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For the purpose of analyzing the period to become as opposed for hazard free of charge return and chance premium, financial commitment life of the undertaking need to be thought of. For the reason that lodging belongings, like motels, experienced extended practical life, return on lengthy-phrase governing administration bonds needs to be utilized for lodging calculations, which needs to be with the time period 1926 to 1987 (exhibit 5 of the case) as this correctly reflects the bottom line nature of return using a lasting see such as all abnormalities all through this era.
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