MIRR Function
Returns a Double specifying the modified internal rate of return for a series of periodic cash flows (payments and receipts).
Syntax
MIRR(values(), finance_rate, reinvest_rate)
The MIRR function has these named arguments:
| Part | Description |
|---|---|
| values() | Required. Array of Double specifying cash flow values. The array must contain at least one negative value (a payment) and one positive value (a receipt). |
| finance_rate | Required. Double specifying interest rate paid as the cost of financing. |
| reinvest_rate | Required. Double specifying interest rate received on gains from cash reinvestment. |
Remarks
The modified internal rate of return is the internal rate of return when payments and receipts are financed at different rates. The MIRR function takes into account both the cost of the investment (finance_rate) and the interest rate received on reinvestment of cash (reinvest_rate).
The finance_rate and reinvest_rate arguments are percentages expressed as decimal values. For example, 12 percent is expressed as 0.12.
The MIRR function uses the order of values within the array to interpret the order of payments and receipts. Be sure to enter your payment and receipt values in the correct sequence.