Discount Rate in Financial Accounting Formulas

Discount Rate is the interest rate charged to commercial banks and other depository institutions for loans received from the Federal Reserve Bank’s discount window. And is denoted by DR.

Financial Accounting formulas that make use of Discount Rate

fxDiscounted Payback PeriodGo

fxTerminal Value using Perpetuity MethodGo

FAQ

What is the Discount Rate?

Discount Rate is the interest rate charged to commercial banks and other depository institutions for loans received from the Federal Reserve Bank’s discount window.

Can the Discount Rate be negative?

{YesorNo}, the Discount Rate, measured in {OutputVariableMeasurementName} {CanorCannot} be negative.

Let Others Know

✖

Facebook

Twitter

Copied!