Primary data from teak plantations in the district was used to estimate relative costs and
returns of teak plantations. The benefits and costs of growing teak per hectare was analysed
using discounted cash flow analysis. The net present value, the internal rate of return and benefits-costs ratio was used to determine the profitability of teak plantations in the
Dormaa district of the Brong Ahafo region. Inflation was tackled by considering the constant
prices in valuation, since it affects only the price level and does not affect the real value of
the resources.