An interest rate is also called a discount rate.

Name: An interest rate is also called a discount rate.
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An interest rate is sometimes referred to as a discount rate because it is used to calculate the present value of future cash flows, which involves discounting them back to their present value. However, "interest rate" is the more common term used to refer to the cost of borrowing or the rate of return on investments.

An Interest Rate Is Also Called a Discount Rate