4 ms·
Internal rate of return. Very short version is it is the expected growth rate of an investment. Longer version is it is the rate of growth of capital assuming t
by thereisnospork 4y ago
Internal rate of return. Very short version is it is the expected growth rate of an investment. Longer version is it is the rate of growth of capital assuming the net present value of the investment is $0.
That said I've never quite understood the specific pros/cons behind favoring IRR over other metrics.