The bank discount rate is a calculation of the interest investors earn on short-term instruments such as Treasury bills.

PV10 estimates the value of an energy company's proven reserves using a 10% discount rate, guiding investors in stock valuation and future earnings potential.

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Money market yield measures the annualized return on short-term, low-risk investments like Treasury bills and commercial paper. It helps investors compare the earnings potential of different money ...

IN LITIGATION INVOLVING FUTURE ECONOMIC damages, experts’ calculations must discount the amounts to present value. The courts have offered little guidance on appropriate discount rates. BUSINESS ...

The cost of capital and the discount rate are two related terms that are sometimes confused with each other. But they have important distinctions that make them both useful in deciding whether a new ...

Warren Buffett values stocks based on the present value of free cash flows, like all sensible value investors. However, his attitude towards discount rates is very ...

Discount rates matter centrally for nearly all investments, and have been a focus for me. My ongoing work on Safehold (SAFE) has directed my attention their way even more strongly. Setting those rates ...

Forbes contributors publish independent expert analyses and insights. James Broughel is an economist focused on the economics of regulation. In the complex world of regulatory cost-benefit analysis, ...