straight discount

straight discount
The rate applied to the face value of the promissory note to calculate present value without compounding. For example, a note with a face value in three years of 100, with a straight discount of 10% per annum has a present value of 70. Bloomberg Financial Dictionary

Financial and business terms. 2012.

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  • straight-line — ˈ ̷ ̷| ̷ ̷ adjective 1. : being a mechanical linkage or equivalent device designed to produce or copy motion in a straight or approximately straight line 2. a. : having the principal parts arranged in a straight line a straight line compressor… …   Useful english dictionary

  • Accretion (of a discount) — In portfolio accounting, a straight line accumulation of capital gains on discount bond in anticipation of receipt of par at maturity. The New York Times Financial Glossary …   Financial and business terms

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