What does IRR mean in Banking?

This page is about the meanings of the acronym/abbreviation/shorthand IRR in the Business field in general and in the Banking terminology in particular.

Internal Rate of Return

Business » Banking

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Definition

What does IRR mean?

Internal rate of return
The internal rate of return or economic rate of return is a rate of return used in capital budgeting to measure and compare the profitability of investments. It is also called the discounted cash flow rate of return or the rate of return. In the context of savings and loans the IRR is also called the effective interest rate. The term internal refers to the fact that its calculation does not incorporate environmental factors.

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"IRR." Abbreviations.com. STANDS4 LLC, 2014. Web. 19 Dec. 2014. <http://www.abbreviations.com/term/1440958>.


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