On march 1, 2018, shipley resources entered into an agreement with the state of alaska to obtain the rights to operate a mineral mine for $6 million. the mine is expected to produce 100,000 tons of mineral. as part of the agreement, shipley agrees to restore the land to its original condition after mining operations are completed in approximately five years. management has provided the following possible outflows for the restoration costs that will occur five years from now:

cash outflow

probability

$

300,000

25

%

400,000

50

%

500,000

25

%

shipley's credit-adjusted risk-free interest rate is 10%. during 2018, shipley extracted 18,000 tons of ore from the mine. how much accretion expense will the company record in its income statement for the 2018 fiscal year?

a) $30,326.

b) $20,697.

c) $24,837.

d) $27,294.

The new york times (nov. 30, 1993) reported that “the inability of opec to agree last week to cut production has sent the oil market into turmoil . . [leading to] the lowest price for domestic crude oil since june 1990.” why were the members of opec trying to agree to cut production? so they could save more oil for future consumption so they could lower the price so they could raise the price why do you suppose opec was unable to agree on cutting production? because each country has a different production capacity because each country experiences different production costs because each country has an incentive to cheat on any agreement the newspaper also noted opec’s view “that producing nations outside the organization, like norway and britain, should do their share and cut production.” what does the phrase “do their share” suggest about opec’s desired relationship with norway and britain? opec would like norway and britain to keep their production levels high. opec would like norway and britain to act competitively. opec would like norway and britain to join the cartel.