Discounting,

Definition of Discounting:

1. 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.

2. Multiplying an amount by a discount rate to compute its present value (the discounted value). It is the opposite of compounding where compound interest rates are used in determining how an investment will grow on a monthly or yearly basis. For example, $1,000 compounded at an annual interest rate of 10 percent will be $1,610.51 in five years. Conversely, the present value of $1,610.51 realized after five years of investment is $1,000 when discounted at an annual rate of 10 percent.

3. A deduction from the usual cost of something.

4. Deduct an amount from (the usual price of something).

5. For example, the coupon payments found in a regular bond are discounted by a certain interest rate and added together with the discounted par value to determine the bond's current value.

6. Regard (a possibility or fact) as being unworthy of consideration because it lacks credibility.

Synonyms of Discounting

Deduct, Take off, Rebate, Disregard, Pay no attention to, Take no notice of, Take no account of, Pass over, Overlook, Dismiss, Ignore, Brush off, Gloss over, Reduction, Deduction, Markdown, Price cut, Cut, Lower price, Cut price, Concession, Concessionary price

How to use Discounting in a sentence?

1. A dollar is always worth more today than it would be worth tomorrow, according to the concept of the time value of money.
2. Id heard rumours, but discounted them.
3. We had a really good discounting strategy that would give customers an advantage when shopping in our store, as opposed to others.
4. A higher discount indicates a greater the level of risk associated with an investment and its future cash flows.
5. There are times where you may need to do some discounting when you need to get rid of a lot of your product quickly.
6. Discounting is the process of determining the present value of a future payment or stream of payments.
7. A product may carry a price which cannot easily be discounted.
8. Rail commuters get a discount on season tickets.
9. You may want to try to use discounting to get rid of a product if you find yourself with an excess.

Discounting,

How Do You Define Discounting?

1. A discount is a process of determining the current value of a payment or series of payments that will be received in the future. If you look at the value of time, the value of a dollar is higher today than it was yesterday. Discounts are an important factor in estimating total cash flow.

   • A rebate is the process of determining the current value of future payments or cash flows.
   • According to the time value of the concept of money, a dollar is always more valuable than it is today.
   • A large discount indicates a higher risk associated with the investment and future cash flow.

Meanings of Discounting

1. Decrease the (normal value of an item)

2. Consider the impossibility (possibility or reality) due to lack of credibility.

3. Deduction from the general cost of something.

Sentences of Discounting

1. There may be a price for a product that cannot be easily reduced

2. I heard the rumors but put them aside

3. Passengers benefit from fewer subscriptions

Discounting,

How To Define Discounting?

• Discounting can be defined as, Discounting is the process of determining the current value of a payment or cash flow that will be maintained over time. If you look at the time value of money, one dollar is more valuable today than it was yesterday. Discounts are an important factor in generating total cash flow.

  • Discounting is the process of determining the current value of a payment or cash flow.
  • According to the time value of the concept of money, one dollar is always more valuable than yesterday.
  • A large discount indicates a higher risk associated with the investment and future cash flow.

Meanings of Discounting

1. As far as (possibility or reality) it is not worth considering because it lacks credibility.

Synonyms of Discounting

disbelieve, slash, give no credence to, pooh-pooh, take with a pinch of salt, knock off, reject

Discounting,

How To Define Discounting?

• Discounting can be defined as, James Chen, CMT, is an experienced trader, investment advisor and global market strategist. He is the author of John Wiley & Sons' books on trade and technology trade and has been a visiting researcher at CNBC, Bloomberg TV, Forbes and Reuters, among other financial companies.

  • Discount is the process of determining the current value of a payment or cash flow.
  • According to the time value of the concept of money, one dollar is always more valuable today than yesterday.
  • A large discount indicates a higher risk associated with the investment and future cash flow.