Question
As a petroleum engineer in a company you are unsure on how much money could be made per each barrel of oil produced, as the
As a petroleum engineer in a company you are unsure on how much money could be made per
each barrel of oil produced, as the oil price, production and transportation costs vary
significantly. To account for this the aforementioned parameters have been defined in terms
of probabilities;
30% probability company could make $ 2 per bbl
5% probability company could make $ 3 per bbl
20% probability company could make $ 5 per bbl
a) What is the expectation value of 1 million barrels?
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Taxation Of Individuals And Business Entities 2015
Authors: Brian Spilker, Benjamin Ayers, John Robinson, Edmund Outslay, Ronald Worsham, John Barrick, Connie Weaver
6th Edition
978-1259206955, 1259206955, 77862368, 978-0077862367
