Timber price of Douglas fir is $2/cubic foot, planting cost is $1,000, marginal harvest cost ($/cubic foot) is $0.5, and discounted factor r = 0.01. First, fill out the table below. Round the numbers to two decimal places. No dollar sign. No thousands separators. Age (years) 10 20 30 40 Volume (cubic Present value of feet) timber 694 1912 3558 5536 [a] [d] [g] [] Present Value of Net present total cost [b] [e] [h] [k] value of Timber [c] [f] [1] [m] Second, conclude that the optimal harvesting time given the information here is when the tree reaches age [t]. Type the age as an integer.
Timber price of Douglas fir is $2/cubic foot, planting cost is $1,000, marginal harvest cost ($/cubic foot) is $0.5, and discounted factor r = 0.01. First, fill out the table below. Round the numbers to two decimal places. No dollar sign. No thousands separators. Age (years) 10 20 30 40 Volume (cubic Present value of feet) timber 694 1912 3558 5536 [a] [d] [g] [] Present Value of Net present total cost [b] [e] [h] [k] value of Timber [c] [f] [1] [m] Second, conclude that the optimal harvesting time given the information here is when the tree reaches age [t]. Type the age as an integer.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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![Timber price of Douglas fir is $2/cubic foot, planting cost is $1,000, marginal harvest cost ($/cubic foot) is $0.5, and discounted factor r = 0.01.
First, fill out the table below. Round the numbers to two decimal places. No dollar sign. No thousands separators.
Age (years) feet)
10
694
1912
3558
5536
20
30
Volume (cubic Present value of
timber
40
[a]
[d]
[g]
[j]
Present Value of Net present
total cost
[b]
[e]
[h]
[k]
value of Timber
[c]
[f]
[1]
[m]
Second, conclude that the optimal harvesting time given the information here is when the tree reaches age [t]. Type the age as an integer.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fcf605b71-789d-48e0-8055-d8207016854b%2F41c92f56-5dbc-476e-abef-db6297cf7902%2F3wib90m_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Timber price of Douglas fir is $2/cubic foot, planting cost is $1,000, marginal harvest cost ($/cubic foot) is $0.5, and discounted factor r = 0.01.
First, fill out the table below. Round the numbers to two decimal places. No dollar sign. No thousands separators.
Age (years) feet)
10
694
1912
3558
5536
20
30
Volume (cubic Present value of
timber
40
[a]
[d]
[g]
[j]
Present Value of Net present
total cost
[b]
[e]
[h]
[k]
value of Timber
[c]
[f]
[1]
[m]
Second, conclude that the optimal harvesting time given the information here is when the tree reaches age [t]. Type the age as an integer.
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