Internal Return Rate for Investment
Find return rate for conventional investment cash flows.
Your numbers
Internal return rate for each period
Estimate for learning with your assumptions; no live rates, tax rules or investment recommendations. Returns fit dey negative and no get guarantee.
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Formula
Find supported r wey satisfy Σ Cₜ/(1+r)^t = 0. Cₜ na cash flow for period t, with equal time intervals starting from time zero. r na return per cash-flow period; one cash-flow series fit get no root or many roots.
Find return rate for conventional investment cash flows.
Example wey show the calculation
- Cash flows for equal period ends, starting from time 0
- -1000, 400, 400, 400
- Internal return rate for each period
- 9.70102574033 %
Where e fit work and limits
Estimate for learning with your assumptions; no live rates, tax rules or investment recommendations. Returns fit dey negative and no get guarantee.
We check inputs for missing values and allowed ranges. Result wey pass the finite numeric range no go show. Rounding affect wetin display, while calculation use the model numeric precision.
Check your units and assumptions before you rely on result. Changing label no convert currency or physical unit.
Version of di formula: 041c803750f7 · Example don get check: