LessonCapitalbudgeting英文管理会计课件ManagementAccounting.pptVIP

* Internal Rate of Return A project is accepted only if the IRR equals or exceeds the required rate of return (RRR). Decision Criteria: Topic 4: Internal Rate of Return * Capital Budgeting and Taxes: IRR Review: What is IRR? Interest rate that makes the net present value of the investment equals to zero May have to use trial and error method, and to interpolate to get the IRR Topic 4: Internal Rate of Return * IRR NPV Assumptions In both methods, we assume a world of certainty. We act as though the predicted cash flows are certain to occur at the times specified. Second we assume perfect ma