View Single Post
  #1   Report Post  
Posted to microsoft.public.excel.worksheet.functions
LaWhore Mama LaWhore Mama is offline
external usenet poster
 
Posts: 2
Default Excel gives me false IRR values|How do I find the real IRR on this investment

I have an investment with $100M outflow then an inflow of $230M finally an outflow of $132M

I used Excel IRR "fuction" with default guess of 10% and a guess rate of 15% to get two IRR values shown below

=IRR({-100,230,-132})

10%

=IRR({-100,230,-132},0.15)

20%

But when I showed the IRR values to my CFO, he showed a grin on his face and yelled what non sense you throwing at me. How in the world we have an IRR of 10% and 20% when lost $2,000,000

So how do I find the real IRR that reflects the true return on my company's investment.