Internal Rate of Return

Guest · Post by **Guest** » 26.08.2007, 18:12

As far as I know the profit seen as a % of your income

I assume: e.g. If your income is 100 and your profit 10 the IRR will be 10%.

Although it isn't correct because goods that you bought for production and that are in your warehouse are not counted, altough they still have a value.

Guest · Post by **Guest** » 26.08.2007, 18:24

Though technically there are differences, conversationally you might say IRR (Internal Rate of Return) is the same as Return on Investment and Payback Period.