Equity Market Risk Marketability Net Present Value 
Valutico
FEBRUARY 27, 2024
The discount rate effectively encapsulates the risk associated with an investment; riskier investments attract a higher discount rate. Different types of discount rates such as risk-free rate, cost of equity, or cost of debt, are used contextually in financial analysis.
Valutico
OCTOBER 20, 2022
But here, we use what interest we could get from an alternative investment in the market, called the Market Rate. Discount Factor (using Market Rate: r=10%). This value is widely referred to as the “Net Present Value” (NPV). . We add that return on, and get a larger cash value in future years. .
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