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A home inprovement or remodeling contractor would/should have had the experience to point this out and include it or discuss the options with you.
If you only mentioned wanting the ceiling redone, you afe getting what you asked for. Mudding andf taping the corner to the wall involves a foot down the wall of new surface and painting. Your whole walll would then need paint to look right. That would probably lead to trim paint on window and doors...
Stopping at the ceiling is the easier, more common way around here, and adding the crown or bedmold will add a touch of style. Go for it.