Comments on: Lower, lower, lower. http://www.thegasgame.com/2009/07/06/lower-lower-lower/ Keep track of gasoline prices, oil prices, future gasoline prices, future oil prices, see predictions, get price prediction, find gasoline prices, see if you're getting gouged, find news about diesel prices, ethanol prices, and refinery maintenance and refinery shutdowns. Sun, 05 Feb 2012 00:45:48 +0000 hourly 1 http://wordpress.org/?v=3.3 By: Bill Eby http://www.thegasgame.com/2009/07/06/lower-lower-lower/comment-page-1/#comment-2573 Bill Eby Wed, 08 Jul 2009 22:39:39 +0000 http://www.thegasgame.com/2009/07/06/lower-lower-lower/#comment-2573 I do something similar for my predictions. I start off with the Chicago spot instead of the NYMEX: CS + ((FT + CS)*0.06) + ST + FT + EC + CO + FR CS = Chicago Spot ST = State Tax or 19c FT = Federal Tax or 18.4c ((CS + FT)*.06) = Michigan Sales Tax on Chicago Spot and Federal Tax EC = Environmental Charge or 1c CO = Cost adjustment (profit) or 8c FR = Freight cost or 5c For today's $1.6777 Chicago spot, the equation would look like this: 1.6777+((18.4+$1.6777)*0.06)+19+18.4+1+8+5=$2.299 Of course I have this in a spreadsheet... I'd hate to have to do that by hand everyday. I do something similar for my predictions. I start off with the Chicago spot instead of the NYMEX:

CS + ((FT + CS)*0.06) + ST + FT + EC + CO + FR

CS = Chicago Spot
ST = State Tax or 19c
FT = Federal Tax or 18.4c
((CS + FT)*.06) = Michigan Sales Tax on Chicago Spot and Federal Tax
EC = Environmental Charge or 1c
CO = Cost adjustment (profit) or 8c
FR = Freight cost or 5c

For today’s $1.6777 Chicago spot, the equation would look like this:

1.6777+((18.4+$1.6777)*0.06)+19+18.4+1+8+5=$2.299

Of course I have this in a spreadsheet… I’d hate to have to do that by hand everyday.

]]> By: Ed Aboufadel http://www.thegasgame.com/2009/07/06/lower-lower-lower/comment-page-1/#comment-2571 Ed Aboufadel Wed, 08 Jul 2009 15:51:13 +0000 http://www.thegasgame.com/2009/07/06/lower-lower-lower/#comment-2571 Yes, I am adding taxes in. Over the past several years, what I calculate for the 0-cent margin price has been real close to where the floor for gas prices end up before a price hike. While it may not be what retailers are paying, it does work for predictions, and it suggests that retailers do sell gas below cost some times. Using $1.73 on NYMEX: (1.73+0.21)*1.06+0.19 = 2.25. The 21 cents is the federal tax and miscellaneous fees like transportation. 1.06 takes the sales tax into account. 0.19 is the state gasoline tax. More information can be found following the Math/Stats/Data link on this site. Yes, I am adding taxes in. Over the past several years, what I calculate for the 0-cent margin price has been real close to where the floor for gas prices end up before a price hike. While it may not be what retailers are paying, it does work for predictions, and it suggests that retailers do sell gas below cost some times.

Using $1.73 on NYMEX:

(1.73+0.21)*1.06+0.19 = 2.25.

The 21 cents is the federal tax and miscellaneous fees like transportation. 1.06 takes the sales tax into account. 0.19 is the state gasoline tax.

More information can be found following the Math/Stats/Data link on this site.

]]> By: What!?? http://www.thegasgame.com/2009/07/06/lower-lower-lower/comment-page-1/#comment-2570 What!?? Wed, 08 Jul 2009 05:26:43 +0000 http://www.thegasgame.com/2009/07/06/lower-lower-lower/#comment-2570 Look at detroitgasprices.com. .08 is real close. Look at detroitgasprices.com.
.08 is real close.

]]> By: Ray http://www.thegasgame.com/2009/07/06/lower-lower-lower/comment-page-1/#comment-2568 Ray Tue, 07 Jul 2009 19:37:32 +0000 http://www.thegasgame.com/2009/07/06/lower-lower-lower/#comment-2568 where can i buy this $2.25 at wholesale, i'm all over that. a mistake for sure!! 8cpg mistake. where can i buy this $2.25 at wholesale, i’m all over that. a mistake for sure!! 8cpg mistake.

]]> By: independent retailer http://www.thegasgame.com/2009/07/06/lower-lower-lower/comment-page-1/#comment-2567 independent retailer Tue, 07 Jul 2009 15:32:37 +0000 http://www.thegasgame.com/2009/07/06/lower-lower-lower/#comment-2567 I see that you come up with your 0 margin price by adding the taxes to nymex futures. However there must be a fault. Currently there must be other factors because my delivered cost is nowhere near 2.25 I see that you come up with your 0 margin price by adding the taxes to nymex futures. However there must be a fault. Currently there must be other factors because my delivered cost is nowhere near 2.25

]]>