Microsoft Office Tutorials and References
In Depth Information
Unlike the NPV function, XNPV assumes that the cash flows are at the beginning of
each period instead of the end. With NPV, I had to exclude the initial cash flow from the
arguments and add it to the end of the formula. With XNPV, there is no need to do that.
Internal rate of return
The syntax for the XIRR function is
Just like XNPV, XIRR differs from its regular cousin by requiring dates. Figure 12-12 shows an example of
computing the internal rate of return on a series of irregular cash flows.
Figure 12-12: The XIRR function works with irregular cash flows.
The formula in B15 is
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