Question: programing of finance on Python IRR calculation: 1) Assume an investment has the following cash flows: -$100, -$50, $50, $70, $100, $90, $20. The first

programing of finance on Python

programing of finance on Python IRR calculation: 1) Assume an investment has

IRR calculation: 1) Assume an investment has the following cash flows: -$100, -$50, $50, $70, $100, $90, $20. The first one comes now, the second one in one year, etc. Store in a list. 2) Calculate the NPV if the discount rate is 10%. Do this by creating and calling a function that takes the discount rate and cash flow list as arguments and returns the NPV. 3) Calculate the IRR to the nearest basis point. Consider the IRR solved if that discount rate results in an NPV less than $.01. 4) Print out the answers. 5) You will (probably) use a "for" loop with a "break" statement

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!