Yes, we're saying it won't work for a perpetuity. There has to be a finite
number of cash flows for IRR to calculate the return.

If your cash flow is level forever, the IRR is simply:

=CashFlow/InitialInvestment

--
Regards,
Fred


"JEFF" wrote in message
...
Are you saying it won't work for a perpetuity? If so, how I do I calculate
the IRR for a very long-term investment without creating the individual
cash-flows?

Thanks.

"vezerid" wrote:

The MIRR will not make any projections. Given a finite set of cash
flows it will tell you what the IRR is for the specific set of cash
flows.

Does this help?
Kostis Vezerides


JEFF wrote:
Hello,

I'd like to calculatet the MIRR of an investment, but am a bit confused:

I have the intial outlay in year 0, and the subsequent cashflows for the
next 10 years.... What about the cashflows for the years beyond the 10th?


Thanks