Question
__________ involves buying or selling one shipment of oil under a price that is agreed upon at the time of the arrangement. a. Spot price
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__________ involves buying or selling one shipment of oil under a price that is agreed upon at the time of the arrangement.
a. Spot price
b. Posted price
c. Future price
d. WTI price
e. None of these
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The __________ method measures the proportion of the present value of dollars returned to dollars invested.
a. None of these.
b. IRR
c. NPV
d. risk-adjusted payback
e. profitability index
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What does the payback method use to rank projects?
a. The relative size of the potential profit
b. How long the invested money is at risk
c. The number of years the well wil be producing
d. The size of the investment relative to the number of years
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