Discount Rate, Risk & Economic Damages: Practical Considerations
September 2009
Brian P. Brinig, JD, CPA/ABV, ASA
Jeff H. Kinrich, MBA, MS, CPA/ABV, CFF
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Summary
When calculating damages awards in litigation, it is undisputed that the plaintiff’s projected economic losses must be discounted to their present value to avoid over-compensating for the harm caused by a defendant’s wrongful act.