IRR (Internal Rate of Return)

This video explains the concept of IRR (the internal rate of return) and illustrates how to calculate the IRR via an example.
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Пікірлер: 430

  • @nathanberry7737
    @nathanberry77378 жыл бұрын

    I have sat through Harvard MBA lectures that weren't this concise, thorough, and articulate. Thank you for an excellent presentation.

  • @alexblack8780

    @alexblack8780

    6 жыл бұрын

    bullshit lol

  • @ndumisoradebe5256

    @ndumisoradebe5256

    5 жыл бұрын

    @@alexblack8780 People who just say such videos are bullshit are people who don't study and expect to find videos that are exactly like their assignment requirements. You did not study

  • @dorlynleger

    @dorlynleger

    5 жыл бұрын

    @@ndumisoradebe5256 lol she's lazy

  • @sdlock83

    @sdlock83

    4 жыл бұрын

    Well obviously because the truth of the matter is that you're not attending IVY LEAGUE schools for their excellence in teaching. You attend for the brand name and networking.

  • @jacobc5747

    @jacobc5747

    4 жыл бұрын

    weird flex but ok

  • @christiantemurcu5587
    @christiantemurcu55874 жыл бұрын

    in 10 minutes this man happens to explain things better than my professor does in an hour and a half

  • @comfortkabanshi5048

    @comfortkabanshi5048

    11 ай бұрын

    The way university professors get discredited on KZread

  • @shitshow_1
    @shitshow_126 күн бұрын

    You'll never know how helpful your teaching service is, for the ones who cannot afford quality education. Thanks for your efforts, love from India 🇮🇳

  • @habibrahmeh
    @habibrahmeh Жыл бұрын

    Man !!! how can i thank you for this ? so many courses and videos, and u make it clear, simple and logic....

  • @Edspira

    @Edspira

    Жыл бұрын

    Glad you like them!

  • @RaferJeffersonIII
    @RaferJeffersonIII4 жыл бұрын

    I am a 38 year old who failed maths at school and now I’m training for investment exams. Your videos are helping me greatly. Mathematics really isn’t as intimidating as it seems.

  • @WISEMARTIAL

    @WISEMARTIAL

    Жыл бұрын

    Happy 40th Bday!

  • @RaferJeffersonIII

    @RaferJeffersonIII

    Жыл бұрын

    @@WISEMARTIAL thank you. I passed the exams and it got me a really good job.

  • @nikhilesh9445

    @nikhilesh9445

    Жыл бұрын

    @@RaferJeffersonIII thats awesome man, could you throw some light on what type of exams you gave? It will really help me

  • @RaferJeffersonIII

    @RaferJeffersonIII

    Жыл бұрын

    @@nikhilesh9445 CFA IMC.

  • @RaferJeffersonIII

    @RaferJeffersonIII

    Жыл бұрын

    @@nikhilesh9445 oh and CII AF4 but I already had a bunch of CII exams

  • @omarramahi383
    @omarramahi3835 жыл бұрын

    I wish you were my professor. your explanations are amazing!

  • @thewindrises
    @thewindrises4 жыл бұрын

    I like how you explain formulas conceptually like a professor (like how you explained the tax shield in the WACC video). A lot of websites only tell you what the formula is, but don't tell you why.

  • @ankitag852006
    @ankitag8520064 ай бұрын

    After so many videos and lectures in last 10 years, finally found something relevant. Thanks for the amazing yet simple explanation.

  • @5naini
    @5naini5 жыл бұрын

    Your way of explaining is soo simple, yet elaborate. Love it

  • @poonageguy
    @poonageguy4 жыл бұрын

    Your videos are a lifesaver, especially for a beginner - Keep up the good work!

  • @tatata7710
    @tatata7710 Жыл бұрын

    Waaaw, I have looking for explanations about IRR, NPV and it was always confusing. You just enlighten me. This video is 9 years old but a lot more clear than all the one I have checked. Thanks a lot. I hope that you continue to do that.

  • @VirusDeath100
    @VirusDeath1008 жыл бұрын

    Really good explanation and just 7 mins. Loads better than other videos . Thnx a lot :D

  • @vivilin4571
    @vivilin45718 жыл бұрын

    Thank you sir! You helped me save so much time with my MBA studies!

  • @Edspira

    @Edspira

    8 жыл бұрын

    +Vivi Lin No problem! I hope you're having a great experience with the MBA!

  • @inshaamjad8313
    @inshaamjad83134 ай бұрын

    I appreciate his efforts. This man explains everything in such an easy way and in 10min. Woww

  • @user-pl3qn9ck4j
    @user-pl3qn9ck4j6 жыл бұрын

    Thank you sir so much! It's my first time to leave a comment, but your lecture is so superb! I hope you're my professor. Best lecture ever! Clear! And perfect thank you so much! You saved me♥♥

  • @venhelo9890
    @venhelo98905 жыл бұрын

    This video is a must before reading any text-book this topic.

  • @fuadkazimov3539
    @fuadkazimov35396 жыл бұрын

    This tutor is amazing. I really find his videos helpful and easy to understand. THANK YOU!

  • @Edspira

    @Edspira

    6 жыл бұрын

    Fuad, Thanks so much for watching the videos!

  • @ubaidkhan183
    @ubaidkhan1833 жыл бұрын

    I am currently studying masters in Australia and I must say you are far better then my tutor. Thank you for uploading ❤

  • @tailerouge
    @tailerouge3 жыл бұрын

    I’m taking a financial statement analysis course, and before watching this video I didn’t understand the point of the IRR. I couldn’t see why you would want to set the NPV = 0. Now that I see that the two functions are different ways of coming up with a decision (one a dollar figure and the other a rate), it makes perfect sense.

  • @dennisriray3510
    @dennisriray35105 жыл бұрын

    Thanks for making my Financial Mgmt class so much easier!

  • @marklee1194
    @marklee11946 жыл бұрын

    Thank you so much for your help. I first struggled with this concept in class. You made learning economics fun and easy!

  • @Edspira

    @Edspira

    6 жыл бұрын

    Thanks Mark Lee! It always good to hear that these videos are helpful :)

  • @carolinavargashinojosa6084
    @carolinavargashinojosa60843 жыл бұрын

    This was much easier to understand than my professor's explanation. Thank you for your videos, they are lifesavers!!!

  • @Edspira

    @Edspira

    3 жыл бұрын

    You're very welcome!

  • @datcajungrl
    @datcajungrl5 ай бұрын

    Thank you so much for posting these videos! You are an incredible instructor. Now I understand my classwork. Great job!

  • @jjholmes8530
    @jjholmes85302 жыл бұрын

    I have cracked it by watching this video over and over. Thank you for such awesome content. Thank God ❤️. IRR is the actual rate of return of an investment. IRR can be found when Npv =0. This is because The cash flows which we are going to earn in future, are future cash flows which have to be converted into their present value. This is done for an 🍎 to 🍎 comparison. If Npv>0 it means capital appreciation and Npv

  • @Srilankatraderuk
    @Srilankatraderuk8 жыл бұрын

    Thank you so much for these great videos.

  • @mariiakobadze596
    @mariiakobadze5965 жыл бұрын

    Thank you for such explanation! This is amazing

  • @shinchansfunnyvines6900
    @shinchansfunnyvines69007 жыл бұрын

    You are exceptionally good. Thanks Sir.

  • @veganwilliamdotyfreshour3665
    @veganwilliamdotyfreshour3665 Жыл бұрын

    What a lovely insightful view of IRR.

  • @AnaitiArauz
    @AnaitiArauz8 жыл бұрын

    WOW you are the best!! Literally my life saver!

  • @cureluvkatz
    @cureluvkatz7 жыл бұрын

    Thank you, your videos are extremely helpful! Your voice is also very pleasant and easy to listen to. ☺😉

  • @Edspira

    @Edspira

    7 жыл бұрын

    Thank you!

  • @rosieg.2057
    @rosieg.20577 жыл бұрын

    This was so helpful, thank you!

  • @Edspira

    @Edspira

    7 жыл бұрын

    Thanks for the comment. Best of luck!

  • @bhagatsingh5019
    @bhagatsingh50198 жыл бұрын

    Thank you for your all beautifully explained videos.

  • @dion8070
    @dion80708 жыл бұрын

    what about when we have a time of about 5 years how do we solve for R knowing that you add them together increasing the power of 1+i

  • @lisama2538
    @lisama2538 Жыл бұрын

    I love how u mention what does that mean conceptually. Im here for that. thank you so much

  • @Edspira

    @Edspira

    Жыл бұрын

    I'm so glad you found that helpful!

  • @ANDRaspberryJAM
    @ANDRaspberryJAM3 жыл бұрын

    Excellent stuff - the algebra makes it so clear

  • @kimberlystevens3020
    @kimberlystevens30204 жыл бұрын

    Nice and clear, much appreciated.

  • @desmondagbey4696
    @desmondagbey46966 ай бұрын

    You are are really good. You made me understand this concept better than my lecturer. U earned my subscription. I will keep learning from you. Thanks Sir❤

  • @donl149
    @donl1498 жыл бұрын

    Excellent video-very clear. Thanks.

  • @alovea69
    @alovea699 жыл бұрын

    Bro u r so helpful! Clear and precise thanks man GOD bless you

  • @MLeoM
    @MLeoM6 жыл бұрын

    Thanks God, you don't know how much you helped me sir, I am preparing for Finance exam and Your video made it very very VERY clear to me. Thank you sir... God Bless you for your good work...

  • @Edspira

    @Edspira

    6 жыл бұрын

    Comments like these keep me motivated to keep churning out content. I hope you did well on your exam. Best of luck to you!

  • @JuanfraMinetto
    @JuanfraMinetto3 жыл бұрын

    Excellent! Super clear. Thank you!

  • @ftnnrjnnh2792
    @ftnnrjnnh27923 жыл бұрын

    finally the explanation that i need. thankyou sir!

  • @ninsidhu
    @ninsidhu Жыл бұрын

    Works just as he says once I bought the basic casio calculator!!! Thank you

  • @Earth098
    @Earth09810 жыл бұрын

    Very Clear. Helpful for the exam. Thanks

  • @Edspira

    @Edspira

    10 жыл бұрын

    No problem-- hope you did well on the exam!

  • @connorgioiafigliu
    @connorgioiafigliu3 жыл бұрын

    Thank you! Great explanation!

  • @sirjownzofficial8596
    @sirjownzofficial85963 жыл бұрын

    This guy is a genius, thumps up

  • @Marknorthway
    @Marknorthway7 жыл бұрын

    Ferris Bueller's teacher came to mind! Good stuff, though, seriously. Thanks!

  • @bob992c
    @bob992c7 жыл бұрын

    Thank you so much! really helpful!

  • @comfortpropertiesassociate9494
    @comfortpropertiesassociate94943 жыл бұрын

    I'm just getting started in investing in multifamily. This video is GREAT!!!

  • @elisabethtricot3010
    @elisabethtricot30102 жыл бұрын

    I was getting really frustrated and then I found this video and now I feel intelligent, thank you!!

  • @KingJoziPranks
    @KingJoziPranks4 жыл бұрын

    thank you so very much, watching from South Africa

  • @omoswagger4life
    @omoswagger4life5 жыл бұрын

    Omg THANK YOU I actually understood this 💯💯💜💜💜😪

  • @yolandamkize9076
    @yolandamkize90762 жыл бұрын

    Greatly explained, thank youuu.

  • @francoisgendron3464
    @francoisgendron34644 жыл бұрын

    The algebra to obtain R=.30 : Does that mean that : 1) 130/(1+R) to the power of 1 since there is just one period; 2) 100 replace R; 3) so 130/100 - 1 ... 1.30-1=.30.

  • @ryckoandhika1781

    @ryckoandhika1781

    4 жыл бұрын

    Thank you so much. My brain was collapsed to figure out this algebra. Regret to not paid attention at school. Hahah

  • @Apounarous77
    @Apounarous778 жыл бұрын

    Awesome and clear thanks !

  • @Edspira

    @Edspira

    8 жыл бұрын

    My pleasure! Best wishes

  • @rebeccastrait4309

    @rebeccastrait4309

    7 жыл бұрын

    Education Unlocked

  • @mphoqwabe8602
    @mphoqwabe8602 Жыл бұрын

    Studying through Unisa and man one is alone. I will be going through all your lessons preparing assignment and exams thank you😊

  • @alonatumpalan9274
    @alonatumpalan92747 жыл бұрын

    Anyone knows what tool was used here to record this video with that feature to somehow write on the black board?

  • @vinr1187
    @vinr11875 жыл бұрын

    Amazing lecture.!

  • @alschaeffer176
    @alschaeffer1764 жыл бұрын

    Finally, i understand, thank you!

  • @missrosie2333
    @missrosie23334 жыл бұрын

    a really perfect explaination. thank you

  • @punkBangla101
    @punkBangla1019 жыл бұрын

    thanks man!

  • @universitylife3021
    @universitylife30214 жыл бұрын

    You’re so helpful thank you

  • @bulgaachuluunbat3400
    @bulgaachuluunbat34008 жыл бұрын

    Incredibly useful! Thank you so much!

  • @Shefali_1993

    @Shefali_1993

    4 жыл бұрын

    R

  • @AugustNocturne
    @AugustNocturne2 жыл бұрын

    Very good video! Thank you!

  • @mohammadabdulwadud4363
    @mohammadabdulwadud43638 жыл бұрын

    This is really helpful video.

  • @cloudengineerande-business8598
    @cloudengineerande-business85984 жыл бұрын

    Love your explanation is very clear

  • @timwassenaar2113
    @timwassenaar21136 жыл бұрын

    This is really really good! Thank you very much helping me out!

  • @Edspira

    @Edspira

    6 жыл бұрын

    You're welcome. Good luck to you!

  • @ThisIsntKev
    @ThisIsntKev6 жыл бұрын

    It's finals week and Edspira is my lord and savior until it's over

  • @clarathomas6788
    @clarathomas67888 жыл бұрын

    thank you !! you saved my life! :)

  • @Edspira

    @Edspira

    8 жыл бұрын

    I'm happy to have helped! Have a great summer!!

  • @kaleemullah247
    @kaleemullah2476 жыл бұрын

    thanks, you're a great teacher,

  • @muhammadbaqrain6609
    @muhammadbaqrain66093 жыл бұрын

    Brillant! I wish I could meet you one day. Saving us since years ♥️

  • @ttijp153
    @ttijp1533 жыл бұрын

    thank you so much professor!

  • @VictoriaMusonda-oy7ok
    @VictoriaMusonda-oy7ok7 ай бұрын

    Thanks u have helped me a lot with proper explanation

  • @MrAlbashiri
    @MrAlbashiri7 жыл бұрын

    Thank you for the video

  • @sarahxiang5621
    @sarahxiang56217 жыл бұрын

    Got it, thanks so much!

  • @rockeylee2102
    @rockeylee21026 жыл бұрын

    great,thanx a lot ,sooo useful, I have learned it before and totally forgot about it, and the videos help me remand of all the knowledges.

  • @Edspira

    @Edspira

    6 жыл бұрын

    Awesome. Thanks for watching!

  • @sarahmuslihah5921
    @sarahmuslihah59215 жыл бұрын

    We can also use table of pvif or pvifa to calculate the npv right? But what if the answer is different ? (Compared to manual in this video)

  • @TheMightysimi
    @TheMightysimi8 жыл бұрын

    thank you so much it was so clear, but how can i know what discount rate to choose, like here you applied 30% R , what was the reason of applying 30%

  • @quantitativeacademy7562
    @quantitativeacademy75624 жыл бұрын

    Thanks for the tutorial.

  • @thetingle
    @thetingle8 жыл бұрын

    Nice Job!

  • @Edspira

    @Edspira

    8 жыл бұрын

    Thank you sir!

  • @Chamchard_George
    @Chamchard_George2 ай бұрын

    If project I of like 5 years you use the cumulative cash flow or the cash flow of the fifth year?

  • @abdofouda2871
    @abdofouda28718 жыл бұрын

    what about having project has more than one return how can I calculate internal rate of return to this project?

  • @johncliffordaddae9007

    @johncliffordaddae9007

    2 жыл бұрын

    You'll have to discounts all the returns, find their sum and put it in the NPV formula.

  • @salemalbaqami531
    @salemalbaqami5317 жыл бұрын

    i got it , thank u so much

  • @Edspira

    @Edspira

    7 жыл бұрын

    No problem.

  • @adorablesharon450
    @adorablesharon4504 жыл бұрын

    Thank u so much for this video

  • @Ghosts465
    @Ghosts4653 жыл бұрын

    you earned a sub you legend

  • @victorregede8931
    @victorregede8931 Жыл бұрын

    Great explanation 💯💯

  • @WhatsNardin
    @WhatsNardin5 жыл бұрын

    great video, my undergrad courses couldnt convey this as well as you did

  • @lennon4044
    @lennon40446 жыл бұрын

    I use Delta Business Financial calculator , android but I didn't know what things are meaning . now I got it thank you for your tutorial

  • @joshuafancher3111
    @joshuafancher31116 жыл бұрын

    Thank you for the tutorial!

  • @Edspira

    @Edspira

    6 жыл бұрын

    No problem!

  • @samsonkumwenda4378
    @samsonkumwenda43788 ай бұрын

    You are a very good teacher 👏 👏 👏 👏 👏

  • @ziqunliu2919
    @ziqunliu29196 жыл бұрын

    Thanks a lot, sir! You made my college life easier.

  • @Edspira

    @Edspira

    6 жыл бұрын

    You made me smile with this comment :) Happy studies!

  • @brandonzender5839
    @brandonzender58393 жыл бұрын

    Thank you! So much!!

  • @reservoirdograyh4n
    @reservoirdograyh4n3 жыл бұрын

    Thank you so much man

  • @jackleshem4010
    @jackleshem401011 ай бұрын

    Thanks prof!

  • @tmmutairi
    @tmmutairi7 жыл бұрын

    excellent explanation! thanks alot god bless

  • @Edspira

    @Edspira

    7 жыл бұрын

    Thank you! Good tidings to you as well my friend :)

  • @schowdhury9963
    @schowdhury99633 жыл бұрын

    Thank you very much

  • @MichaelLee-xy2lb
    @MichaelLee-xy2lb5 жыл бұрын

    Thank you so much.😃

  • @manikantak8798
    @manikantak879810 жыл бұрын

    superb,... conceptual... 8 percent is bep in this ex ... irr more than bep accept.. thats the conceptual point u made amazingly explained in a conceptual manner...!!great boss !!

  • @Edspira

    @Edspira

    10 жыл бұрын

    Thanks for the kind words!

  • @Standbyualways
    @Standbyualways Жыл бұрын

    Thank you so much for sharing your wealth of knowledge.

  • @Edspira

    @Edspira

    Жыл бұрын

    Sure, I'm happy to help!

  • @josephinepfeiler9651
    @josephinepfeiler96513 ай бұрын

    how do you get the 0.30%?