Generally speaking, it wouldn't be smart to invest in an activity with an IRR of 8% when there's another activity that's known to return 16%. An organization's minimum attractive rate of return (MARR) is just that, the lowest internal rate of return the organization would consider to be a good investment. The MARR is a statement that an organization is confident it can achieve at least that rate of return.
- Minimum Attractive Rate of Return (MARR)
- from Return on Software: Maximizing the Return on Your Software Investment
- Publisher: Addison-Wesley Professional
- Released: August 2004
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