Current Events — HabitableZone

Current Events » in reply to "gas prices are going down".......

Capitalism Lessons for HZ Socialists

Sure once gas prices break under 2.00 everyone should go out and over the next month or two buy a month or more worth of gasoline and place it into big storage tanks for their future use.

Then when the gas prices go up on November 3rd, you'll still have cheap gas. Or even better, you can sell it to your friends at just under the going rate of 4.00 (by January)

Gas can be a profitable investment!

WORK:

EXAMPLE
Problem A

Johnny buys a 10 used 100 gallon storage drums for $500. Johnny fills them with gas from October 31st - November 2nd at $2.00 a gallon costing $2,000. Starting on November 3rd gas prices will go up 3 cents a day. How long must Johnny wait to sell his gasoline at a price that will recoup him his storage expenditure and net him a $1000 profit?

2000 + 500 + 1000 = 3500
1000x=3500
x=3.5 (gas price)

3.50
-2.00
=1.50 (required price increase)

150/3 =50 (time)
50 days

SOLUTION:

Johnny must wait 50 days to sell his gas and make a $1000 profit

They teach this VERY simple math to Oil company executives early on and they just up the SCALE of johnny's figures - and see how successful they are!

No one need let gas price fluctuation cost them money when it can be profitable.

So as you reap the whirlwind of fortune from following my SDAI-Tech1 educational postings just remember...

I'm no fool, no sir-ee
I love capitalism lessons for free!
I read SDAI-Tech1 quite profitably
'Cause I'm no fool!"

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