The NPV, nevertheless, would not take into account the depreciation because it is the expense of funds. Nonetheless, this is an element on the extended-time period administration rate, which also features the maintenance fee plus the depreciation ingredient.
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Most hotel operators will only concentrate on the existing value of the Qualities, or perhaps the NPV. They don't generally consider the extended-expression upkeep expenses, that has a big effect on the prolonged-time period routine maintenance cost of the resort.
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