What is your personal discount rate or rate of preferences? I.e. how much would you pay for a promise of $1000 to be received one year from now? Would you discount it by 10%, 5%, etc?© BrainMass Inc. brainmass.com October 10, 2019, 2:14 am ad1c9bdddf
Your personal discount rate depends on your ability to invest by yourself. Consider the two cases,
1. person A is works as a stock trader for Goldman Sachs and he typically achieves a 15% ...