The internal rate of return (IRR) is often used by managers and practitioners for investment
decisions. Unfortunately, it has serious flaws: (1) multiple real-valued IRRs may arise; (2) …

This article shows that the internal rate of return (IRR) approach is unreliable and that the
recently introduced average internal rate of return (AIRR) model constitutes the basis for an …

Discounted cash flow techniques are the generally accepted methods for valuing firms. Such
methods do not provide explicit acknowledgment of the value determinants and overlook …

Investment decisions may be evaluated via several different metrics/criteria, which are
functions of a vector of value drivers. The economic significance and the reliability of a metric …

Evaluating an industrial opportunity often means to engage in financial modeling which
results in estimation of a large amount of economic and accounting data, which are then …

In project appraisal under uncertainty, the economic reliability of a measure of financial
efficiency such as a rate of return depends on its strong NPV-consistency, meaning that the …

The Net Present Value maximizing model has a respectable ancestry and is considered by
most scholars to be a theoretically sound decision model. In real-life applications, decision …

This paper deals with the notion of residual income, which may be defined as the surplus profit
that residues after a capital charge (opportunity cost) has been covered. While the origins …

The recent notion of average internal rate of return (AIRR; Magni 2010a , The Engineering
Economist, 55(2), 150–180) completely solves the long-standing problem of the internal rate …

We address a real-world scheduling problem where the objective is to allocate a set of tasks
to a set of machines and to a set of workers in such a way that the total weighted tardiness is …