IRR calculations
This is a followup on the IRR question I had posted on the PIM platform. We know that the formula for IRR for any year is like so:
(CF+PPDwny1+PPDwny2+PPDwn3+...PPDwnN)/total initial investment where N = year
Question: Will earned appreciation impact IRR? Should we also add that number to the numerator cos that is also equity?
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Jayashree Menon
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IRR calculations
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