DISCOUNT RATE
The interest rate charged to commercial banks and other depository institutions for loans received from the Federal Reserve Bank’s discount window. The discount rate also refers to the interest rate used in discounted cash flow (DCF) analysis to determine the present value of future cash flows. The discount rate in DCF analysis takes into account not just the time value of money, but also the risk or uncertainty of future cash flows; the greater the uncertainty of future cash flows, the higher the discount rate. A third meaning of the term "discount rate" is the rate used by pension plans and insurance companies for discounting their liabilities.
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Robert C. Merton
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Admitted Company
An insurance company admitted and allowed by an another state to transact insurance business despite having a domiciled status on an another state. ...
Black Box Model
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Form 3903
A form issued by the IRS and used by taxpayers to deduct moving expenses related to taking a new job.
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