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business economic – 2

1- Prepare a report mentioning the different objectives for the new startup company Careem.
2- Describe General theories and business economic theories
3- AL Rash insurance offers mail-order automobile insurance to preferred-risk drivers in Dubai. The company is the low-cost provider of insurance in this market but does not believe its $750 annual premium can be raised for competitive reasons. Its rates are expected to remain stable during coming periods; hence, P = MR = $750. Total and marginal cost relations for the company are as follows:

TC = $2,500,000 + $500Q + $0.005Q2
MC = $500 + $0.01Q

a. Calculate the profit-maximizing activity level.
b. Calculate the company’s optimal profit.

 

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