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Sagot :
The internal rate of return (IRR) must be compared to the required return rate in order to determine the acceptability of a project.
What is the meaning of the Internal Rate of return?
The internal rate of return (IRR) is a metric utilized in economic evaluation to estimate the profitability of ability investments.
IRR is a reduction price that makes the net present value (NPV) of all cash flows identical to 0 in a reduced cash flow evaluation. IRR calculations depend on the equal components as NPV does.
Thus, The internal rate of return (IRR) must be compared to the required return rate in order to determine the acceptability of a project.
learn more about internal rate of return:
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