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4. What should be maximum investment cost of a hotel for a 10-year study to make it economically profitable if it can earn a
4. What should be maximum investment cost of a hotel for a 10-year study to make it economically profitable if it can earn a total of P170,500 for the annual rent? Assume that the annual maintenance amounts to P32,600. Take MARR = 20%. 5. In problem number 4, assume that investment costs P600,000. What should be the market value of the hotel to make it at least economically justifiable given all circumstances are the same?
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Multinational Finance Evaluating Opportunities Costs and Risks of Operations
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