Let's calculate...

Alright, here we are calculating the petroluem pricing that is supposed to be. Perhaps, we are cheated in some ways or they are soooo bad in maths even with a simple calculator, they can't get the maths right.

Recent price of petroleum per barrel = USD 55.00 [averaged from max and min from website]
Recent conversion : USD1.00 = RM3.60

Here, its simple for those who had calculated wrongly, let me guide you carefully incase you get lost again..

Calculating for petroleum price per barrel (RM) = 55 X 3.6 = RM 198.00 [the 'x' is multiply]

For Each Barrel there are 159 Litres

To calculate for the price per litre = 198/159 = RM 1.2453/L [the'/' is divide]

Assume production cost and other incured cost per litre = RM 0.32/L

Total cost = RM 1.25 + RM 0.32 = RM 1.57/L

Let's say the petrol station wants to earn Rm 0.03/L,

Total price = RM 1.57 + RM 0.03 = RM1.60/L

And guess what, we are paying RM 2.00/L

How stupid can we be to be fooled by simple mathematics?

Oh hold on, subsidies....I wonder..... I guess subsidies is around -RM0.40/L [there is a negative]

I wonder where that go to....

The right way should be around RM 1.60 - - - - - - [minus minus minus...etc]

But it isn't that way...I wonder why. Such poor maths calculation. Perhaps they should engage pre-schoolers to do the MATHS.

RM 0.40........I can buy 2 kuih back in some old towns.... Man....

So, tell me...does my calculation make sense?

Reference :
1) Conversion - http://www.xe.com/ucc/convert.cgi [Date accessed 18 Nov 2008]
2) Price per Barrel of oil - http://www.swivel.com/data_columns/show/1946 [Date accessed 18 Nov 2008]

7.51pm 18 November 2008