5 Essential Elements For hbs case solution
5 Essential Elements For hbs case solution
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Marriott is a component in the resort resort businesses. The majority of them usually do not supply the hotel with cost-free rooms, which suggests that the cost of the rooms does not occur cost-free.
For that reason, if you needed to subtract out each of the depreciation to get your net book value, you can find that your real estate valuation is drastically reduced than that of a Marriott Lodge.
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As a result, the multiples utilized could have a requirement for being altered based on the accounting policies, and have a tendency to take in extra time as compared with other companies.
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Another factor which has a direct influence on the general expense of ownership will be the administration fees. These are the costs that Marriott motels acquire from their company at some time they stay in the hotel. These management fees are not really taxes but are an incentive to help keep the visitor's rooms occupied.
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