Day 14,176 looking for those EOCs (Evil Oil Companies). Still haven't found any.
A barrel of oil has 42 gallons. A barrel costs a hundred bucks. The oil component of a gallon of gas costs 2.40. Average taxes on a gallon of gas are 50 cents. Average price per gallon for gas is $3.50. That leaves gross revenue at the pump per gallon of 60 cents, split between the retailers, distributors, refiners and producers.
So if Exxon is a producer and refiner, they're getting somewhere in the range of .30 per gallon. But wait, that's gross revenue. Whack the costs of production and overhead before you realize gross margin; then whack interest, taxes, depreciation and amortization before you reach net profit.
In conclusion, The Evil Oil Companies make pennies from each gallon of gas, and employ millions. The Feds alone siphon 18 cents out of every gallon of gas, and don't do a damn thing to earn it.
Of course, there's a simpler way to calculate profit, based on stats from your very own federal government. The Bureau Of Labor Statistics reports that even for very profitable companies, net profits hover around 10-12 percent. Do the damn math, but consider that even on the profits that oil companies generate, the federal government carves out a bigger percentage for themselves than what is earned by shareholders.
This is why I so enjoy articles like this, where moronic Liberals demonstrate their inability to grasp even a basic concept like profit:
http://switchboard.nrdc.org/blogs/smui/following_the_money_whos_profi.html
A barrel of oil has 42 gallons. A barrel costs a hundred bucks. The oil component of a gallon of gas costs 2.40. Average taxes on a gallon of gas are 50 cents. Average price per gallon for gas is $3.50. That leaves gross revenue at the pump per gallon of 60 cents, split between the retailers, distributors, refiners and producers.
So if Exxon is a producer and refiner, they're getting somewhere in the range of .30 per gallon. But wait, that's gross revenue. Whack the costs of production and overhead before you realize gross margin; then whack interest, taxes, depreciation and amortization before you reach net profit.
In conclusion, The Evil Oil Companies make pennies from each gallon of gas, and employ millions. The Feds alone siphon 18 cents out of every gallon of gas, and don't do a damn thing to earn it.
Of course, there's a simpler way to calculate profit, based on stats from your very own federal government. The Bureau Of Labor Statistics reports that even for very profitable companies, net profits hover around 10-12 percent. Do the damn math, but consider that even on the profits that oil companies generate, the federal government carves out a bigger percentage for themselves than what is earned by shareholders.
This is why I so enjoy articles like this, where moronic Liberals demonstrate their inability to grasp even a basic concept like profit:
http://switchboard.nrdc.org/blogs/smui/following_the_money_whos_profi.html
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