Internal Rate of ReturnForums › Ask ACCA Tutor Forums › Ask the Tutor ACCA PM Exams › Internal Rate of ReturnThis topic has 1 reply, 2 voices, and was last updated 3 years ago by John Moffat.Viewing 2 posts - 1 through 2 (of 2 total)AuthorPosts August 3, 2021 at 4:35 pm #630283 zaki090MemberTopics: 5Replies: 5☆I cant understand the following assumption;“Traditional internal rate of return (IRR) assumes the cash flows from a project are reinvested at the IRR itself.”“The modified internal rate of return (MIRR) assumes that positive cash flows are reinvested at the firm’s cost of capital”In the first definition, What does it mean by “reinvested at the irr itself”? please give a practical example ?Also give an example on Modified IRR 🙁 August 3, 2021 at 7:08 pm #630305 John MoffatKeymasterTopics: 57Replies: 54643☆☆☆☆☆Neither the IRR or the MIRR are examinable in Paper PM!!!The IRR is in the syllabus for Papers MA, FM and AFM.The MIRR is examinable only in Paper AFM.My free lectures for Paper AFM answer your question, with examples.AuthorPostsViewing 2 posts - 1 through 2 (of 2 total)You must be logged in to reply to this topic.Log In Username: Password: Keep me signed in Log In