It is important to understand that discount rate has a unique meaning in the money market. In general, discount rate means interest rate used to calculate a present value such as market discount rate. In the money market however, discount rate is a specific type of quoted rate (Adams & Smith, 2019).
Based on the given information, the method computingQuotedDiscRateMMIr() is developed to compute Discount Rate of Money Market Instrument for the values passed to its four arguments. Here, pvMmi is present value of the Money Market Instrument, fvMmi is future value of the Money Market Instrument (that is sale price and not the redemption amount), daysToMaturity is number of days till the maturity, and daysInYear is taken to be 360. For example, an output value of 0.0225 represents a quoted discount rate of 2.25 percent for an assumed 360-day year.