Modified internal rate of return (MIRR) is used to assess the cost and profitability of a future project for a company. Unlike the standard internal rate of return (IRR), MIRR assumes that positive ...
MIRR is just like a net present value calculation. You need to choose discount rates, which is effectively the same as choosing financing and reinvestment rates. IRR is a discount rate used to make ...
MIRR adjusts for differences in the perceived reinvestment rates of positive cashflows (the money a company receives) and cash outflows (the money a company spends) derived from the net present value ...