dRate.RdDiscount 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)
| 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 |
net present value
# NOT RUN { x=rnorm(20) dRate(x,0.05) # }