3.1 Finance - Deepwater Horizon Case Study On April 20th, 2010, BP's Deepwater Horizon offshore drilling rig experienced a blowout caused
by an explosion. The explosion ignited a fireball and killed 11 workers. The fires raged and were
inextinguishable causing the rig to sink two days later. This left a well gushing at the seabed
causing the largest marine
oil spill in history, leaking an estimated 210 million gallons of crude
oil into the Gulf of Mexico. It is one of the largest environmental disasters in American history,
The oil spill caused tens of billions of dollars worth of damage. The cost of the oil spill to BP was
around $40 billion. To partly pay for this, BP sold its stake in Pan American Energy in December
2010 for $7 billion.
1. What sources of finance did BP use to pay off the $40 billion?
a. They sold their stake in Pan American Energy for $7 billion.
2. Where these internal sources of finance or external?
a
3. What are at least two other possible costs associated with the BP disaster for the
company?
a
4. What are at least two other possible costs for people/areas/companies affected by the oil
spill?

Select the correct answer. the word intestate means that a person has died with or without a will?

Uppose that the federal reserve purchases a bond for $100,000 from donald truck, who deposits the proceeds in the manufacturer’s national bank. what will be the impact of this purchase on the supply of money? the money supply will increase by $100,000. the money supply will increase by $80,000. the money supply will increase by $500,000. this action will have no effect on the money supply. if the reserve requirement ratio is 20 percent, what is the maximum amount of additional loans that the manufacturer’s bank will be able to extend as the result of truck’s deposit? the maximum additional loans is $100,000. the maximum additional loans is $80,000. the maximum additional loans is $20,000. the maximum additional loans is $500,000. given the 20 percent reserve requirement, what is the maximum increase in the quantity of checkable deposits that could result throughout the entire banking system because of the fed’s action? this action will have no effect on the money supply. the money supply will eventually increase by $80,000. the money supply will eventually increase by $500,000. the money supply will eventually increase by $100,000.

The smelting department of kiner company has the following production and cost data for november. production: beginning work in process 3,700 units that are 100% complete as to materials and 23% complete as to conversion costs; units transferred out 10,500 units; and ending work in process 8,100 units that are 100% complete as to materials and 41% complete as to conversion costs. compute the equivalent units of production for (a) materials and (b) conversion costs for the month of november. materials conversion costs total equivalent units