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 Glossary   >   E   >   "End-of-year convention" Definition   

        End-of-year convention

Treating cash flows as if they occur at the end of a year as opposed to the date convention. Under the end-of-year convention, the present is time 0, the end of year 1 occurs one year hence, etc.

End-of-year convention
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End-of-year convention - Treating cash flows as if they occur at the end of a year as opposed to the date convention. Under the end-of-year convention, the present is time 0, the end of year 1 occurs one year hence, etc.


End-of-year convention : treating cash flows as if they occur at the end of a year as opposed to the date convention. under the end-of-year convention, the present is time 0, the end of year 1 occurs one year hence, etc.