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The NPV, nevertheless, does not take under consideration the depreciation as it is the cost of capital. However, this is part of your lengthy-phrase administration charge, which also contains the upkeep fee as well as depreciation ingredient.
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Following the five years of occupancy, these costs are offset through the cash flow through the hire, furthermore a earnings for that loss element, and some other charges are bundled. Therefore, the real-estate operator doesn't obtain within the occupancy.
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