A Review Of ivey case solutions
A Review Of ivey case solutions
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Most hotel operators will only target the existing price of the Attributes, or maybe the NPV. They don't generally take into account the lengthy-phrase servicing fees, which has an enormous impact on the prolonged-phrase maintenance price of the resort.
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Then, with most of these charges plus the Projected dollars flow, you estimate your return to the property. You should also contain depreciation and amortization (depreciation) as part of your estimate, because it is capital advancements that pay back after a while. and amortization is simply the incremental Price of your advancements eventually.
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