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Tapis Outback Crude Oil (TOC) $71.75/Bbl Western Australian Intermediate Crude Oil (WAI) $73.06/Bbl As an oil refiner, you are able to produce $76 worth of
Tapis Outback Crude Oil (TOC) | $71.75/Bbl |
Western Australian Intermediate Crude Oil (WAI) | $73.06/Bbl |
As an oil refiner, you are able to produce $76 worth of unleaded petrol from one barrel of Tapis Outback Crude (TOC) oil. Because of its lower sulfur content, you can produce $77 worth of unleaded petrol from one barrel of Western Australian Intermediate (WAI) crude.
Another oil refiner is offering to trade you 10,150 Bbls of TOC crude oil for 10,000 Bbls of WAI crude oil. Assuming you just purchased 10,000 Bbls of WAI crude at the current market price, the total benefit (cost) to you if you take the trade is closest to:
Select one:
A.$730,600B.$770,000C.$771,400D.$773,908Step by Step Solution
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