Stock Option Pricing - 2 Main Components, Intrinsic Value & Extrinsic Value. The price of an option contract, or sometimes known as the option premium, consists of 2 main components : Intrinsic Value and Extrinsic Value, governed by the principle of Put Call Parity.
US oil settles down $1.75, or 5.28%, at $31.41 a barrel. A brutal new year selloff in oil markets deepened on Monday, with prices plunging more than 6 percent to new 12-year lows as further ructions in the Chinese stock market threatened to knock crude into the $20s.
A: Retailer (gas station) profit is about 1 to 5 cents a gallon. So they pay the posted price, less that and less taxes (federal, state, local). Q: I did some simple calculations, and the numbers don't seem to make any sense. Let's assume that the price of crude oil is $37.00 per barrel.At 19.5 gallons of gasoline per barrel, this means that a gallon of gasoline in its crude oil form costs $1.90. Yet, when I pump it into my car, I'm currently paying $1.76 per gallon.: The 42-gallon barrel of crude oil makes about 19 gallons of gasoline, 9 gallons of fuel oil, 4 gallons of jet fuel, and 11 gallons of other products, including lubricants, kerosene, asphalt, and petrochemical feedstocks to make plastics.