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Cost of Ownership

A financial estimate whose purpose is to help owners determine all the direct and indirect costs of their investment.

The total discounted dollar costs of operating, maintaining, repairing, renewing and, eventually, disposing of all the assets over the appropriate study period or over the entire life of the building or period of ownership. 

Cost of ownership can be calculated relative to a planning horizon (say 30 years) or relative to the full life of the building (total cost of ownership).

Cost of ownership is the aggregate of:


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