3.31.2008

Question For You......

This post will really show my ignorance to the political world, but whatever......

I've always (well I guess not always, but for about the last 4 years) wondered the following.

If a gas station is being refueled (is that what they call it?) on Monday with lets just say 10,000 gallons of gas, I assume (see here we go) that they pay one flat price for that gas. For ease, let's just say they paid $10,000 for it on Monday, then why can the price per gallon fluctuate so much? In my equation, it cost the gas station $1/gallon on Monday. It costs me $3.03 on Monday. It costs me $3.11 on Tuesday. What gives?

I obviously realize that in my assumption that the gas station pays a flat charge could be way off therefore resulting in something totally different. But, until I know more, that's what I'm going with.

Talk amongst yourselves.

3 comments:

jessica said...

no idea. i've often wondered. maybe googling it would help ;) gas prices suck.

Jaime said...

I asked Eli for you, since my small brain doesn't really think of these things:)

He said, since Holiday gets refueled on a different day than Tom Thumb, they will have paid different prices for fuel. In order for Holiday to sell their gas, they may have to raise or lower their price according to what Tom Thumb is selling for. Makes sense?? I'm not really good at explaining stuff either.

Yes, I think they pay a flat fee for the gas (which is related to oil prices). It just depends on which day they bought it.

He also said that gas stations don't really make money on the gas, just on convenience items.

How does he know this crap??:)

trav said...

you married a smart man jaime :) also, just in case you wanted to know...they raise their prices usually on thursdays because they know any travelling usually takes place on the weekends when they know you have no choice but to fill up. and they keep them high through monday since they know you'll need gas after the roadtrip. so fill up on tuesdays and wednesdays if you want to pinch a penny :)