Understand the differences between the prime rate and discount rate, how each affects borrowing costs, consumer loans, and the role of the Federal Reserve.
Discover how the risk-adjusted discount rate reflects investment risk and return, helping you to evaluate the valuation of projects with potential risk.
The Federal Reserve targets an interest rate called the federal funds rate (FFR). The three rates the Fed sets to reach its FFR target range are: the discount rate, interest on reserve balances (IORB) ...
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