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The cost of planting and maintaining the Christmas tree farm are as follows: Year 0: land purchase = $5,000/acre Year 0: planting cost = $1,600/acre
The cost of planting and maintaining the Christmas tree farm are as follows: Year 0: land purchase = $5,000/acre Year 0: planting cost = $1,600/acre Years 1-9: annual maintenance cost = $700/acre Calculate the present value of the costs for each year (0-9) for the five acre Christmas tree farm. Then calculate the total present value cost. Do not include the benefits. Report the total present value of the costs as a whole number rounded to the nearest dollar without a dollar sign or comma.
(note: there is no interest rate)
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