Formula 7.33
Present worth expectation for a risky job
Input(s)
$\overline{X_{A}}$: Present Values of Discounted Probable Outcomes that includes all Costs except Initial Speculative Cost (\$)
$C$: Dry Well Drilling Cost in Initial Investment (\$)
Output(s)
$X_{E}$: Present Worth Expectation per a Risky Job (\$)
Formula(s)
$$ \mathrm{X}_{\mathrm{E}}=\overline{\mathrm{X}_{\mathrm{A}}}-\mathrm{C} $$
Reference(s)
Serpen, U., Petroleum Economics, Course Notes, ITU Petroleum and Natural Gas Engineering, Istanbul, Turkey, (2008) Page: 92.