The Excel XIRR function is used to return the internal rate of return based on a series of irregular payments on an investment.
The syntax for the XIRR function is:
=IRR(values, dates, [guess])
| Argument | Purpose |
|---|---|
| values | The range of cells containing the investments that you want to calculate the internal rate of return |
| dates | A schedule of dates corresponding to cash flow payments |
| guess | An estimate internal rate of return of the investment. This argument is optional and if omitted Excel assumes an estimated irr of 10% |
The example below shows the XIRR function being used to return the internal rate of return for payments on an investment.
