advanced Calculator
IRR Calculator
Calculate Internal Rate of Return for investment analysis. IRR is the discount rate that makes NPV equal to zero.
₹10,00,000
₹
₹1,000₹1,00,00,00,000
₹3,00,000
₹
₹0₹1,00,00,00,000
years
130
₹2,00,000
₹
₹0₹1,00,00,00,000
Results
IRR
0.00%
Total Cash Flow
₹0
Profit Multiple
0
How to Use IRR Calculator
- 1
Enter initial investment
- 2
Input expected annual cash flow
- 3
Specify investment period
- 4
Add terminal/exit value
IRR Calculator Formula
IRR is the rate where: Initial Investment = Σ(Cash Flow / (1 + IRR)^t) + Terminal Value / (1 + IRR)^nExample Calculation
Input Values
Initial Investment
₹10,00,000
Annual Cash Flow
₹3,00,000
Investment Period
5 years
Terminal/Exit Value
₹2,00,000
Results
IRR
19.86%
Total Cash Flow
₹17,00,000
Profit Multiple
1.7
Frequently Asked Questions
What is IRR?
Internal Rate of Return is the discount rate that makes the net present value of all cash flows equal to zero.
What is a good IRR?
IRR should exceed cost of capital. For equity investments, 15-25% is typically expected.
IRR vs ROI - which to use?
IRR accounts for timing of cash flows, making it better for comparing investments with different cash flow patterns.