Guide to Analyzing Investments Options Using Twigs

摘要

The TWIGS microcomputer program can help managers estimate changes in both timber and financial resources under different management prescriptions. TWIGS, a model that projects the growth and death of individual trees in the context of a stand, is a tool that allows forest managers and planners to interactively 'manage' and 'grow' existing stands with a computer. The economic analysis of TWIGS version 3.0 summarizes annual cash flows, calculates several measures of economic performance on a before-tax basis, and evaluates the economic uncertainty associated with a management alternative. The paper briefly introduces investment analysis concepts and discusses how an analysis might be performed with both the Central and Lake States variants (version 3.0) of TWIGS.