Question: Question 3. Capital Budgeting (2 points) You are given the following information: $120 $1,500 100 120 $5.00 Land price Acres Yield (bu/acre) Price ($/bu) Gov

Question 3. Capital Budgeting (2 points) You are given the following information: $120 $1,500 100 120 $5.00 Land price Acres Yield (bu/acre) Price ($/bu) Gov payments ($/acre) Revenues ($/acre) Operating costs ($/acre) Loan information Land price Down payment Loan value Years Annual interest rate | Annual payment $150,000 $25,000 | 125,000 40 5.00% $7,285 | | 5% 10% Growth rate Discount rate Marginal tax rate Please fill in the following table for the case where land is rented. Year Revenues Taxes Operating costs Rent payments Net after tax cash flow 2 Question 3. Capital Budgeting (2 points) You are given the following information: $120 $1,500 100 120 $5.00 Land price Acres Yield (bu/acre) Price ($/bu) Gov payments ($/acre) Revenues ($/acre) Operating costs ($/acre) Loan information Land price Down payment Loan value Years Annual interest rate | Annual payment $150,000 $25,000 | 125,000 40 5.00% $7,285 | | 5% 10% Growth rate Discount rate Marginal tax rate Please fill in the following table for the case where land is rented. Year Revenues Taxes Operating costs Rent payments Net after tax cash flow 2
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