Suppose you have the opportunity to invest in a project that will require a $100 investment today and pay out a single cash flow of $250 in year ...

Calculating the internal rate of return, or IRR, of an investment is a powerful tool for businesses. When a manager is faced with a capital intensive decision, IRR can quickly compare the financial ...

Internal rate of return (IRR) and yield to maturity are calculations used by companies to assess investments, but they refer to different things. Here's what each term means, and an example of when it ...

Calculating the internal rate of return, or IRR, of an investment is a powerful tool for businesses. When a manager is faced with a capital intensive decision, IRR can quickly compare the financial ...

Calculating the IRR for a project with an initial outlay and single cash flow is very easy to do. It's also very practical for measuring the returns on investments in collectibles, commodities, ...

Using a calculator, we see that the IRR of this investment would by approximately 15.1%, which is greater than the 10% required rate of return. Therefore, building the factory would be a good idea.