RETURNS 117 
Cis sf eek Os oe se al eM hie $5,868 65 
PAE 5S Mist. arash eo « cian borne 163 00 
SU Gy Pay Se ne Der eee a 774i an 
PE ay ck + ns: nin os aE $9,806 39 
The cost of administration for the first year is esti- 
mated to be: 
OS Ee a eee $1,500 00 
ame Catiacs AN ACHE)... \.. 4 o)a44- LO} 32 
Marking and inspection at 5 per 
gentsot gross receipts, ... 2.94 .- 487 28 
RN oh Peasiaar dec wigs eee Re 53,088 60 
Net receipts—$9,806.39 less $3,088.60 $6,717.79, 
or for the area cut (1101.3 acres), $6.09 per acre. 
In order to determine what rate of interest on the 
capital value of the property the forest is producing 
annually, it is necessary to place a definite value on 
the land. The highest price paid for virgin forest by 
the New York Preserve Board in 1897 was $7.00 per 
acre. 
It is, therefore, fair to use this figure for the sale 
value of the property in the present case. On this 
basis the present value of the property is: 
$7.00X27,533—$192,7 31.00, 
on which sum the net receipts for the first year repre- 
sent a return of 3.5 percent. During the succeeding 
years the taxes as well as the value of the cut-over por- 
tions will be less than at first, until the timber shall 
_ have again attained merchantable size, and the price 
