You own forest land in California. You estimate that Californias forest practice regulations will impact you financially in the following ways:

-Cost of a forest management plan is $100 per acre, to be obtained immediately.

-Additional harvesting cost to comply with the regulations: $250 per acre.

-Value of timber left standing after harvest to comply with regulations: $700 per acre.

-You plan to conduct two timber harvests: one five and another eight years from now.

-Your opportunity cost (in real terms) is 6 % per year.

Assume the additional harvesting cost ($250/ac) and value of timber left standing ($700/ac) are both incurred each time a timber harvest is conducted. What is the present value of the additional costs of Californias forest practice regulations?