numpy.irr() in Python

Last Updated : 5 Aug, 2022

numpy.irr(values) : This financial function helps user to compute IRR Value i.e. Internal Rate of Return ie. “average” periodically compounded rate of return.
 


 

Parameters : 
values : [array-like] Input cash flows per time period. net “deposits” are negative and net “withdrawals” are positive
Return : Internal Rate of Return for periodic input values.


Code: 

Python3 
# Python program explaining 
# irr() function 

import numpy as np 
''' 
Question : 

    Investment = 500
    Withdrawals at regular interval : 50, 31, 3, 11
'''

Solution = np.irr([-500, 50, 31, 3, 11])

print("Solution - Internal Rate of Return : ", Solution)

Output: 

Solution - Internal Rate of Return :  -0.5296447721512683
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