138 



CHAPTER III. 



VALUATION OP THE GROWING STOCK. 



The value of the growing stock can, as in the case of the 

 soil, be determined as the expectation, cost, or sale value. 

 The valuation may refer to — 

 (1.) One particular wood. 

 (2.) A whole series of age gradations, representing the 



normal growing stock of a working section, or of a 



whole forest. 



Section I. — Value of the Growing Stock of a Single 

 Wood. 



1. lite Expectation Value. 

 The expectation value of the growing stock of a wood now 

 ta years old is ecjual to the present values of all incomes, 

 which may be expected from the wood, less the present value 

 of all expenses, which must be incurred between the year m 

 and the time when the wood is linally cut over. 



a. Jlefhod of Calculatioi. 



Starting from the same data as those given in the case of 

 the valuation of forest soil, the receipts consist of — 



Y. 



(1.) Final yield in the year /• = Y, ; present value = ...q ',._„, . 



(2.) Intermediate yields, such as thinnings, to be realised in 

 the years n, o, p, and q ; their present value amounts to — 



Thmnnig m the vear n =— — -!i — = '\ ^ i — . 



i\ X vop'-" 



,, ,, . . = — — . 



