IDEAS home Printed from https://ideas.repec.org/h/nos/bedcdu/nc04.html
   My bibliography  Save this book chapter

Chapter 4. Operating IRR: In Search of a Fictional Rate

Author

Listed:
  • Alexandr V. Zhevnyak

Abstract

The concept of operating profitability of a loan / deposit, which coincides with the IRR value, is introduced and reflects the meaningful economic meaning of IRR as the ratio of the amount of discounted interest payments to the amount of discounted current loan indebtedness. That corresponds to the traditional understanding in economics for the performance indicators of as the relationship of the effect to the resources used to achieve it. Other interpretations of the IRR that follow from the above are also given. It is shown that in projects with a single simple or many repeated IRR this value expresses the profitableness of the borrowing project and the investment project for all non-negative values of the discount rate

Suggested Citation

  • Alexandr V. Zhevnyak, . "Chapter 4. Operating IRR: In Search of a Fictional Rate," NEW CONCEPT OF RETURN ON BORROWED AND INVESTMENT PROJECTS,, Socionet.
    • Handle: RePEc:nos:bedcdu:nc04
    as

    Download full text from publisher

    File URL: https://socionet.ru/~yfexbkczcfv/files/Chapter4.pdf
    Download Restriction: no
    ---><---

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:nos:bedcdu:nc04. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Александр Жевняк (email available below). General contact details of provider: http://socionet.ru/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.