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Explain pls in clear steps IRR (Internal Rate of Return) (cont'd) Caution: assumptions behind IRR method (cont'd) 3 o 1 2 -200 50 100 15o

Explain pls in clear steps

IRR (Internal Rate of Return) (cont'd) Caution: assumptions behind IRR method (cont'd) 3 o 1 2 -200 50 100 15o -The internal rate of return for this first cash flow is 19.44% 0 2 3 -200 200 800 -800 -The second cash flow has two IRRs, 0% and 100%

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Explain pls in clear steps IRR (Internal Rate of Return) (cont'd) Caution: assumptions behind IRR method (cont'd) 3 o 1 2 -200 50 100 15o

Explain pls in clear steps IRR (Internal Rate of Return) (cont'd) Caution: assumptions behind IRR method (cont'd) 3 o 1 2 -200 50 100 15o -The internal rate of return for this first cash flow is 19.44% 0 2 3 -200 200 800 -800 -The second cash flow has two IRRs, 0% and 100%

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Explain pls in clear steps

IRR (Internal Rate of Return) (cont'd) Caution: assumptions behind IRR method (cont'd) 3 o 1 2 -200 50 100 15o -The internal rate of return for this first cash flow is 19.44% 0 2 3 -200 200 800 -800 -The second cash flow has two IRRs, 0% and 100%