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Discount Rate
The interest rate used to discount future cash flows to their present value, often in the context of evaluating investments or loan decisions.
Net Present Value
A calculation used to assess the profitability of an investment, considering the present value of its cash flows and initial cost.
Discount Rate
In discounted cash flow analysis, the discount rate is the interest rate utilized to ascertain the present value of future cash flows.
Net Present Value
A method used in capital budgeting to assess the profitability of an investment or project, by calculating the difference between the present value of cash inflows and outflows over a period of time.
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