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Danny recently started revising his résumé after his managers failed to give him a pay raise that he felt would rightly compensate him for his increasing workload. Danny, who had faced this kind of pay discrimination in the company earlier, finally decided to quit and has begun looking for another job. His resentment related to his pay reflects the lack of _____ in the company that he works for.
Discount Rate
The interest rate used to determine the present value of future cash flows, reflecting the time value of money and risk of cash flows.
Annuity
A financial instrument that provides a steady flow of payments to a person, often employed as a source of income for those in retirement.
Present Value
The present-day valuation of a money amount expected in the future or series of cash inflows, factoring in a specific return rate.
Interest Rate
The percentage charged on the total amount you borrow or save, often annually.
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