, but my TA advised me that the payoff/profit values (4050 and 3600) I found in question (1.C) are not correct. Could you help me understand why? How should I calculate the payoff/profit values when one firm chooses Cooperate and one firm chooses Defect? My TA advised that I should calculate based on a "model", but I am not sure which model, and am confused. Thank you!

Attached:

• Question (1.B) and (1.C)
• My work for all questions
• Reference 1
• Reference 2