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The NPV, nevertheless, would not take under consideration the depreciation as it is the price of cash. Having said that, this is a component of the extensive-term management payment, which also consists of the maintenance cost and the depreciation element.
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After the five years are over, the capital will likely be paid in two kinds: the very first is actually a money outflow through the Marriott properties, and the next can be an equal return. Even when the home stays in precisely the same kind, the next choice is usually chosen.
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