Document Type

Article

Publication Date

2000

Abstract

Income taxes and inflation must be correctly accounted for in forest valuation and investment analysis. In a specific analysis, the discount rate and all costs and revenues should be either before or after taxes, and they should include or exclude inflation consistently. We summarize eight formulas for adjusting discount rates for income taxes and inflation in a simple three-step process. A one-page figure is presented that can be used as a stand-alone tool for correctly adjusting discount rates. South. J. Appl. For. 24(4):193-195.

Comments

Bullard, S.H., and J.E. Gunter. 2000. Adjusting discount rates for income taxes and inflation: a three-step process. Southern Journal of Applied Forestry 24(4):193-195.


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