Explore BrainMass

Explore BrainMass

    When is the discount rate not stable over time?

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    Under what circumstances might it not be appropriate to assume that the discount rate is stable over time?

    © BrainMass Inc. brainmass.com June 3, 2020, 5:13 pm ad1c9bdddf
    https://brainmass.com/business/accounting/discount-rate-not-stable-over-time-18580

    Solution Preview

    - In times of unstable economic conditions, eg. inflation and recession. Discount rates might also become unstable due to ...

    Solution Summary

    The solution presents three examples of situations when the discount rate might not be stable.

    $2.19

    ADVERTISEMENT