The Review for the Development of IRR’s Implication

DOI

10.2991/assehr.k.211209.286How to use a DOI?

Keywords

IRR; MIRR; XIRR; limitations; difference

Abstract

In the past 70 years, IRR has been plucked from obscurity to turn into the optimum choice in evaluating the value of an investment for corporations. Although we cannot deny its popularity, it has many problems that cannot be ignored. Among them, the serious one is its reinvestment assumption. MIRR makes up for its deficiency in reinvestment, while XIRR covers its timing shortage. Getting knowledge of IRR, XIRR and MIRR can help us have a deeper understanding of the project’s profitability. As investors, we can ask the corporation to provide MIRR rather than IRR to show us the true ability of the financial management. After learning about XIRR, we can get the rate of return on any day. This review would benefit the existing researchers to find a motivating field for IRR method development.

Copyright

© 2021 The Authors. Published by Atlantis Press International B.V.

Open Access

This is an open access article under the CC BY-NC license.

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TY  - CONF
AU  - Linxue Zhang
PY  - 2021
DA  - 2021/12/15
TI  - The Review for the Development of IRR’s Implication
BT  - Proceedings of the 2021 3rd International Conference on Economic Management and Cultural Industry (ICEMCI 2021)
PB  - Atlantis Press
SP  - 1770
EP  - 1774
SN  - 2352-5428
UR  - https://doi.org/10.2991/assehr.k.211209.286
DO  - 10.2991/assehr.k.211209.286
ID  - Zhang2021
ER  -