In order to assess the appropriate useful life of property, nonprofit healthcare operates can turn to building life studies.
Calculating the useful life of property can financially benefit healthcare organizations in various ways. Here are four potential benefits of building life studies, according to Principle Valuation, a healthcare business valuation and appraisal firm.
1. Improved cash flow.
2. Lower depreciation expense.
3. Extended amortization period for bond financing.
4. Lower capital expenditure requirements.
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