Economy, asked by amanmadhesia555, 6 months ago

how is discounting commonly modelled?

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Answered by Anonymous

0

Explanation:

Discounting is the process of determining the present value of a payment or a stream of payments that is to be received in the future. Given the time value of money, a dollar is worth more today than it would be worth tomorrow. Discounting is the primary factor used in pricing a stream of tomorrow's cash flows.

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