What Makes Aramco the World's Most Profitable Firm?

The video discusses Saudi Aramco's financial success, highlighting its $111 billion profit, low production costs, and significant government royalties and taxes. It explores the risks for potential investors, including government influence on dividends and production levels. The video also explains the synergy between Aramco and the Saudi government, emphasizing the government's control over production decisions, which may not always align with maximizing company profits.

What is one of the main reasons for Saudi Aramco's high profitability?

• High oil prices

• Low production costs

• Government subsidies

• Advanced technology

How much does it cost Saudi Aramco to pump a barrel of oil?

• $7.5

• $10.0

• $2.8

• $5.0

What percentage of income tax did Saudi Aramco pay before 2017?

• 30%

• 50%

• 85%

• 20%

What is a significant risk for investors in Saudi Aramco?

• Fluctuating oil prices

• Government control over dividends

• High production costs

• Lack of technological advancement

Who determines the maximum level of crude oil production for Saudi Aramco?

• Saudi Aramco's board

• The oil ministry

• OPEC

• International investors