The article How to Calculate the Effective Interest Rate Including Discount Points originally appeared on Fool.com. The Motley Fool has no position in any of the stocks mentioned.

The discount factor of a company is the rate of return that a capital expenditure project must meet to be accepted. It is used to calculate the net present value of future cash flows from a ...

When buying Treasury bills, you'll find that quotes are typically given in terms of their discount, so you'll need to calculate the actual price. Getting the price from the interest rate ...