mortgage bond

What is an opportunity cost rate and how is this rate used in discounted cash flow analysis, and where is it shown on a time line?

Principle of Finance Questions (4-1) Define each of the following terms: PV; I; INT; ; ; ; PMT; M; Opportunity cost rate Annuity; lump-sum payment; cash flow; uneven cash flow stream Ordinary (or deferred) annuity; annuity due Perpetuity; consol Outflow; inflow; time line; terminal value Compounding; discounting Annual, semiannual, quarterly, monthly, and daily compounding Effective […]

Scroll to top