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Hire charges of construction equipment are the various cost components that a hirer pays to use equipment for a specified period instead of owning it. These charges are structured to cover the owner’s investment, operating expenses, risks, and profit, and they vary depending on the type, capacity, age, and condition of the equipment. The basic hire charge is the rental charge, usually calculated on an hourly, daily, weekly, or monthly basis. This charge mainly covers the recovery of the initial capital cost of the equipment, depreciation over its useful life, interest on invested capital, insurance, and a reasonable return to the owner. For long-duration projects, monthly hire rates are __________ _______ ____ __________ _____ _______ _________.
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