This discount rate also refers to the rediscount rate, that is, when each member financial institution lends to the central bank, it takes the remittance documents as the loan guarantee and the loan interest to be paid.
In other words, the cost paid to the central bank when the bank has to adjust its liquidity.
Calculation formula of discount rate: discount rate = [[exchange loan interest]]/document face value × 100%.
The market discount rate, also known as the discount rate, refers to the ratio of the loan interest deducted by the banking industry at the time of applying for exchange to the face value limit. The calculation method used in this survey is as follows:
Market discount rate = withholding foreign exchange loan interest/face value limit
The calculation of bill discount rate is divided into two situations:
(1) Discount of interest-free bills
Discount rate = document currency x discount rate x exchange period
(2) Discounting interest-bearing bills
Discount interest rate = maturity value of documents x discount rate x exchange days /360
Exchange days = specific days from exchange date to due repayment date of documents-1
The exchange rate is expressed by a relational expression.
Exchange rate = exchange amount × exchange days × daily discount rate
Daily discount rate = monthly discount rate ÷30
Actual paid amount = face amount-discount rate
The advantage of discount rate is that the central bank can give full play to the rights and interests of the ultimate borrower, which can not only adjust the total output of money supply, but also adjust the structure of money supply. Among them, the characteristics of current assets are:
The charging method of current assets, the calculation of operators' commodities, raw materials, inventory commodities, semi-finished products processing and other inventory commodities should be based on actual costs. Operators can choose one of the first-in first-out method, last-in first-out method, weighted average method and moving average method. Calculate the actual cost of various inventory goods.
Why apply the discount rate?
The discount rate is used to calculate the net present value of business processes as part of the exchange cash flow analysis. It is also used to:
Consider the time value of borrowing.
Indicate the risk of project investment
An enterprise that means opportunity cost
Blocking rate as a decision
Make different project investments comparable.