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→Calculations in the cash flow model
::<sub>IDC's (100% expensed for tax calculation) = $950,000 (for one completion)</sub><br>
::<sub>IDC's (100% expensed for tax calculation) = $950,000 (for one completion)</sub><br>
::<sub>Tangible expenditures (depreciable basis for tax calculation) = $300,000</sub><br>
::<sub>Tangible expenditures (depreciable basis for tax calculation) = $300,000</sub><br>
:<sub>Assumed Production Schedule</sub><br>
<sub>Assumed Production Schedule</sub><br>
::<sub>The production forecast for the typical well in the Example Development Well was used for the Multiwell Extension Project. A typical well was assumed to be placed on production at the beginning of each of the years 1991, 1992, 1993, and 1994.</sub><br>
:<sub>The production forecast for the typical well in the Example Development Well was used for the Multiwell Extension Project. A typical well was assumed to be placed on production at the beginning of each of the years 1991, 1992, 1993, and 1994.</sub><br>
Since the project has a longer life than the example development well, the results are summarized in a slightly different format. [[:Image:Charles-l-vavra-john-g-kaldi-robert-m-sneider_capillary-pressure_3.jpg|Table 4]] presents the production, investment, and tax assumptions for the multiwell extension project.
Since the project has a longer life than the example development well, the results are summarized in a slightly different format. [[:Image:Charles-l-vavra-john-g-kaldi-robert-m-sneider_capillary-pressure_3.jpg|Table 4]] presents the production, investment, and tax assumptions for the multiwell extension project.