Internal Rate of return

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Business Finance

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Out of the following: net present value, payback method, internal rate of return, and average accounting rate of return, why is the internal rate of return the best method? APA format. scholarly/academic sources only.

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Running head: Internal rate of return

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Internal rate of return:
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Internal rate of return

2

IRR is one of the most essential methods for evaluating potential capital investments. It
measures the ROR (rate of return) of the projected cash flows to be realized from a given capital
investment thereby aiding in decision mak...


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