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Because that's how much it costs.

The petrol station buys the fuel from the wholesaler, who has in turn bought it from the distributor, who distributes it on behalf of the manufacturer. All these people place a markup on their buy price to calculate their sell price. Because you as the end user only buy a relatively tiny amount of the fuel, you can't see the relevance of the decimal value.

On the other hand, for companies dealing in millions of litres worth of fuel, .7 cents in each dollar can add up very quickly - .7 cents over one million litres is $7,000. This decimal value stays with the cost throughout the supply chain, and is handed to you in the end after the fact.

So, it's priced to a decimal point for everyone else involved, not with the end user in mind.

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14y ago

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Q: Why is gas priced to a decimal point?
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