Well, when you operate on a "cost plus" arrangement, you can do that... They have corporate profit goals of let's say 10%. Quite modest, really. BUT, let's say you run a shop and your raw material triples in price - can you simply raise the price of your product to adjust so that you can still make 10% - He!! no. Not if you expect people to still buy it.
BUT, since we HAVE to have oil/gasoline, the price goes up and *poof*, profit PERCENTAGE stays the same.
HOWEVER - let's say we use $30/barrel oil and just for numbers sake, take 10%, that'd be saying that Exxon would make $3/barrel of oil used. Now if the price goes to $90/barrel, they won't be happy with making $3/barrel, so take 10% and badda-bing, they make $9/barrel. Go figure, still made 10%, just a lot more money.
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Today's Featured Article - Tuning-Up Your Tractor: Plugs & Compression Testing - by Curtis Von Fange. The engine seems to run rough. In the exhaust you can hear an occasion 'poofing' sound like somethings not firing on all cylinders. Under loaded conditions the tractor seems to lack power and it belches black smoke out of the exhaust. For some reason it just doesn't want to start up without cranking and cranking the starter. All these conditions can be signals that your unit is in need of a tune up. Ok, so what is involved in a tune up? You say, swap plugs and file the points....now tha
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