Relationship between the Accounting and the Internal Rate of Return Measures

Several recent studies have dealt with the relationships between the internal rate of return (IRR) and various measures of accounting rate of return (ARR), given different sets of conditions. Published studies appear in the literature of accounting, economics, finance, and industrial engineering, with no two of these studies appearing in the same journal. Moreover, none of the studies references any of the others. Hence, there is no coordinated approach to the topic and each adopts a different set of assumptions.