[ROA]

Martin,

Bingo!!!! That´s the answer I was looking for.

Thanks for your assistance!

Regards,

Rogério. 

[ROA]

Martin,

Sorry, consider TIR = IRR funcion in Excel. TIR is portuguese version.

Ragards,

Rogério.

 

[ROA]

Martin,

Thanks for your prompt response.

You correctly explained how the TIR (Tax Internal Rate of Return) works. For sure this is one of the most popular indexes to analyze a discounted cash flow. However, If we export PVSOL cash flow to na Excel, for example, and calculate the Tax Internal Rate of Return using function =TIR, you will figure out that the number you get is completely different from ROA in PVSOL.

Have you ever reproduced in an Excel the ROA outcome you get in PVSOL? I simply cannot calculate it in Excel and thus cannot explain it to my customers.

 

Thanks again for your time.

Regards,

Rogério.

[ROA]

Hi folks!

Does anybody know how PVSOL calculates the return on assets (ROA)?

I would be grateful if anybody could advise.

Regards,

Rogério.