There's 42 gal. in a barrel of oil, so the crude itself is priced at roughly $1.43/gal. a. Compensate the supplier for his refining and distribution costs from the wellhead to the refinery, then from the refinery to the nearest terminal.
b. Similarly, compensate the wholesaler for his distribution costs from the terminal to the station you're using.
c. Compensate the retailer for his investment, operating expenses and profit (measured in pennies/gal.).
d. Contribute abo0t $.50-.65/gal in taxes to the feds and the state.
e. Generate about a dime's worth of profit for the refiner.