If you have an unstable investment and after 5 years you have 100 dollars less than you started with, is your IRR positive or ne

Question

Ira Lisetskai [31]

2 years ago

14

If you have an unstable investment and after 5 years you have 100 dollars less than you started with, is your IRR positive or ne

gative? Explain, using complete, grammatically-correct sentences.

Computers and Technology

1 answer:

Minchanka [31] · Answer 1 · 2023-01-26T13:24:25+03:00

Answer:

Anyone who understands basic time-value-of-money concepts can easily grasp the mathematical definition of internal rate of return. Pre-programmed calculators and spreadsheets make it easy to find IRR for a set of cash flow figures. Explaining the IRR message, however, is a challenge for nearly everyone.