Printer Friendly
The Free Dictionary
905,856,607 visitors served.
?
Dictionary/
thesaurus
Medical
dictionary
Legal
dictionary
Financial
dictionary
Acronyms
 
Idioms
Encyclopedia
Wikipedia
encyclopedia
?

Internal rate of return

   Also found in: Dictionary/thesaurus, Medical, Acronyms, Wikipedia 0.03 sec.
Internal rate of return (IRR)
Dollar-weighted rate of return. Discount rate at which net present value (NPV) investment is zero. The rate at which a bond's future cash flows, discounted back to today, equal its price.

?Page tools
Printer friendly
Cite / link
Email
Feedback
Add definition
? Mentioned in ? References in periodicals archive
 
Sunset Tower produced a 42 percent internal rate of return for our investors.
The provisions that require certain nonregistered investment partnerships to compute and disclose internal rate of return, however, would be effective for annual financial statements issued for fiscal years beginning after December 15, 2003, with early application encouraged.
Material participation, without bonus depreciation Year 1 2 3 Rent income $ 4,162,610 $ 2,462,610 $ 2,462,610 Rent expense $ 3,818,681 $ 5,358,761 $ 3,864,050 Net income (loss) $ 343,929 $(2,896,151) $(1,401,439) Tax savings (expense) $ (132,757) $ 1,117,914 $ 540,956 Net cashflow, if leased $(1,608,421) $ (357,750) $ (934,709) Annual present values $(1,608,421) $ (331,250) $ (801,362) NPV cashflows, if purchased $ 2,923,933 Internal rate of return 32.
 
Financial browser? ? Full browser
 
 
Financial Dictionary
?

Disclaimer | Privacy policy | Feedback | Copyright © 2008 Farlex, Inc.
All content on this website, including dictionary, thesaurus, literature, geography, and other reference data is for informational purposes only. This information should not be considered complete, up to date, and is not intended to be used in place of a visit, consultation, or advice of a legal, medical, or any other professional. Terms of Use.