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Discount payment |
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Discount paymentThe difference between the face value and the price paid for a security.Discount payment Similar MatchesStraight DiscountStraight DiscountThe rate applied to the face value of the promissory note to calculate present value without compounding. For example, a note with a face value in three years of 100, with a straight discount of 10% per annum has a present value of 70. Forward discountForward discountA currency trades at a forward discount when its forward price is lower than its spot price. Discounted dividend model (DDM)Discounted dividend model (DDM)A formula to estimate the intrinsic value of a firm by figuring the present value of all expected future dividends. Volume discountVolume discountA reduction in price based on the purchase of a large quantity. Discount yieldDiscount yieldThe yield or annual interest rate on a security sold to an investor at a discount. A bond that is sold at $4875 that matures to $5000 has a discount of $125. To calculate the discount yield: (discount divided by the face value of the security) multiplied by the (number of days in the year divided by the number of days to maturity). Further SuggestionsPure discount bondDiscounted basis Stepped discount mortgage Documented discount notes Discount period Discount window Discount rate discount Deep discount bond Discounted cash flow (DCF) Discount securities Forward discount Discount period Rediscount Original issue discount debt (OID debt) Discounted payback Unamortized bond discount Underwriters discount discount rate bond discount Accretion (of a discount) Discount Interest Discount Points Discounted in or by market dividend discount model |
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