The internal rate of return (IRR)—or the discounted cash flow rate of return—is the discount rate that makes the net present value equal to zero. It is used to estimate the profitability of a potential investment.
This open-access Excel template is a useful tool for bankers, investment professionals, and corporate finance practitioners.
Internal rate of return is among the topics included in the Quantitative Methods module of the CFA Level 1 Curriculum. Gain valuable insights into the subject with our Math for Finance course.