FARI is a simple Excel-based, discounted cash flow (DCF) model set up to reflect tax accounting rules and specific tax payments to the government. The model inputs include fiscal regime parameters, ...

The intricacies involved in building affordable housing can be difficult to understand. This explainer breaks down the foundational concepts.

The net present value (NPV) method can be a very good way to analyze the profitability of an investment in a company, or a new project within a company.

IRR calculates a project's average expected return by setting NPV to zero. Excel's XIRR function can compute project IRRs to help select profitable options. IRR overlooks cash flow accuracy and ...

This is an advanced version of the internal rate of return (IRR) formula, which is used to calculate returns on a series of cash flows.

Learn what Weighted Average Cost of Capital (WACC) is, how to calculate it, and its significance in evaluating investment opportunities.

One of the main disadvantages of the internal rate of return is that it assumes the reinvestment of positive cash flow at the IRR. It also doesn’t consider a project’s cost of capital or duration.

A newly released feasibility update for ASX-listed West African Resources’ (WAF’s) Kiaka gold project, in Burkina Faso, shows that strong cash flows are expected from the project. The update ...

What is XIRR in Mutual Fund XIRR, or extended internal rate of return, is a financial metric used to calculate the annualized rate of return for investments with irregular cash flows. Unlike ...

Levered IRR takes into account the cost of borrowing, while Unlevered IRR does not. How does debt financing affect the calculation of IRR? Debt financing introduces additional cash outflows in the ...

The internal rate of return is the discount rate that sets the present value of an investment opportunity’s future cash flows equal to the initial investment required. Another plausible definition of ...