
Discount factor calculation based on periodic interest rate and number of periods formula (ID: 144) [Edit]
Description of the Discount factor calculation based on periodic interest rate and number of periods formula
Formula for the calculation of a discount factor based on the periodic interest rate and the number of interest periods
Formula
\[ PV_{f}=\frac{1}{\left ( 1 + i \right )^{n}} \ \]
Symbols
\(i\ \)
Periodic interest rate
\(n\ \)
Number of periods