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You Are Given the Following Net Future Values for Harvesting  Year 012345 Net Future Value 100125150175195210\begin{array} { l c c c c c c } \text { Year } & 0 & 1 & 2 & 3 & 4 & 5 \\\text { Net Future Value } & 100 & 125 & 150 & 175 & 195 & 210\end{array}

Question 72

Multiple Choice

You are given the following net future values for harvesting trees from a plot of forestland.(This is a one-time harvest.)  Year 012345 Net Future Value 100125150175195210\begin{array} { l c c c c c c } \text { Year } & 0 & 1 & 2 & 3 & 4 & 5 \\\text { Net Future Value } & 100 & 125 & 150 & 175 & 195 & 210\end{array}
If the cost of capital is 15%,calculate the optimal year to harvest:


A) year 1
B) year 2
C) year 3
D) year 4

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