It’s used in the formula that calculates the discount factor along with the time period. It represents the time value of money. It’s a rate of return determined by a company.

Find out the best practices for most financial modeling to price a bond, calculate coupon payments, and calculate a bond's yield to maturity in Microsoft Excel.

It’s used in the formula that calculates the discount factor along with the time period. It represents the time value of money. It’s a rate of return determined by a company.