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For the reason that publicly traded information for your comparables of deal services division will not be accessible as a result, its asset beta may very well be calculated through the now calculated asset betas of Marriot, cafe division and lodging division based upon the weigh tage in the identifiable property of every with the division.
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This is basically the distinction between the gross earnings as well as reserve value. Once more, The rationale why you might want to use this methodology is mainly because You will find there's large amount much more depreciation available in the market currently.
The following factor to consider is The supply of rooms during the peak period. The fact that the motels are ready to support a tremendous number of people today in the course of the active instances implies that they may have greater overall occupancy fee than the traditional periods.
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