FINANCIAL RIPENESS OF WOODS. 169 



(a) The rotation which yields the highest expectation value 



of the soil, or the highest soil rental. 

 (6) The rotation which gives the highest net return for the 



forest. 

 (c) The rotation which, taking a certain value of the soil, 



gives the largest profit or the highest mean annual 



forest per cent. 



6. Determination of the Financial Ripeness of a Wood. 



The financial ripeness of a wood, say m years old, is gauged 

 by means of the current annual forest per cent. As long as 

 the forest per cent. : 



curr . (Y m+l -Y m -e}xWO 



is greater than the general per cent, p, the wood is not 

 ripe. If current p f = p, then the wood is just ripe. If 

 current p f < p, then the wood is past ripeness and, if left 

 standing, a financial loss is incurred. 



The above short notes will suffice for the present. The 

 application of these principles will be found in the next part 

 of this volume. 



