The internal rate of return method of evaluating capital investments cannot be used with uneven cash flows.

Name: The internal rate of return method of evaluating capital investments cannot be used with uneven cash flows.
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The internal rate of return method can be used with uneven cash flows. This method calculates the percentage return that will make the net present value of all cash flows equal to zero, regardless of whether the cash flows are even or uneven.

The Internal Rate of Return Method of Evaluating Capital Investments