DISCOUNT WINDOW Definition

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DISCOUNT WINDOW is the facility at a Federal Reserve Bank at which members are allowed to borrow at the discount rate.

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ADMINISTRATIVE/ADMINISTRATION COST see INDIRECT COST.

COVERAGE OF FIXED CHARGES is computed by taking your net income, before taxes and fixed charges (debt repayment, long-term leases, preferred stock dividends etc.), and dividing by the amount of fixed charges. The resulting number shows your ability to meet your fixed obligations of all types i.e. the higher the number, the better.

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