The internal rate of return (IRR) or economic rate of return (ERR) is a rate of return used in capital budgeting to measure and compare the profitability of investments. It is also called the discounted cash flow rate of return (DCFROR) or the rate of return (ROR). In the context of savings and loans the IRR is also called the effective interest rate. The term internal refers to the fact that its calculation does not incorporate environmental factors (e.g., the interest rate or inflation).
Read more about Internal Rate Of Return: Definition, Uses, Calculation, Problems With Using Internal Rate of Return, Mathematics
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—Augustus Y. Napier (20th century)
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And all the people began to laugh;
And then the Queen began to speak,
‘You’re welcome home, Sir Francis Drake.’”
—Unknown. Upon Sir Francis Drake’s Return from His Voyage about the World, and the Queen’s Meeting Him (l. 5–8)