Suppose the value of timber grows according to the, Financial Management

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Suppose the value of timber grows according to the

Suppose the value of timber grows according to the following exponential function (expressed in units of $1,000): F = 3√t, and suppose the discount rate is 7% (0.07). What is the optimal time (t*) to cut the timber? What is the optimal present value of the timber A*(t)?

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