matician - v2.0.0
    Preparing search index...

    Function discountRate

    • Calculates the annual effective discount rate (d) from the effective interest rate (i).

      Formula: d = i / (1 + i)

      Parameters

      • i: number

        The effective annual interest rate (e.g., 0.05 for 5%)

      Returns number

      The effective discount rate

      Error if i ≤ -1 (invalid for discount rate computation)