Multiple Choice
Use the information for the question(s) below. As an oil refiner, you are able to produce $76 worth of unleaded gasoline from one barrel of Alaska North Slope (ANS) crude oil. Because of its lower sulfur content, you can produce $77 worth of unleaded gasoline from one barrel of West Texas Intermediate (WTI) crude.
Assuming you currently have 10,000 bbl of WTI crude, the added benefit (cost) to you if you were to sell the of WTI crude and use the proceeds to purchase and refine ANS crude is closest to ________.
A) ($1400)
B) $1400
C) ($3908)
D) $3908
Correct Answer:

Verified
Correct Answer:
Verified
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