Discount rate worked example
First, a discount rate is a part of the calculation of present value when doing a discounted cash flow analysis, and second, the discount rate is the interest rate the Federal Reserve charges on loans given to banks through the Fed's discount window loan process. Today, let’s be practical. A couple of weeks ago, I published an article about IAS 37 Provisions, Contingent Liabilities and Contingent Assets.. I received a lot of questions from you, so here I try to give you my answers to the issues that popped out the most frequently.