26 
BULLETIN 11, TJ. S. DEPARTMENT OF AGRICULTURE. 
Table 24. — Net profits per acre and corresponding compound interest rates from loblolly 
pine, for different initial investments, rotations, and distances from market. 
Quality III.— FOR TREES 5 INCHES AND OVER IN DIAMETER BREASTHIGH, LUMBER 
CUT AND SOLD UNGRADED. 
Initial investment. 
Cost 2 of ad- 
ministration 
and taxes at 
6 per cent 
compound 
interest. 
Net profit 3 and corresponding compound interest rate * on 
total initial investment at different distances from market 
or shipping point. 
Rota- 
tion. 
Land. 
Forma- 
tion. 1 
Total. 
1 mile. 
4 miles. 
8 miles. 
16 miles. 
Net 
profit. 
Inter- 
est 
rate. 
Net 
profit. 
Inter- 
est 
rate. 
Net 
profit. 
Inter- 
est 
rate. 
Net 
profit. 
Inter- 
est 
rate. 
Years. 
' $5 
. 10 
5 
. 10 
5 
10 
5 
10 
f $0 
3 
1 5 
I 7 
f o 
J 3 
1 5 
I 7 
{ o 
J 3 
1 5 
I 7 
f o 
3 
1 5 
I 7 
i o 
3 
1 5 
I 7 
f o 
3 
1 5 
I 7 
f o 
3 
1 5 
I 7 
f o 
3 
1 5 
7 
$5 
8 
10 
12 
10 
13 
15 
17 
5 
8 
10 
12 
10 
13 
15 
17 
5 
8 
10 
12 
10 
13 
15 
17 
5 
8 
10 
12 
10 
13 
15 
17 
1 $2.21 
{ 3.31 
1 4.74 
1 7.12 
1 9.29 
I 13.93 
I 17.42 
1 26. 13 
f $9. 34 
1 6.34 
1 4.34 
I 2.34 
f 8.24 
J 5.24 
1 3.24 
I 1.24 
f 25. 51 
I 22.51 
) 20.51 
I 18.51 
f 23. 13 
1 20.13 
1 18.13 
I 16.13 
f 45. 51 
I 42.51 
| 40.51 
I 38.51 
f 40.87 
1 37.87 
1 35.87 
I 33.87 
f 69.68 
J 66.68 
1 64.68 
I 62.68 
f 60.97 
1 57.97 
1 55.97 
I 53.97 
Per ct. 
5.41 
2.96 
1.82 
.90 
3.05 
1.71 
.98 
.35 
$7.66 
4.66 
2.66 
.66 
6.56 
3.56 
1.56 
Per ct. 
4.75 
2.32 
1.19 
.27 
2.55 
1.22 
.50 
$3.74 
.74 
Per ct. 
2.83 
.45 
Perct. 
20 
2.64 
1.18 
6.22 
4.56 
3.79 
3.16 
4.07 
3.17 
2.68 
2.25 
5.95 
4.71 
4.13 
3.66 
4.15 
3.47 
3.10 
2.78 
5.56 
4.57 
4.10 
3.72 
4.00 
3.45 
3.16 
2.90 
21.91 
18.91 
16.91 
14.91 
19.53 
16.53 
14.53 
12.53 
39.87 
36.87 
34.87 
32.87 
35.23 
32.23 
30.23 
28.23 
61.64 
58.64 
56.64 
54.64 
52.93 
49.93 
47.93 
45.93 
5.77 
4.13 
3.35 
2.73 
3.68 
2.77 
2.28 
1.86 
5.64 
4.41 
3.82 
3.35 
3.84 
3.17 
2.80 
2.48 
5.32 
4.33 
3.87 
• 3.49 
3.75 
3.20 
2.91 
2.65 
13. 51 
10.51 
8.51 
6.51 
11.13 
8.13 
6.13 
4.13 
26. 71 
23.71 
21.71 
19.71 
22.07 
19.07 
17.07 
15.07 
42.88 
39.88 
37.88 
35.88 
34.17 
31.17 
29.17 
27.17 
4.46 
2.84 
2.07 
1.46 
2.53 
1.63 
1.15 
.73 
4.73 
3.50 
2.93 
2.46 
2.96 
2.28 
1.92 
1.60 
4.62 
3.64 
3.18 
2.81 
3.02 
2.48 
2.18 
1.93 
$0.51 
0.32 
30 
2.11 
.88 
40 
2.68 
.86 
50 
1 Cost of establishing a loblolly pine stand, either by natural or artificial reproduction. 
2 Three cents per acre annually for administration (including fire protection), and 6 mills on the dollar 
(full valuation) annually for taxes, which is above present average tax for the region. 
3 Stumpage value as given in Table 14, less original cost of formation and total cost of administration and 
taxes. Where no net profit is shown, a loss is i ndicated. 
4 Calculated by formula p=100 ( -v^t — -^— — 1 ) > where p= compound interest rate, n=number of years 
or rotation, S'=stumpage value at n years, L=cost of land, .F=cost of formation, and J.=cost of adminis- 
tration and taxes in n years at 6 per cent compound interest. 
The preceding tables indicate under what conditions of quality of 
soil, cost of land, cost of establishing crop, and distance from market 
forest management of loblolly pine will be profitable or advisable as a 
business proposition. For instance, Table 22 indicates that on 1 acre 
of Quality I soil, 1 mile from the railroad, where there is no cost 
for establishing a crop of loblolly pine, it will be possible to realize 
10.47 per cent compound interest in 30 years on an initial* invest- 
