Modified internal rate of return
This cash flow represents the yearly income from an initial investment of $100,000. The finance rate is 9% and the reinvestment rate is 12%.
Year 1 $20,000
Year 2 ($10,000)
Year 3 $30,000
Year 4 $38,000
Year 5 $50,000
To calculate the modified internal rate of return on the investment:
Return = mirr([-100000 20000 -10000 30000 38000 50000], 0.09,0.12)
Return = 0.0832
CashFlow— Cash flow
Cash flow, specified as a vector or matrix. The
first entry is the initial investment. If
CashFlow is entered as a
matrix, each column is treated as a separate cash
FinRate— Finance rate for negative cash flow values
Finance rate for negative cash flow values, specified as a decimal.
Reinvest— Reinvestment rate for positive cash flow values
Reinvestment rate for positive cash flow values, specified as a decimal.
Return— Modified internal rate of return
Modified internal rate of return, returned as a scalar or vector.
 Brealey and Myers. Principles of Corporate Finance. McGraw-Hill Higher Education, Chapter 5, 2003.
 Hazen G. “A New Perspective on Multiple Internal Rates of Return.” The Engineering Economist. Vol. 48-1, 2003, pp. 31–51.