TransAtlantic Petroleum Corp

question 16

Short Answer

TransAtlantic Petroleum Corp. plans to seek two additional production licenses from the Romanian government in addition to the three production licenses awarded to the company last year. The company estimates the costs to drill, acquire the seismic data, and conduct technical studies for these new fields will be $8.8 billion, 3 years from now. How much will the company need to set aside now for these expenses if the company earns a rate of return of 9% per year?

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Definitions:

Management Function

The process of planning, organizing, leading, and controlling resources to achieve organizational goals efficiently and effectively.

Performance Objectives

Specific, measurable goals set by an individual or organization to gauge the effectiveness of performance over a period.

Action Steps

Specific, measurable tasks or activities that are planned and executed to accomplish a strategic goal.

Effective Manager

Helps others achieve high levels of both performance and satisfaction.