Internal Rate Of Return Formula

Question

Which of the following represents the correct internal rate of return formula for an investment with a two-year payout?

Accepted Answer

0 = I + (C1 / (1+IRR)) + ((C2 / (1+IRR)^2)

Answer

I = 0 + (C1 / (1+IRR)) + ((C2 / (1+IRR)^2)

Answer

0 = I + (C1 / (1+IRR)^2) + ((C2 / (1+IRR)^3)

Answer

IRR = I + (C1 / (1+C)) + ((C2 / (1+C)^2)

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