IRR
Breakeven discount measure
IRR stands for internal rate of return, a financial metric used to evaluate investments.
It's the discount rate at which an investment's net present value equals zero—essentially, the annualized return an investment is expected to generate.
Investors compare IRR to a hurdle rate to decide if a project is worth pursuing: The deal looked attractive with an IRR of 18%.
Produce or relinquish
- harvestGathering mature crops
- crop productionRaising plants for harvest
- cultivationFostering growth through care
- sowingPlanting for cultivation
tillage · agricultural output · produce · acreage · planting · growing season
Startup growth financing
- private equityCapital for unlisted companies
- asset allocationDistributing investments strategically
- equity investmentAcquiring ownership in business
- angel investingWealthy individuals backing startups
seed funding · crowdfunding · leveraged buyout · due diligence · benchmark
Time-adjusted revenue valuation
- net present valueDiscounted sum of cash flows
- hurdle rateMinimum required return percentage
- cost of capitalRequired return on investment
- payback periodDuration until costs recovered
financial modeling · discount rate · break-even · NPV · ROI
yield
Produce or relinquish
- harvestGathering mature crops
- crop productionRaising plants for harvest
- cultivationFostering growth through care
sowing · tillage · agricultural output · produce · acreage · planting · growing season
venture capital
Startup growth financing
- private equityCapital for unlisted companies
- asset allocationDistributing investments strategically
- equity investmentAcquiring ownership in business
angel investing · seed funding · crowdfunding · leveraged buyout · due diligence · benchmark
discounted cash flow
Time-adjusted revenue valuation
- net present valueDiscounted sum of cash flows
- hurdle rateMinimum required return percentage
- cost of capitalRequired return on investment
payback period · financial modeling · discount rate · break-even · NPV · ROI
- corporate financecost of capital, investment, capital markets, NPV, debt financing
- financial metricsROI, ROE, EPS, P/E ratio, PE ratio
- Business AcronymsSKU, UPC, CEO, COO, POS
- investment returnsrate of return, dividends, ROI, capital gains, returns
- Military Reservesreservist, reservists, reserve unit, reserve units, Army Reserve
- private equityleveraged buyout, leveraged buyouts, LBO, buyouts, general partner
IRRNPV
Discounted future cashflows sum
net present value · payback period · gross profit · ROI · profit margin
IRRcapital loss
Selling asset below purchase price
write-off · loss rate · investment loss · total loss · impairment