Question 6: Stumpage value ( 20 points) Let's say that you work for a lumber mill. You have the following table for white oak: 6a. Based on this table what percentage of lumber from a 16" white oak log will be in the FAS grade? 6b. If you had the following table of white oak prices: How much is average 16 log worth in lumber per MBF? 6c. What would you need (in general conceptual terms) to subtract from the answer you received for 6 b. to get the value of a 16log per MBF in the lumber yard before it is sawn? 6d. Imagine that a logger knows he/she will receive $400 per MBF for a 16log when delivered to the mill. If a landowner wants to receive $125 per MBF for their standing timber and it costs $75 per MBF to haul the logs, what is the maximum amount of money that the logger can spend on felling, skidding, bucking and yarding, and, at the very least, break even? Bonus: How much money is a project with a NPV =$0 estimated to make? Question 6: Stumpage value ( 20 points) Let's say that you work for a lumber mill. You have the following table for white oak: 6a. Based on this table what percentage of lumber from a 16" white oak log will be in the FAS grade? 6b. If you had the following table of white oak prices: How much is average 16 log worth in lumber per MBF? 6c. What would you need (in general conceptual terms) to subtract from the answer you received for 6 b. to get the value of a 16log per MBF in the lumber yard before it is sawn? 6d. Imagine that a logger knows he/she will receive $400 per MBF for a 16log when delivered to the mill. If a landowner wants to receive $125 per MBF for their standing timber and it costs $75 per MBF to haul the logs, what is the maximum amount of money that the logger can spend on felling, skidding, bucking and yarding, and, at the very least, break even? Bonus: How much money is a project with a NPV =$0 estimated to make