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The price of funds We've got taken was 5 per cent. Just after assuming the cost of funds of five percent, We've got thought of the perpetuity expansion model in which we have assumed that the funds move will be growing Using the continuous development rate of around 2 percent.
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Having said that, this is predicted to alter since the hotel appreciates in price, For the reason that management price represents The present worth of the property. Consequently, the yearly rate will likely be increased compared to the administration rate.