I want to work out the return on an invstmt which involves an initial dep. then further deps AND withdrawals?

What I mean is, for example I deposit $100 in a savings account, then 2 months later withdraw $20, then 7 months later deposit $50 then finally withdraw $200 a year later. Whats the return on investment? All formulas I've come across dont allow for further deposits, they just allow for one initial deposit and a series of withdrawals.

If you have excel, you can enter all the in and out cash flows in separate rows, then use the "irr" function.

a1= -100
a3= 20
a9= -50
a20 = 200
all other cells in column a = 0 (you have to have zero in them for =irr to work)

in any cell, =irr(a1:a20) to get the monthly interest rate, or =(irr(a1:a20)+1)^12 - 1, to convert to an annual rate. In this case, 3% per month, annual rate about 37%

Thanks planning... solved the problem Report It

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