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Internal Rate Return
A financial metric used to estimate the profitability of potential investments, calculated as the discount rate that makes the net present value (NPV) of all cash flows from the investment equal to zero.
Cash Flows
The collective sum of funds moving in and out of a company, impacting its liquidity and general financial stability.
Internal Rate Return
A financial metric used to evaluate the profitability of investments, representing the discount rate that makes the net present value of all future cash flows equal to zero in a different phrasing.
Cash Flows
The collective amount of cash inflow and outflow within a company, significantly determining its liquid resources.
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