What about refining costs? And marketing/distribution? Taxes?
Those remain fairly constant and do not go up with the price of their raw materials.
This may have been asked/answered already - maybe has to do with futures purchasing I don't know...
I live in a small town, only 5 or 6 gas stations. They get their deliveries one, maybe 2 times a week. Last 2 or 3 weeks the pricing goes up 2 times a day, every day.
If they purchased their gas at $X amount and sold it for $X amount on day-one, what would justify their increasing the same supply 4 or more times? I can't get my brain around the concept, maybe someone can help me?
What is the definition of "profit"?
well, here in Ca, last I checked anyhow, the state tax per gallon is .18, the fed tax per gallon is .18, and the sales tax per gallon is .0825 (in Los Angeles County), hmmmm,
.4425 cents per gallon is TAX...