Notice of RetractionReassessment on the economic meaning of internal rate of return from the angle of risk and uncertainty

Notice of Retraction

After careful and considered review of the content of this paper by a duly constituted expert committee, this paper has been found to be in violation of IEEE´s Publication Principles.

We hereby retract the content of this paper. Reasonable effort should be made to remove all past references to this paper.

The presenting author of this paper has the option to appeal this decision by contacting TPII@ieee.org.

In conventional investment project, the economic meaning of internal rate of return can be expressed as: reliability of bringing a return that investors require in a project or ability of resisting risk and uncertainty during a project´s life. Because risk factors can be transformed into fixed cost, the fixed cost (risk factors) can deducted from cash flows of the project, and a new IRR can be calculated which can show the project´s ability of resisting uncertainty. The new economic meaning of IRR provides a new theoretical perspective for its applications, and explains the conflict between NPV and IRR at the same time. The reason for the conflict is that people make analysis from different point of view.