How it works
Discount negative cash flows to time zero at the finance rate; compound positives to the last period at the reinvestment rate. MIRR = (FV positives / −PV negatives)^(1/n) − 1.
Input definitions
- Periodic signed cash flows
- Plain text; maximum 200,000 characters.
- Finance rate per period (%)
- Enter the value in the labeled unit.
- Reinvestment rate per period (%)
- Enter the value in the labeled unit.
A worked example
- Periodic signed cash flows
- -1000, 0, 1210
- Finance rate per period (%)
- 10
- Reinvestment rate per period (%)
- 10
Assumptions & limits
Equal time periods; nonnegative finance and reinvestment rates. This is a modeled return, not a forecast.
Sources & review
Maintained by AnsRio. Methods and examples use automated checks; this does not imply independent professional certification.
Method updated 2026-10-17. Content checked against the stated method and examples. Our verification approach.
Common questions
How is MIRR different from IRR?
MIRR discounts negative flows using a finance rate and compounds positive flows using a separately entered reinvestment rate. It reports one rate over the full number of equal periods.
Are these investment and borrowing results guaranteed?
No. These are deterministic estimates from the inputs and stated method, not predicted returns or lending offers. Actual fees, tax, timing and contractual terms may differ.
How does the Modified internal rate of return (MIRR) tool work?
Discount negative cash flows to time zero at the finance rate; compound positives to the last period at the reinvestment rate. MIRR = (FV positives / −PV negatives)^(1/n) − 1.
What are the assumptions and limits of Modified internal rate of return (MIRR)?
Equal time periods; nonnegative finance and reinvestment rates. This is a modeled return, not a forecast.