Discount Cash Flow Valuation of Upstream Oil and Gas Investments

The relatively well posed project with promises of great future pay offs must be examined closely nevertheless to determine its true profitability. As such, the Super Project’s NPV must be calculated, however before we proceed we must acknowledge the relevant cash flows. The project incurred an expense of testing the market. This expense, however, must not be included in our cash flow analysis because it can be considered a sunk cost. This expense is required for ‘taking a temperature’ of the market and will not be recovered. Other sources of cash flow include:

Marcovitch, S. G., Gold, A., Washington, J., Wasson, C., Krekewich, K., & Handley-Derry, M. (1997).

        Compensatory Damages - Special damages: things with actual cost such as medical expenses. General damages: Include pain and suffering which actually can not be priced.

By Charles H. Harris III and Louis R. Sadler (Albuquerque: Univ. of New Mexico, 2007. Print.)

Backer, E. L., Geske, J. A., McIlvain, H. E., Dodendorf, D. M., &Minier, W. C. (2005).

* Terms relating to the amount of damages that the parties might receive if things go wrong.

Bates, D. W., M. Cohen, L. L Leape, J. M. Overhage, M. M. Shabot, and T. Sheridan.

It should be noted that an income approach could have also been used. Using a determined market discount rate of 6% and current year revenue of $3,028,000 at a four year discounted rate, the value would have been $12,040,548. Because adequate market information was available to make a more accurate estimate of the fair value, this is the estimate that was chosen.

Anderson, N., Schlueter, J. E., Carlson, J. F., & Geisinger, K. F. (Eds.). (2016). Tests In Print IX. Lincoln, NE: Buros Center for Testing.

Sylvester K. Stevens and Donald H. Kent, ed, Journal of Chaussegros de Lery (Harrisburg: Pennsylvan

Damages – defendant is responsible for monetary award to the plaintiff for the purpose of compensation and

damages functions as a substitute for relief under the IDEA, a plaintiff cannot escape the

The analysis of the financial projection in this report is based on the assumptions and the information which you (client) provided. These assumptions and information can be change with the passage of time. The

Punitive damages are awarded from the jury to the victims frequently in today’s legal court. However, in recent years, the cases given the settlements have become more obscure. Such as Norman v. Honda, where the Norman’s sued the car company because their daughter drown trying to exit the vehicle. Nevertheless, it was mostly likely to do with the fact she was driving under the influence and was therefore unable to hit the emergency release button on the seat belt. Still, the Normans walked away with 25% of the settlement. That doesn’t sound like it was the company's fault that they still paid for. The Normans case looks more out of greed than justice. So what is difference between fairness and justice and material gain and greed?

10.Cf. Megan R. Gunnar,W.Andrew Collins (1988) :p.94. 11.Cf. Patricia Noller,Victor J. Callan (1991) :p. 49 12. Cf. Clarence J. Mann,Klaus Götz (2006) :p.110 13 Raymond Montemayor (1983):quoted according to Morton, Alexander, & Altman (1976) :p.84 14 Cf. Daniel J. Canary,William R. Cupach,Susan J. Messman (1995) quoted according to Smetana