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IRR Decision Rule and Calculation Guide by Deep Debnath is a document available to read on EtoBox.

What is IRR Decision Rule and Calculation Guide about?

Internal rate of return (IRR) is the discount rate that makes the net present value of an investment equal to zero. It is used to evaluate projects and compare mutually exclusive projects, with preference given to the project with the highest IRR. IRR is calculated by guessing a discount rate and adjusting it until the net present value is as close to zero as possible, at which point the discount rate equals the IRR. An example calculates the IRR of an investment by guessing discount rates and checking the

Author

Deep Debnath

Language

EN