Method: Xirr::Cashflow#irr_guess

Defined in:
lib/xirr/cashflow.rb

#irr_guess ⇒ Float

Calculates a simple IRR guess based on period of investment and multiples.

Returns:

  • (Float) 


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# File 'lib/xirr/cashflow.rb', line 50

def irr_guess
  return @irr_guess = 0.0 if periods_of_investment.zero?
  return @irr_guess = 0.0 if multiple <= 0

  @irr_guess = valid? ? ((multiple**(1.0 / periods_of_investment)) - 1).round(3) : 0.0
  @irr_guess.infinite? ? 0.0 : @irr_guess
end