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Internal Rate of Return (IRR) is a fundamental concept in financial economics used to evaluate the profitability of an investment or project. It represents the discount rate at which the net present value (NPV) of all future cash flows from an investment equals zero. In simpler terms, IRR is the rate at which an investment breaks even in terms of present value, making it a key tool for decision-making in capital ___ _____ ____ _______ ______ ________ _____.
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