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For the objective of determining the interval for being as opposed for chance no cost return and danger premium, financial commitment lifetime of the venture need to be regarded. Mainly because lodging property, like accommodations, had very long valuable life, return on extended-phrase govt bonds needs to be employed for lodging calculations, which need to be with the interval 1926 to 1987 (exhibit 5 with the case) as this effectively reflects The underside line mother nature of return by using a long lasting see which includes all abnormalities through this era.
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