Financial management - capital budgeting

IPCC 971 views 1 replies

Accountant

310 Points Joined August 2011

Hi everybody,

Can somebody explain the meaning of Equity IRR in Capital Budgeting. ?

What is the difference between Project IRR & Equity IRR ?

How do you calculate Equity IRR ?

Thanks and best regards,

Sumanta.

Replies (1)

The Easy are never Good and the Good are

4957 Points Joined January 2012

Hi, Sumanta.

IRR which is calculated considering the Cost of Equity as discounting rate is known as Equity IRR.

Project IRR is calculated based on WACC.

Regards

Raghuram

Your are not logged in . Please login to post replies

Click here to Login / Register