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AFM is consedering betwen puroensing on socker Mature forested pikel or land and on 140 acre pareel or lund bhat wos recentir clearcut. the 80
AFM is consedering betwen puroensing on socker Mature forested pikel or land and on 140 acre pareel or lund bhat wos recentir clearcut. the 80 aves, cost 120,000 \& the 140 ace cost 150,000 . but the 80 has 70cds/acl Hardwood pulf and 8 MGFPer acre of hurdwoal sawlimber. if we purchese be soacro or forested land it is due for a haivese witwin the next 3 yeurs and twat manwgment plan calls for 4 cislac and 4.5 meFlal harvesiced We will assume the 80 aves wose have a land volue that is. 35% the lotal coot if purchused. the timber value at time of purches is 8% pere merchantioel timber 20% pulp and 65% suwtrmier. The Expeuled stumpuge price within the next 3 yeurs is \$65 cord for Harawoad pulp and $425/MBF for suwtamien The income tax rate coulla be 25% for the Shore term cupital gains tux rate would be 20% and the long term capilal gains tax rate would be 15% How much in tares would we be expected to pur on dist the suwtimber portion of this harvest 3 yours from now? Why or why nol is this a beeer deal than buying the 140 acres of clear cut land? B66 per cord pult 4425/MBF AFM is consedering betwen puroensing on socker Mature forested pikel or land and on 140 acre pareel or lund bhat wos recentir clearcut. the 80 aves, cost 120,000 \& the 140 ace cost 150,000 . but the 80 has 70cds/acl Hardwood pulf and 8 MGFPer acre of hurdwoal sawlimber. if we purchese be soacro or forested land it is due for a haivese witwin the next 3 yeurs and twat manwgment plan calls for 4 cislac and 4.5 meFlal harvesiced We will assume the 80 aves wose have a land volue that is. 35% the lotal coot if purchused. the timber value at time of purches is 8% pere merchantioel timber 20% pulp and 65% suwtrmier. The Expeuled stumpuge price within the next 3 yeurs is \$65 cord for Harawoad pulp and $425/MBF for suwtamien The income tax rate coulla be 25% for the Shore term cupital gains tux rate would be 20% and the long term capilal gains tax rate would be 15% How much in tares would we be expected to pur on dist the suwtimber portion of this harvest 3 yours from now? Why or why nol is this a beeer deal than buying the 140 acres of clear cut land? B66 per cord pult 4425/MBF
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