IRR Calculator
Internal Rate of Return
Estimate IRR for an upfront investment followed by equal annual cash flows.
Method: The calculator searches for the discount rate that makes net present value close to zero.
Understanding Internal Rate of Return
1. What This Calculator Measures
IRR is the discount rate where an investment's net present value becomes zero.
2. How the Calculation Works
The calculator searches for the annual rate that balances the initial investment and future cash flows.
3. Formula or Rule Used
IRR is the rate where NPV = 0.
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