A discount rate is a percentage rate that investors use to measure the value of future cash flows in today's dollars. A discount rate has a wide variety of applications in terms of analyzing ...

Christina Majaski writes and edits finance, credit cards, and travel content. She has 14+ years of experience with print and digital publications. Vikki Velasquez is a researcher and writer who has ...

In a discounted cash flow analysis, the discount rate is the depreciation of time during the valuation of money. In a nutshell, the discount rate tells us that money is worth more today than it is in ...

APR considers up-front fees to reflect the true mortgage cost, not just interest rates. Calculating APR involves adjusting the loan amount by adding fees to find a new rate. Always compare APRs, not ...

An investment with a low discount rate is relatively low risk, and its cash flows in the future are more certain and therefore worth more today. The most egregiously valued companies in today's ...

Will Kenton is an expert on the economy and investing laws and regulations. He previously held senior editorial roles at Investopedia and Kapitall Wire and holds a MA in Economics from The New School ...

Is a high discount rate a guaranteed trouble sign for colleges? Not necessarily, experts say -- sometimes colleges can leverage discounts to increase revenue, at least if they are increasing ...