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The Excel formula assumes there are equal time periods of a year between the cash flows of a project. The process of using these functions in Excel is relatively intuitive. For IRR, you simply select the range of cash flows and apply the IRR function. For XIRR, you select the range of cash flows and … Leer más

When assessing the differences between IRR and XIRR, understand that while both calculate the internal rate of return, they are applied to different cash flow scenarios. IRR is used for projects with regular, equal period cash flows, whereas XIRR is used for cash flows that don’t occur at a consistent interval. On the other hand, … Leer más