P11-15, NPV, IRR, and Modified Internal Rate of Return
In problem 11-15, I show you how to set up a table so it makes it easier to calculate the intenral rate of return, the net present value and the modified internal rate of return (MIRR). I also explain the investment criteria and the reason for using MIRR. Additionally, I share a survey of CFO's (from the textbook) about the types of tools they use for capital budgeting decisions.
