Discount rate reflects the risk (the higher the risk the higher the discount rate). Is used to discount all forecast future cash flows to calculate a present value:

dRate(x, r, wtAv = FALSE)

Arguments

x

a vector holding a time series

r

a numeric discount rate

wtAv

a logical, FALSE by default, if TRUE then uses discount rate to calculate a weighted average

Value

net present value

Examples

# NOT RUN {
   x=rnorm(20)
   dRate(x,0.05)
# }