# How Does the Choice of Discount Rate Impact an Npv Analysis for an Rfp? ▴ Question

**Published:** 2025-08-08
**Categories:** Question

---

![A sophisticated, modular mechanical assembly illustrates an RFQ protocol for institutional digital asset derivatives. Reflective elements and distinct quadrants symbolize dynamic liquidity aggregation and high-fidelity execution for Bitcoin options](https://options.greeks.live/wp-content/uploads/2025/08/institutional-digital-asset-derivatives-rfq-protocol-architecture.jpg)

![A sophisticated metallic mechanism with integrated translucent teal pathways on a dark background. This abstract visualizes the intricate market microstructure of an institutional digital asset derivatives platform, specifically the RFQ engine facilitating private quotation and block trade execution](https://options.greeks.live/wp-content/uploads/2025/07/systemic-framework-for-institutional-digital-asset-derivatives-rfq-price-discovery-and-atomic-settlement.jpg)

## Concept

The [discount rate](https://prime.greeks.live/area/discount-rate/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) within a [Net Present Value](https://prime.greeks.live/area/net-present-value/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) (NPV) analysis operates as the primary control system for translating an organization’s strategic posture on risk, time, and opportunity into a single, decisive metric. When evaluating a Request for Proposal (RFP), the stream of projected future cash flows from a potential project or partnership represents a set of promises extended across time. The discount rate is the mechanism that systematically adjusts the value of those promises, converting them into a present-day equivalent.

A higher rate imposes a more stringent penalty on future earnings, reflecting a corporate stance that prioritizes near-term returns, assumes a higher degree of future uncertainty, or acknowledges a wealth of alternative high-yield investment opportunities. Conversely, a lower rate signifies a greater willingness to wait for returns, a higher confidence in the predictability of future [cash flows](https://prime.greeks.live/area/cash-flows/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite), or a strategic imperative that transcends immediate profitability.

This financial tool moves the evaluation of an RFP from a simple summation of anticipated profits to a sophisticated assessment of value creation. It forces the organization to confront a foundational question ▴ What is the minimum acceptable rate of return a project must generate to justify the allocation of capital and resources today? This required rate of return, or [hurdle rate](https://prime.greeks.live/area/hurdle-rate/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite), is the essence of the discount rate. It is not an abstract figure but a concrete expression of the firm’s cost of capital ▴ what it costs to finance its operations through debt and equity ▴ and the [opportunity cost](https://prime.greeks.live/area/opportunity-cost/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) of forgoing other investments.

Every percentage point change in this rate alters the gravitational pull on future cash flows, drawing them back to the present with more or less intensity. This process ensures that a project is judged not on its raw potential but on its ability to generate value superior to other available, risk-equivalent alternatives.

> A project’s viability hinges on its capacity to generate returns that exceed the cost of capital and the value of alternative investments, a test enforced by the discount rate.

Understanding this dynamic is fundamental to interpreting the output of an [NPV analysis](https://prime.greeks.live/area/npv-analysis/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite). A positive NPV signifies that the project is expected to yield a return greater than the hurdle rate, thereby creating value for the organization. A negative NPV indicates the opposite; the project is projected to fall short of the minimum acceptable return, effectively destroying value relative to the firm’s baseline financial requirements. The choice of the discount rate, therefore, becomes a declaration of corporate strategy, embedding the institution’s risk tolerance and financial architecture directly into the mathematics of the decision.

![A metallic, circular mechanism, a precision control interface, rests on a dark circuit board. This symbolizes the core intelligence layer of a Prime RFQ, enabling low-latency, high-fidelity execution for institutional digital asset derivatives via optimized RFQ protocols, refining market microstructure](https://options.greeks.live/wp-content/uploads/2025/08/precision-rfq-protocol-engine-for-institutional-digital-asset-derivatives.jpg)

![A central metallic mechanism, representing a core RFQ Engine, is encircled by four teal translucent panels. These symbolize Structured Liquidity Access across Liquidity Pools, enabling High-Fidelity Execution for Institutional Digital Asset Derivatives](https://options.greeks.live/wp-content/uploads/2025/07/inst-dad-rfq-hifi-ex-prime-os-quant-algo-liquidity.jpg)

## Strategy

The strategic selection of a discount rate for an RFP analysis transcends the application of a single, static corporate figure. It involves a structured process of building a rate that accurately reflects the specific risk profile of the proposed project. This methodology begins with a baseline rate, typically the firm’s Weighted Average Cost of Capital ([WACC](https://prime.greeks.live/area/wacc/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite)), which represents the blended cost of its financing sources.

The WACC serves as the foundational hurdle rate for an average-risk project within the organization. The strategic depth of the analysis, however, emerges from how this baseline is adjusted to account for the unique characteristics of the opportunity presented in the RFP.

![A multi-faceted digital asset derivative, precisely calibrated on a sophisticated circular mechanism. This represents a Prime Brokerage's robust RFQ protocol for high-fidelity execution of multi-leg spreads, ensuring optimal price discovery and minimal slippage within complex market microstructure, critical for alpha generation](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-execution-precision-2.jpg)

## Constructing a Risk-Adjusted Discount Rate

A sophisticated approach to [RFP evaluation](https://prime.greeks.live/area/rfp-evaluation/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) requires disaggregating project risk into identifiable components and assigning a corresponding premium to each. This transforms the discount rate from a blunt instrument into a precision tool. The objective is to construct a rate that is a composite of the baseline cost of capital and additive factors representing specific, non-diversifiable risks inherent to the project. This ensures that projects with higher uncertainty must clear a higher bar for approval, aligning the [capital allocation](https://prime.greeks.live/area/capital-allocation/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) process with the firm’s risk management framework.

- **Jurisdictional and Political Risk** ▴ Projects located in regions with political instability, uncertain regulatory environments, or a history of expropriation carry additional risk. A premium of 2-5% might be added to the discount rate to compensate for this heightened uncertainty.

- **Technological Risk** ▴ An RFP involving nascent or unproven technology presents a higher risk of operational failure or cost overruns compared to one using established processes. The premium for this risk depends on the technology’s maturity and the firm’s expertise in that domain.

- **Market and Commodity Risk** ▴ For projects whose revenues are tied to volatile commodity prices or specific market segments, a premium is necessary to account for price uncertainty that exceeds general market fluctuations. This is particularly relevant for long-term projects in sectors like energy or mining.

- **Counterparty Risk** ▴ The reliability of the partners or clients involved in the RFP is a critical factor. If the primary offtaker or partner has a weak credit profile, a premium must be added to the discount rate to reflect the increased risk of default on future cash flows.

![A split spherical mechanism reveals intricate internal components. This symbolizes an Institutional Digital Asset Derivatives Prime RFQ, enabling high-fidelity RFQ protocol execution, optimal price discovery, and atomic settlement for block trades and multi-leg spreads](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-prime-os-revealing-rfq-execution-core-mechanics.jpg)

## Alternative Strategic Frameworks for Discounting

Beyond the build-up method, the strategic context of the project can dictate the use of different discounting philosophies. The choice of framework reflects the organization’s long-term vision and its approach to intergenerational capital allocation. Acknowledging these different frameworks allows for a more nuanced discussion around the RFP’s true strategic value.

One prominent alternative involves using a declining discount rate for projects with very long time horizons, such as large-scale infrastructure or environmental initiatives. This approach, adopted by some governments, posits that uncertainty about long-term economic growth rates makes a high, constant discount rate inappropriate. Using a rate that decreases over time gives more weight to distant cash flows, reflecting a greater sense of responsibility to future outcomes and acknowledging that long-term risk is inherently different from short-term volatility. For a corporation, this could be applied to foundational R&D projects or strategic acquisitions where the most significant benefits are expected to materialize decades in the future.

> The strategic choice of a discount rate framework ▴ whether a constant hurdle rate or a declining long-term rate ▴ fundamentally shapes the valuation of future-oriented projects.

The following table compares these two strategic approaches to discount rate selection, illustrating how the underlying philosophy impacts the valuation of different types of projects solicited through an RFP.

| Framework | Underlying Philosophy | Typical Application | Impact on NPV Analysis |
| --- | --- | --- | --- |
| Constant Hurdle Rate (WACC + Risk Premium) | Projects must consistently outperform the firm’s combined cost of capital and opportunity cost. Emphasizes shareholder return and capital discipline in the medium term. | Standard corporate projects, product launches, operational improvements, and most commercial RFPs with a 5-15 year horizon. | Heavily penalizes long-dated cash flows. Favors projects with rapid payback periods and high near-term profitability. |
| Declining Discount Rate | Long-term uncertainty about economic growth and returns is high, so applying a high discount rate to distant futures is overly punitive. Reflects intergenerational equity or long-term strategic patience. | Government infrastructure projects, climate change mitigation, foundational research, or “bet-the-company” strategic initiatives with a 30+ year horizon. | Assigns greater value to distant cash flows. Can justify projects with high upfront costs and benefits that accrue far in the future, which might be rejected under a constant rate. |

Ultimately, the strategy for determining the discount rate in an RFP analysis is a direct reflection of the firm’s identity. It articulates whether the firm sees itself primarily as a generator of near-term profits or as a long-term steward of capital, and it provides a disciplined, quantitative framework for making decisions that are consistent with that identity.

![A symmetrical, reflective apparatus with a glowing Intelligence Layer core, embodying a Principal's Core Trading Engine for Digital Asset Derivatives. Four sleek blades represent multi-leg spread execution, dark liquidity aggregation, and high-fidelity execution via RFQ protocols, enabling atomic settlement](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocols-optimized-execution.jpg)

![Sharp, intersecting elements, two light, two teal, on a reflective disc, centered by a precise mechanism. This visualizes institutional liquidity convergence for multi-leg options strategies in digital asset derivatives](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-block-trade-execution.jpg)

## Execution

The execution of an NPV analysis requires a meticulous and systematic approach to modeling the interplay between cash flows and the discount rate. This process moves from the theoretical selection of a rate to its practical application, revealing the project’s financial DNA. The core of this execution phase is [sensitivity analysis](https://prime.greeks.live/area/sensitivity-analysis/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite), a technique that examines how the NPV reacts to incremental changes in the discount rate.

This analysis is not merely a check; it is a critical diagnostic tool that exposes the project’s vulnerability to changes in the underlying cost of capital and risk environment. It provides decision-makers with a clear understanding of the margin of safety and the point at which the project shifts from value-accretive to value-destructive.

![A gleaming, translucent sphere with intricate internal mechanisms, flanked by precision metallic probes, symbolizes a sophisticated Principal's RFQ engine. This represents the atomic settlement of multi-leg spread strategies, enabling high-fidelity execution and robust price discovery within institutional digital asset derivatives markets, minimizing latency and slippage for optimal alpha generation and capital efficiency](https://options.greeks.live/wp-content/uploads/2025/07/inst-digital-asset-deriv-rfq-os-for-optimal-high-fidelity-trade-exec.jpg)

## Quantitative Modeling of Discount Rate Sensitivity

To execute a robust analysis, one must first model the projected free cash flows of the project detailed in the RFP. Consider a hypothetical five-year infrastructure project with an initial investment of $50 million. The projected annual cash flows are laid out below.

The subsequent table demonstrates the NPV calculation across a spectrum of discount rates, from a conservative 6% to an aggressive 16%. This granular analysis illuminates the direct and powerful relationship between the chosen rate and the final valuation.

**Projected Free Cash Flows (in millions USD)**

- **Year 0 (Initial Outlay)** ▴ ($50.0)

- **Year 1** ▴ $10.0

- **Year 2** ▴ $15.0

- **Year 3** ▴ $20.0

- **Year 4** ▴ $18.0

- **Year 5** ▴ $15.0

The following table provides a detailed sensitivity analysis. The point at which the NPV turns negative reveals the project’s [Internal Rate of Return](https://prime.greeks.live/area/internal-rate-of-return/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) ([IRR](https://prime.greeks.live/area/irr/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite)), the discount rate at which the project breaks even. For this project, the IRR lies between 14% and 15%.

| Discount Rate | Year 1 PV | Year 2 PV | Year 3 PV | Year 4 PV | Year 5 PV | Total PV of Inflows | Net Present Value (NPV) |
| --- | --- | --- | --- | --- | --- | --- | --- |
| 6.0% | $9.43 | $13.35 | $16.79 | $14.26 | $11.21 | $65.04 | $15.04 |
| 8.0% | $9.26 | $12.86 | $15.88 | $13.23 | $10.21 | $61.44 | $11.44 |
| 10.0% | $9.09 | $12.40 | $15.03 | $12.29 | $9.31 | $58.12 | $8.12 |
| 12.0% | $8.93 | $11.96 | $14.23 | $11.44 | $8.51 | $55.07 | $5.07 |
| 14.0% | $8.77 | $11.54 | $13.49 | $10.65 | $7.79 | $52.24 | $2.24 |
| 16.0% | $8.62 | $11.15 | $12.81 | $9.94 | $7.14 | $49.66 | ($0.34) |

![A precision-engineered teal metallic mechanism, featuring springs and rods, connects to a light U-shaped interface. This represents a core RFQ protocol component enabling automated price discovery and high-fidelity execution](https://options.greeks.live/wp-content/uploads/2025/07/rfq-execution-engine-component-for-institutional-digital-asset-derivatives.jpg)

## Procedural Guide for RFP Discount Rate Analysis

A disciplined protocol ensures that the discount rate analysis is both comprehensive and consistently applied across all RFP evaluations. This operational playbook standardizes the process, reducing subjectivity and improving the quality of capital allocation decisions.

- **Establish the Baseline Rate** ▴ Determine the firm’s current Weighted Average Cost of Capital (WACC). This figure should be reviewed and updated quarterly or in response to significant changes in capital markets or the company’s debt/equity structure. The WACC formula, Cost of Equity (% Equity) + Cost of Debt (% Debt) (1 – Tax Rate), must be calculated with current market values.

- **Deconstruct Project-Specific Risks** ▴ Systematically evaluate the RFP against a predefined checklist of risk factors. This list should include, at a minimum, jurisdictional, technological, market, execution, and counterparty risks.

- **Quantify Risk Premia** ▴ Assign a specific basis point or percentage premium for each identified risk factor. This step requires a clear, documented rationale. For instance, a project in a new, unstable jurisdiction might receive a 300 basis point premium, while a project using a slightly novel technology might receive a 100 basis point premium.

- **Construct the Project-Specific Discount Rate** ▴ Sum the baseline WACC and all applicable risk premia to arrive at the final project-specific discount rate. This becomes the central rate for the primary NPV calculation.

- **Conduct Sensitivity and Scenario Analysis** ▴ Calculate the project’s NPV using a range of discount rates, typically the central rate +/- 400 basis points, in 100-basis-point increments. This reveals the project’s sensitivity to capital market fluctuations. Furthermore, model distinct scenarios (e.g. “Optimistic Case” with a lower rate, “Pessimistic Case” with a higher rate) to understand the impact of macro-level changes.

- **Determine Crossover Rate and Margin of Safety** ▴ Identify the discount rate at which the project NPV becomes zero (the IRR). The difference between the project-specific discount rate and the IRR represents the margin of safety. A larger margin indicates a more resilient project.

- **Integrate with Non-Financial Metrics** ▴ The final NPV output and sensitivity analysis should be presented alongside qualitative strategic considerations. A project with a borderline NPV might still be approved if it offers a critical, non-quantifiable strategic advantage, such as market entry or acquisition of key intellectual property. The NPV provides the financial context for that strategic decision.

> The discipline of a procedural analysis transforms the discount rate from a simple input into a comprehensive diagnostic of a project’s financial resilience.

This rigorous execution ensures that the final decision on an RFP is not based on a single, potentially flawed number, but on a deep understanding of the project’s financial characteristics under a variety of conditions. It provides a defensible and transparent rationale for allocating capital, which is the ultimate function of the corporate finance system.

![Two off-white elliptical components separated by a dark, central mechanism. This embodies an RFQ protocol for institutional digital asset derivatives, enabling price discovery for block trades, ensuring high-fidelity execution and capital efficiency within a Prime RFQ for dark liquidity](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-engine-4.jpg)

## References

- Fama, Eugene F. and Kenneth R. French. “The Capital Asset Pricing Model ▴ Theory and Evidence.” _Journal of Economic Perspectives_, vol. 18, no. 3, 2004, pp. 25-46.

- Sharpe, William F. “Capital Asset Prices ▴ A Theory of Market Equilibrium Under Conditions of Risk.” _The Journal of Finance_, vol. 19, no. 3, 1964, pp. 425-42.

- Lintner, John. “The Valuation of Risk Assets and the Selection of Risky Investments in Stock Portfolios and Capital Budgets.” _The Review of Economics and Statistics_, vol. 47, no. 1, 1965, pp. 13-37.

- Modigliani, Franco, and Merton H. Miller. “The Cost of Capital, Corporation Finance and the Theory of Investment.” _The American Economic Review_, vol. 48, no. 3, 1958, pp. 261-97.

- Ramsey, F. P. “A Mathematical Theory of Saving.” _The Economic Journal_, vol. 38, no. 152, 1928, pp. 543-59.

- Magni, Carlo A. “Economic profit, NPV, and CAPM ▴ Biases and violations of Modigliani and Miller’s Proposition I.” _MPRA Paper_, no. 7359, 2008.

- Broughel, James. “The Social Discount Rate ▴ A Baseline Approach.” _Mercatus Working Paper_, Mercatus Center at George Mason University, 2017.

- Kozack, Julie. “Considerations in the Choice of the Appropriate Discount Rate for Evaluating Sovereign Debt Restructurings.” _IMF Policy Discussion Paper_, PDP/05/6, 2005.

![A central, metallic, multi-bladed mechanism, symbolizing a core execution engine or RFQ hub, emits luminous teal data streams. These streams traverse through fragmented, transparent structures, representing dynamic market microstructure, high-fidelity price discovery, and liquidity aggregation](https://options.greeks.live/wp-content/uploads/2025/07/principal-grade-digital-asset-derivatives-rfq-protocol-engine-facilitating-high-fidelity-execution-and-optimal-price-discovery-across-fragmented-market-microstructure.jpg)

## Reflection

The analytical machinery of Net Present Value provides a definitive output, yet its true utility lies beyond the number itself. The process of constructing and stress-testing the discount rate forces an organization to hold a mirror to its own assumptions about the future. Each basis point added for jurisdictional risk or technological uncertainty is a coded expression of the institution’s collective experience and foresight. The final NPV is the culmination of this structured introspection.

Therefore, the framework for analyzing an RFP should be viewed as a component within a larger system of institutional intelligence. How does the [risk premium](https://prime.greeks.live/area/risk-premium/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite) assigned to a novel technology in this analysis inform the firm’s broader R&D strategy? How does the jurisdictional premium for one project calibrate the firm’s appetite for expansion in that region?

The data points generated during the evaluation of a single proposal are inputs for refining the entire operational architecture of risk management and capital allocation. The power of the analysis is its capacity to create a feedback loop, turning the evaluation of an external proposal into an act of internal discovery.

![A large textured blue sphere anchors two glossy cream and teal spheres. Intersecting cream and blue bars precisely meet at a gold cylinder, symbolizing an RFQ Price Discovery mechanism](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-architecture-and-multi-leg-execution.jpg)

## Glossary

<a href="https://prime.greeks.live/area/net-present-value/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A transparent cylinder containing a white sphere floats between two curved structures, each featuring a glowing teal line. This depicts institutional-grade RFQ protocols driving high-fidelity execution of digital asset derivatives, facilitating private quotation and liquidity aggregation through a Prime RFQ for optimal block trade atomic settlement](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-high-fidelity-execution-6.jpg)

## Net Present Value

Meaning ▴ Net Present Value (NPV), as applied to crypto investing and systems architecture, is a fundamental financial metric used to evaluate the profitability of a projected investment or project by discounting all expected future cash flows to their present-day equivalent and subtracting the initial investment cost. </a><a href="https://prime.greeks.live/area/discount-rate/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A symmetrical, angular mechanism with illuminated internal components against a dark background, abstractly representing a high-fidelity execution engine for institutional digital asset derivatives. This visualizes the market microstructure and algorithmic trading precision essential for RFQ protocols, multi-leg spread strategies, and atomic settlement within a Principal OS framework, ensuring capital efficiency](https://options.greeks.live/wp-content/uploads/2025/07/precision-execution-engine-for-institutional-digital-asset-derivatives-rfq.jpg)

## Discount Rate

Meaning ▴ The Discount Rate is a financial metric representing the rate used to determine the present value of future cash flows or expected returns, particularly in the valuation of crypto assets and investment opportunities. </a><a href="https://prime.greeks.live/area/cash-flows/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A beige Prime RFQ chassis features a glowing teal transparent panel, symbolizing an Intelligence Layer for high-fidelity execution. A clear tube, representing a private quotation channel, holds a precise instrument for algorithmic trading of digital asset derivatives, ensuring atomic settlement](https://options.greeks.live/wp-content/uploads/2025/07/prime-os-rfq-digital-asset-derivatives-high-fidelity-execution-system-interface.jpg)

## Cash Flows

Meaning ▴ Cash flows in the crypto investing domain denote the movement of fiat currency or stablecoins into and out of an investment or project, representing the liquidity available for operational activities, returns to investors, or capital deployment. </a><a href="https://prime.greeks.live/area/opportunity-cost/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A translucent sphere with intricate metallic rings, an 'intelligence layer' core, is bisected by a sleek, reflective blade. This visual embodies an 'institutional grade' 'Prime RFQ' enabling 'high-fidelity execution' of 'digital asset derivatives' via 'private quotation' and 'RFQ protocols', optimizing 'capital efficiency' and 'market microstructure' for 'block trade' operations](https://options.greeks.live/wp-content/uploads/2025/07/precision-rfq-engine-for-digital-asset-derivatives-best-execution.jpg)

## Opportunity Cost

Meaning ▴ Opportunity Cost, in the realm of crypto investing and smart trading, represents the value of the next best alternative forgone when a particular investment or strategic decision is made. </a><a href="https://prime.greeks.live/area/hurdle-rate/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A precision mechanism with a central circular core and a linear element extending to a sharp tip, encased in translucent material. This symbolizes an institutional RFQ protocol's market microstructure, enabling high-fidelity execution and price discovery for digital asset derivatives](https://options.greeks.live/wp-content/uploads/2025/07/precision-engineered-institutional-digital-asset-derivatives-rfq-execution-engine-microstructure-facilitating-optimal-price-discovery-and-best-execution.jpg)

## Hurdle Rate

Meaning ▴ A Hurdle Rate is the minimum acceptable rate of return that an investment or project must achieve to be considered financially viable and warrant capital allocation. </a><a href="https://prime.greeks.live/area/npv-analysis/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A polished spherical form representing a Prime Brokerage platform features a precisely engineered RFQ engine. This mechanism facilitates high-fidelity execution for institutional Digital Asset Derivatives, enabling private quotation and optimal price discovery](https://options.greeks.live/wp-content/uploads/2025/07/prime-os-rfq-engine-optimal-execution-digital-asset-derivatives.jpg)

## Npv Analysis

Meaning ▴ NPV (Net Present Value) Analysis, in the context of crypto investing and systems architecture, is a capital budgeting technique used to evaluate the profitability of a projected investment or project. </a><a href="https://prime.greeks.live/area/wacc/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A precise, metallic central mechanism with radiating blades on a dark background represents an Institutional Grade Crypto Derivatives OS. It signifies high-fidelity execution for multi-leg spreads via RFQ protocols, optimizing market microstructure for price discovery and capital efficiency](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-execution-system-microstructure-hub.jpg)

## Wacc

Meaning ▴ WACC, or Weighted Average Cost of Capital, is a financial metric representing the average rate of return a company expects to pay to its various capital providers, including shareholders and debt holders. </a><a href="https://prime.greeks.live/area/capital-allocation/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![Polished metallic disks, resembling data platters, with a precise mechanical arm poised for high-fidelity execution. This embodies an institutional digital asset derivatives platform, optimizing RFQ protocol for efficient price discovery, managing market microstructure, and leveraging a Prime RFQ intelligence layer to minimize execution latency](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-precision-execution-via-advanced-rfq-protocols-and-prime-os-intelligence-layer-for-optimal-market-microstructure.jpg)

## Capital Allocation

Meaning ▴ Capital Allocation, within the realm of crypto investing and institutional options trading, refers to the strategic process of distributing an organization's financial resources across various investment opportunities, trading strategies, and operational necessities to achieve specific financial objectives. </a><a href="https://prime.greeks.live/area/rfp-evaluation/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![Precision metallic mechanism with a central translucent sphere, embodying institutional RFQ protocols for digital asset derivatives. This core represents high-fidelity execution within a Prime RFQ, optimizing price discovery and liquidity aggregation for block trades, ensuring capital efficiency and atomic settlement](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-prime-os-execution-hub.jpg)

## Rfp Evaluation

Meaning ▴ RFP Evaluation is the systematic and objective process of assessing and comparing the proposals submitted by various vendors in response to a Request for Proposal, with the ultimate goal of identifying the most suitable solution or service provider. </a><a href="https://prime.greeks.live/area/sensitivity-analysis/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A sharp, metallic instrument precisely engages a textured, grey object. This symbolizes High-Fidelity Execution within institutional RFQ protocols for Digital Asset Derivatives, visualizing precise Price Discovery, minimizing Slippage, and optimizing Capital Efficiency via Prime RFQ for Best Execution](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-rfq-protocols-precision-execution-prime-os-liquidity.jpg)

## Sensitivity Analysis

Meaning ▴ Sensitivity Analysis is a quantitative technique employed to determine how variations in input parameters or assumptions impact the outcome of a financial model, system performance, or investment strategy. </a><a href="https://prime.greeks.live/area/internal-rate-of-return/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A precisely engineered central blue hub anchors segmented grey and blue components, symbolizing a robust Prime RFQ for institutional trading of digital asset derivatives. This structure represents a sophisticated RFQ protocol engine, optimizing liquidity pool aggregation and price discovery through advanced market microstructure for high-fidelity execution and private quotation](https://options.greeks.live/wp-content/uploads/2025/08/prime-os-digital-asset-derivatives-rfq-execution-core-systemic-hub.jpg)

## Internal Rate of Return

Meaning ▴ The Internal Rate of Return (IRR) is a financial metric used to estimate the profitability of potential investments. </a><a href="https://prime.greeks.live/area/irr/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A sleek, multi-component device with a dark blue base and beige bands culminates in a sophisticated top mechanism. This precision instrument symbolizes a Crypto Derivatives OS facilitating RFQ protocol for block trade execution, ensuring high-fidelity execution and atomic settlement for institutional-grade digital asset derivatives across diverse liquidity pools](https://options.greeks.live/wp-content/uploads/2025/08/advanced-mechanism-for-principal-trading-firm-rfq-protocols-and-high-fidelity-digital-asset-derivatives-execution.jpg)

## Irr

Meaning ▴ Internal Rate of Return (IRR) is a financial metric employed to estimate the profitability of potential investments, representing the discount rate that equates the net present value (NPV) of all projected cash flows from a project or investment to zero. </a><a href="https://prime.greeks.live/area/risk-premium/?utm_source=options.greeks.live&utm_medium=referral&utm_campaign=satellite" class="glossary-item-box">
![A precise, engineered apparatus with channels and a metallic tip engages foundational and derivative elements. This depicts market microstructure for high-fidelity execution of block trades via RFQ protocols, enabling algorithmic trading of digital asset derivatives within a Prime RFQ intelligence layer](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-execution-microstructure-3.jpg)

## Risk Premium

Meaning ▴ Risk Premium represents the additional return an investor expects or demands for holding a risky asset compared to a risk-free asset. </a>

**Tags:** [Opportunity Cost](https://options.greeks.live/area/opportunity-cost/), [Internal Rate of Return](https://options.greeks.live/area/internal-rate-of-return/), [Sensitivity Analysis](https://options.greeks.live/area/sensitivity-analysis/), [Cash Flows](https://options.greeks.live/area/cash-flows/), [Discount Rate](https://options.greeks.live/area/discount-rate/), [NPV Analysis](https://options.greeks.live/area/npv-analysis/)	

## Discover More

- 
### [How Can You Quantify the Roi of Integrating Multiple Systems with Your Rfp Automation Software?](https://options.greeks.live/question/how-can-you-quantify-the-roi-of-integrating-multiple-systems-with-your-rfp-automation-software/)
![Modular institutional-grade execution system components reveal luminous green data pathways, symbolizing high-fidelity cross-asset connectivity. This depicts intricate market microstructure facilitating RFQ protocol integration for atomic settlement of digital asset derivatives within a Principal's operational framework, underpinned by a Prime RFQ intelligence layer.](https://options.greeks.live/wp-content/uploads/2025/07/modular-high-fidelity-execution-architecture-for-institutional-digital-asset-derivatives-rfq-protocol-integration-and-principals-operational-framework-optimization.jpg)

Quantifying integration ROI is a systemic analysis of value, measuring gains in efficiency, effectiveness, and strategic agility.

- 
### [Can You Use Monte Carlo Simulation to Enhance the Sensitivity Analysis of an RFP Evaluation?](https://options.greeks.live/question/can-you-use-monte-carlo-simulation-to-enhance-the-sensitivity-analysis-of-an-rfp-evaluation/)
![Abstract intersecting blades in varied textures depict institutional digital asset derivatives. These forms symbolize sophisticated RFQ protocol streams enabling multi-leg spread execution across aggregated liquidity. The visualization emphasizes high-fidelity execution, leveraging market microstructure analytics for optimal capital efficiency within a Prime RFQ environment.](https://options.greeks.live/wp-content/uploads/2025/07/prime-os-driven-digital-asset-derivatives-rfq-protocol-execution.jpg)

Monte Carlo simulation enhances RFP sensitivity analysis by transforming static scores into probability distributions of outcomes, quantifying risk and enabling strategic, data-driven vendor selection.

- 
### [How Can Tco Be Effectively Integrated into an Existing Rfp Evaluation Process?](https://options.greeks.live/question/how-can-tco-be-effectively-integrated-into-an-existing-rfp-evaluation-process/)
![A sphere split into light and dark segments, revealing a luminous core. This encapsulates the precise Request for Quote RFQ protocol for institutional digital asset derivatives, highlighting high-fidelity execution, optimal price discovery, and advanced market microstructure within aggregated liquidity pools.](https://options.greeks.live/wp-content/uploads/2025/07/high-fidelity-execution-framework-for-institutional-digital-asset-derivatives-request-for-quote-protocol-optimization.jpg)

Integrating TCO into RFP evaluations shifts the procurement focus from initial price to the complete lifecycle value of an asset.

- 
### [What Is the Role of Real Options Analysis in Measuring Opportunity Cost for Phased Investments?](https://options.greeks.live/question/what-is-the-role-of-real-options-analysis-in-measuring-opportunity-cost-for-phased-investments/)
![Sleek, metallic form with precise lines represents a robust Institutional Grade Prime RFQ for Digital Asset Derivatives. The prominent, reflective blue dome symbolizes an Intelligence Layer for Price Discovery and Market Microstructure visibility, enabling High-Fidelity Execution via RFQ protocols.](https://options.greeks.live/wp-content/uploads/2025/08/prime-os-rfq-protocol-high-fidelity-digital-asset-derivatives-engine.jpg)

Real Options Analysis quantifies the value of managerial flexibility, thereby measuring the opportunity cost of committing to inflexible, phased investment paths.

- 
### [What Is the Role of Total Cost of Ownership in Weighting RFP Criteria for Critical Systems?](https://options.greeks.live/question/what-is-the-role-of-total-cost-of-ownership-in-weighting-rfp-criteria-for-critical-systems/)
![A sleek device showcases a rotating translucent teal disc, symbolizing dynamic price discovery and volatility surface visualization within an RFQ protocol. Its numerical display suggests a quantitative pricing engine facilitating algorithmic execution for digital asset derivatives, optimizing market microstructure through an intelligence layer.](https://options.greeks.live/wp-content/uploads/2025/07/prime-os-for-digital-asset-rfq-execution-system-with-smart-liquidity-routing.jpg)

TCO quantifies a system's true lifecycle cost, enabling a strategic RFP decision that prioritizes long-term value over initial price.

- 
### [Bitcoin Surges to New All-Time High Exceeding $125,000](https://options.greeks.live/news/bitcoin-surges-to-new-all-time-high-exceeding-125000/)
![Central institutional Prime RFQ, a segmented sphere, anchors digital asset derivatives liquidity. Intersecting beams signify high-fidelity RFQ protocols for multi-leg spread execution, price discovery, and counterparty risk mitigation. A smaller sphere denotes dark pool dynamics.](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-cross-asset-rfq-execution-hub.jpg)

This event validates robust digital asset integration within global financial systems, signaling evolving institutional allocation strategies.

- 
### [What Quantitative Metrics Are Most Affected by Minimum Quote Life Requirements in Derivatives Markets?](https://options.greeks.live/question/what-quantitative-metrics-are-most-affected-by-minimum-quote-life-requirements-in-derivatives-markets/)
![A smooth, off-white sphere rests within a meticulously engineered digital asset derivatives RFQ platform, featuring distinct teal and dark blue metallic components. This sophisticated market microstructure enables private quotation, high-fidelity execution, and optimized price discovery for institutional block trades, ensuring capital efficiency and best execution.](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-protocol-system-microstructure-core.jpg)

Minimum quote life requirements amplify adverse selection, widen spreads, and reduce price efficiency, fundamentally reshaping derivatives market dynamics.

- 
### [What Are the Most Common Errors in Valuation Reports That Violate Professional Standards?](https://options.greeks.live/question/what-are-the-most-common-errors-in-valuation-reports-that-violate-professional-standards/)
![Precision-engineered device with central lens, symbolizing Prime RFQ Intelligence Layer for institutional digital asset derivatives. Facilitates RFQ protocol optimization, driving price discovery for Bitcoin options and Ethereum futures. Robust design ensures high-fidelity execution, capital efficiency, and counterparty risk mitigation.](https://options.greeks.live/wp-content/uploads/2025/07/high-fidelity-institutional-rfq-protocol-engine-for-digital-asset-derivatives-options-trading.jpg)

A valuation's integrity is a function of its systemic logic, where errors are failures of architecture, not just arithmetic.

- 
### [What Is the Role of Total Cost of Ownership in Evaluating the Financial Success of an Rfp?](https://options.greeks.live/question/what-is-the-role-of-total-cost-of-ownership-in-evaluating-the-financial-success-of-an-rfp/)
![A sleek, dark, metallic system component features a central circular mechanism with a radiating arm, symbolizing precision in High-Fidelity Execution. This intricate design suggests Atomic Settlement capabilities and Liquidity Aggregation via an advanced RFQ Protocol, optimizing Price Discovery within complex Market Microstructure and Order Book Dynamics on a Prime RFQ.](https://options.greeks.live/wp-content/uploads/2025/07/institutional-digital-asset-derivatives-rfq-prime-os-high-fidelity-execution-protocol-liquidity-market-microstructure.jpg)

TCO is a financial modeling protocol that quantifies an asset's full lifecycle cost, enabling RFPs to be evaluated on long-term value.

---

## Raw Schema Data

```json
{
    "@context": "https://schema.org",
    "@type": "BreadcrumbList",
    "itemListElement": [
        {
            "@type": "ListItem",
            "position": 1,
            "name": "Home",
            "item": "https://options.greeks.live"
        },
        {
            "@type": "ListItem",
            "position": 2,
            "name": "Question",
            "item": "https://options.greeks.live/question/"
        },
        {
            "@type": "ListItem",
            "position": 3,
            "name": "How Does the Choice of Discount Rate Impact an Npv Analysis for an Rfp?",
            "item": "https://options.greeks.live/question/how-does-the-choice-of-discount-rate-impact-an-npv-analysis-for-an-rfp/"
        }
    ]
}
```

```json
{
    "@context": "https://schema.org",
    "@type": "Organization",
    "@id": "https://greeks.live/#organization",
    "name": "Greeks.Live",
    "url": "https://greeks.live/",
    "description": "Greeks.live is the definitive toolkit for the professional options trader, dedicated to empowering our users with institutional-grade data, advanced analytics, and a comprehensive suite of trading tools designed to provide a decisive edge in the market. Every article and guide published under the Greeks.live name is a product of our deep commitment to data-driven analysis and our mission to support the global trading community.",
    "email": "support@greeks.live",
    "logo": {
        "@type": "ImageObject",
        "url": "https://options.greeks.live/wp-content/uploads/2025/07/Greeks.Live-Logo-Icon.svg"
    },
    "hasPart": [
        {
            "@type": "WebSite",
            "name": "About Us",
            "url": "https://about.greeks.live"
        },
        {
            "@type": "WebSite",
            "name": "App Download Page",
            "url": "https://about.greeks.live/#/download/basic_trade"
        },
        {
            "@type": "WebSite",
            "name": "Newcomers' Guide",
            "url": "https://twisty-sign-c8b.notion.site/Guide-for-Greeks-live-X-Deribit-Newbies-5a08a3052822427d800af6eaf3704c8d"
        },
        {
            "@type": "WebSite",
            "name": "Knowledge Base",
            "url": "https://linktr.ee/greeks.live"
        },
        {
            "@type": "WebSite",
            "name": "Option Terminology",
            "url": "https://greekslive.notion.site/88dfc00e7c584d4d8969b6302a79a12f?pvs=4"
        },
        {
            "@type": "WebSite",
            "name": "Terms of Service",
            "url": "https://greeks.live/#/tos"
        },
        {
            "@type": "WebSite",
            "name": "Disclaimer",
            "url": "https://greeks.live/#/disclaimer"
        }
    ],
    "sameAs": [
        "https://x.com/greekslive",
        "https://youtube.com/@greeks_live?si=-KjT0Lkw4WUCI0tD",
        "https://t.me/greekslive_notifications",
        "https://t.me/greekslive",
        "https://pinterest.com/greekslive/"
    ],
    "makesOffer": [
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "RFQ Platform",
                "url": "https://rfq.greeks.live",
                "description": "Execute institutional-grade block trades for crypto options and futures. This platform provides deep, over-the-counter (OTC) liquidity via a professional Request for Quote system.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Lending Tools",
                "url": "https://lend.greeks.live",
                "description": "Manage crypto lending and borrowing activities to earn yield or secure loans. This suite of tools helps users analyze interest rates and manage collateralized debt positions.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Data Lab",
                "url": "https://greeks.live/#/deribit/tools/datalab/BTC",
                "description": "Analyze historical and real-time options data with advanced metrics. This tool is designed for backtesting strategies and identifying market trends through comprehensive data visualization.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Profit & Loss Analysis (PnL)",
                "url": "https://greeks.live/#/deribit/tools/pnl_analysis",
                "description": "Track and analyze the Profit and Loss (PnL) of your options portfolio. This tool provides detailed performance metrics to help traders evaluate and refine their strategies.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Position Visualization",
                "url": "https://greeks.live/#/deribit/tools/pv/BTC",
                "description": "Visualize complex options positions and their corresponding risk profiles. This tool generates payoff diagrams to help traders intuitively understand potential profit, loss, and exposure.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Options Calculator",
                "url": "https://greeks.live/#/deribit/tools/calculator",
                "description": "Calculate the theoretical price and risk parameters ('the Greeks') of crypto options. An essential tool for pricing new trades and analyzing the sensitivity of existing positions.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Greeks.live Main Platform",
                "url": "https://greeks.live/",
                "description": "The central hub for the Greeks.live suite of professional cryptocurrency options and derivatives trading tools. Access analytics, manage positions, and explore the ecosystem.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Community Forum",
                "url": "https://t.greeks.live",
                "description": "Join the official Greeks.live community. Connect with other traders, share insights, and receive the latest updates directly from the team.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Greeks.live for Deribit",
                "url": "http://deribit.greeks.live",
                "description": "A dedicated interface for trading on the Deribit exchange. This platform leverages Greeks.live's advanced analytics and tools specifically for users of Deribit's options and futures markets.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "Greeks.live for OKX",
                "url": "http://okx.greeks.live",
                "description": "A dedicated interface for trading on the OKX exchange. This platform integrates Greeks.live's powerful analytics with the OKX marketplace, focusing on its options and derivatives products.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "GLVS.AI Trading Platform",
                "url": "https://www.glvs.ai/",
                "description": "An AI-powered platform for automated crypto options trading. Leverage advanced algorithms and data-driven signals to develop and deploy sophisticated, hands-free trading strategies.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        },
        {
            "@type": "Offer",
            "itemOffered": {
                "@type": "Service",
                "name": "API Testnet & Sandbox",
                "url": "https://test.greeks.live",
                "description": "A dedicated testnet environment for developers to test their API integrations and automated trading strategies. This sandbox allows for full functionality testing without risking real funds.",
                "provider": {
                    "@id": "https://greeks.live/#organization"
                }
            }
        }
    ],
    "subOrganization": [
        {
            "@type": "Organization",
            "name": "GreeksLive HK Co., Limited",
            "email": "support@greeks.live",
            "telephone": "+852-56418949",
            "address": {
                "@type": "PostalAddress",
                "streetAddress": "Unit 11, 27/F, K. Wah Centre, 191 Java Road",
                "addressLocality": "Hong Kong",
                "addressRegion": "North Point",
                "addressCountry": "CN",
                "postalCode": "0000"
            },
            "geo": {
                "@type": "GeoCoordinates",
                "latitude": "22.2932357",
                "longitude": "114.2022026"
            },
            "image": "https://options.greeks.live/wp-content/uploads/2025/08/Wah-Centre-Hong-Kong.jpg"
        }
    ]
}
```

```json
{
    "@context": "https://schema.org",
    "@type": "Article",
    "mainEntityOfPage": {
        "@type": "WebPage",
        "@id": "https://options.greeks.live/question/how-does-the-choice-of-discount-rate-impact-an-npv-analysis-for-an-rfp/"
    },
    "headline": "How Does the Choice of Discount Rate Impact an Npv Analysis for an Rfp? \u25b4 Question",
    "description": "The discount rate is the mechanism that translates corporate strategy and risk perception into the financial valuation of future cash flows. \u25b4 Question",
    "url": "https://options.greeks.live/question/how-does-the-choice-of-discount-rate-impact-an-npv-analysis-for-an-rfp/",
    "datePublished": "2025-08-08T16:54:24+00:00",
    "dateModified": "2025-10-29T12:14:15+00:00",
    "articleSection": [
        "Question"
    ],
    "author": {
        "@id": "https://greeks.live/#organization"
    },
    "publisher": {
        "@id": "https://greeks.live/#organization"
    },
    "image": {
        "@type": "ImageObject",
        "url": "https://options.greeks.live/wp-content/uploads/2025/07/principal-grade-digital-asset-derivatives-rfq-execution-engine.jpg",
        "caption": "A striking abstract depiction of a sophisticated financial mechanism, featuring intersecting arms centered on a polished hub. This visualizes a Principal's Prime RFQ for institutional digital asset derivatives, where RFQ protocols drive price discovery and high-fidelity execution. It illustrates precise market microstructure dynamics essential for managing gamma exposure across multi-leg spread options. Transparent elements signify latent liquidity aggregation and smart order routing for optimal capital efficiency."
    },
    "keywords": [
        "Capital Allocation",
        "Capital Asset Pricing Model",
        "Capital Budgeting",
        "Cash Flows",
        "Discount Rate",
        "Hurdle Rate",
        "Internal Rate of Return",
        "IRR",
        "Net Present Value",
        "NPV Analysis",
        "Opportunity Cost",
        "Project Valuation",
        "RFP Evaluation",
        "Risk Premium",
        "Risk-Adjusted Discount Rate",
        "Sensitivity Analysis",
        "Strategic Finance",
        "WACC"
    ]
}
```

```json
{
    "@context": "https://schema.org",
    "@type": "WebSite",
    "url": "https://options.greeks.live/",
    "potentialAction": {
        "@type": "SearchAction",
        "target": "https://options.greeks.live/?s=search_term_string",
        "query-input": "required name=search_term_string"
    }
}
```


---

**Original URL:** https://options.greeks.live/question/how-does-the-choice-of-discount-rate-impact-an-npv-analysis-for-an-rfp/
