internal rate of return

简明释义

内部收益率

英英释义

例句

1.To assess the potential of a new venture, we need to calculate its internal rate of return 内部收益率.

为了评估新风险的潜力，我们需要计算其内部收益率 internal rate of return。

2.Investors often look for opportunities with an internal rate of return 内部收益率 greater than the market average.

投资者通常寻找内部收益率 internal rate of return 高于市场平均水平的机会。

3.The financial analyst recommended the investment based on its favorable internal rate of return 内部收益率.

财务分析师根据其有利的内部收益率 internal rate of return 推荐了该投资。

4.The project's internal rate of return 内部收益率 was calculated to be 15%, making it a viable investment.

该项目的内部收益率 internal rate of return 被计算为15%，使其成为一个可行的投资。

5.A high internal rate of return 内部收益率 indicates that the project is expected to generate substantial profits.

高内部收益率 internal rate of return 表明该项目预计将产生可观的利润。

作文

The concept of internal rate of return is pivotal in the realm of finance and investment analysis. Understanding this term can significantly impact decision-making for both individual investors and corporations alike. The internal rate of return (IRR) is defined as the discount rate that makes the net present value (NPV) of all cash flows from a particular project equal to zero. In simpler terms, it is the rate at which an investment breaks even in terms of its present value. This metric allows investors to evaluate the profitability of potential investments and compare them against one another.When considering an investment, investors often look for opportunities that yield a higher internal rate of return. A higher IRR indicates a more profitable investment. For instance, if an investor is presented with two projects, one with an IRR of 10% and another with an IRR of 15%, the latter would generally be considered the better choice, assuming all other factors are equal. However, it is crucial to remember that the IRR does not account for the scale of the investment or the time frame involved, which can lead to misleading conclusions if used in isolation.One of the significant advantages of using internal rate of return is that it provides a single number that summarizes the potential return of an investment. This simplification can be very appealing, especially in situations where multiple projects are being evaluated. Investors can quickly ascertain which projects are likely to yield the highest returns and prioritize accordingly. Nonetheless, while IRR can be a useful tool, it should not be the sole determinant in making investment decisions. Other factors, such as risk, market conditions, and the overall economic environment, must also be taken into account.Moreover, calculating the internal rate of return can be complex, especially for projects with non-conventional cash flows, where cash inflows and outflows occur at irregular intervals. In such cases, there may be multiple IRRs, which complicates the decision-making process. Therefore, investors often use software tools or financial calculators to assist in determining the IRR accurately.In practice, the internal rate of return is widely used in capital budgeting to assess new projects or investments. Companies employ this metric to determine whether a project meets their required rate of return and to decide on resource allocation. If the IRR exceeds the company's cost of capital, the project is typically deemed acceptable. Conversely, if it falls below this threshold, the company may choose to reject the project.In conclusion, the internal rate of return is an essential financial metric that aids investors in making informed decisions regarding potential investments. By providing a clear indication of the expected profitability of a project, IRR serves as a valuable tool in evaluating various investment opportunities. However, it is crucial for investors to consider other factors and not rely solely on IRR when making investment decisions. In a world where financial resources are limited and competition is fierce, understanding and effectively utilizing the internal rate of return can be the key to achieving successful investment outcomes.

内部收益率（IRR）是财务和投资分析领域的重要概念。理解这个术语可以显著影响个人投资者和公司在决策时的表现。内部收益率（IRR）被定义为使特定项目所有现金流的净现值（NPV）等于零的折现率。简单来说，它是一个投资在现值上持平的利率。这个指标使投资者能够评估潜在投资的盈利能力，并将其相互比较。在考虑投资时，投资者通常寻找那些产生更高内部收益率的机会。更高的IRR表明更有利可图的投资。例如，如果一位投资者面临两个项目，一个的IRR为10%，另一个的IRR为15%，那么后者通常会被认为是更好的选择，假设其他因素相等。然而，重要的是要记住，IRR并不考虑投资的规模或时间框架，这可能导致在孤立使用时得出误导性结论。使用内部收益率的一个显著优势是它提供了一个总结投资潜在回报的单一数字。这种简化在评估多个项目时尤其吸引人。投资者可以迅速确定哪些项目可能产生最高的回报，并相应地优先考虑。然而，尽管IRR可以是一个有用的工具，但它不应成为投资决策的唯一决定因素。其他因素，例如风险、市场条件和整体经济环境，也必须纳入考虑。此外，计算内部收益率可能很复杂，特别是对于现金流不规范的项目，其中现金流入和流出发生在不规则的时间间隔。在这种情况下，可能会出现多个IRR，从而使决策过程变得复杂。因此，投资者通常使用软件工具或财务计算器来帮助准确确定IRR。在实践中，内部收益率广泛用于资本预算，以评估新项目或投资。公司利用这一指标来判断项目是否符合其要求的回报率，并决定资源分配。如果IRR超过公司的资本成本，通常该项目被视为可接受。相反，如果低于这一阈值，公司可能会选择拒绝该项目。总之，内部收益率是一个重要的财务指标，可以帮助投资者在潜在投资中做出明智的决策。通过清晰指示项目的预期盈利能力，IRR作为评估各种投资机会的有价值工具。然而，投资者必须考虑其他因素，而不是仅仅依赖IRR来做出投资决策。在资源有限、竞争激烈的世界中，理解和有效利用内部收益率可能是实现成功投资结果的关键。