Management Accounting
This query is : Resolved
02 August 2010
IS Internal Rate of Return calculated on pre tax cash flows or post tax cash flows?
02 August 2010
it is on post tax cash flows
02 August 2010
any other opinion
02 August 2010
IRR is the rate at which npv = 0
NPV is calculated on after tax cash flows
so IRR is calc on post tax cash flows
NPV is calculated on after tax cash flows
so IRR is calc on post tax cash flows
02 August 2010
IRR is supposed to make the present value of future cash flows plus the final market value of an investment or business opportunity equal the current market price of the investment or opportunity. So obviously we should consider tax effect, otherwise IRR may be misleading or of limited use!!
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Is this income indian or foreign income?
- 15ca /15cb whose income tax login? remitter or nri seller's login?
- Regarding Documentation & Compliances for Opening of Unit of Pvt Ltd.
- ITC temporary reversal and reclaim
- GST on export of services and Input Credit
- RCM applicability on Rent Paid by Registered Person to Unregistered Landlord for Residental Building
- TDS U/S. 194NF
- Applicable TDS rate for sale of property in Nov 2024
- GST ON EXPORT COMMISSION
- Should I report my US salary for January, February, March in Schedule FA?
- LAST YEAR 2022-23 ITC IN NEXT YEAR 2023-24 REPORITNG IN GSTR-9
- MIS MATCH OF INVOICE NUMBER
- IGST Credit-Show cause notice issued-confusion
- Issue of gst e invoice
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
- 133(6) DIN INVALID format error - ->WHERE TO REPLY 133(6) notice?
- Query for dubts
- Regarding einvoice taken on nil rated sales
- Strategical investment in Public listed company
Trending Online Classes
CAclubindia
