In my opinion, the most common use of XIRR is to calculate your rate of return
on investment.

Suppose you invested the following amounts on the specified dates:

01/15/05 $10,000
03/25/05 $1,000
11/22/05 $3,000
12/24/05 $2,000- [withdrawn]
06/15/06 $5,000

On December 31, 2006, your investment was worth $25,000. What's your rate of
return?

Add a row at the end for 12/31/06 and -25,000, and feed the ranges to XIRR, and
it will calculate the rate for you.

--
Regards,
Fred

PS. If you want to know *how* XIRR does it, just let me know.


"Bob Umlas, Excel MVP" wrote in
message ...
Anyone have GOOD examples with explanation in text to demonstrate when/where
you'd use this function & why?
Thanks
Bob Umlas
Excel MVP but not a financial function whiz!