Internal Rate of Return (IRR) Calculator

Enter a Cash Flow stream seperated by commas. Press the "Calculate" button to calculate and graph the Net Present Value (NPV) Vs the Discount Rate showing the roots (Internal Rate of Return) value(s). Note that you may click on one of the worked examples below to see this all in action or you can merely input your own data. Pay close attention to the graph below and the non-linear nature where multiple roots are involved. YouTube IRR CalculatorYouTube IRR Calculator Demo.

Example 1 | Example 2 | Example 3
Discount Rate
Cash Flow: Calculate IRRCalculate

In order to find the Internal Rate of Return (IRR) we must attempt to find a Discount Rate that results in a Net Present Value (NPV) of 0. These equations are generally non-linear (hence why a graph is useful) and therefore more than one real root (IRR) is a possibility. (Note that for this very reason, the NPV is far superior to the IRR as an investment appraisal tool).

Answer:


Toggle NPV Vs Discount Rate Graph Data

Graph Data - Net Present Value Vs Discount Rate:
Discount RatePresent Value




Internal Rate of Return (IRR) Comments