How To Fix AO483 - Internal rate of return and payback period cannot be calculated

AO483 - Overview

• Message type: E = Error

• Message class: AO - Appropriation requests - Master data / Customizing

• Message number: 483

• Message text: Internal rate of return and payback period cannot be calculated

What causes this issue?

The system is supposed to calculate preinvestment analysis figures. It
is not possible to calculate the payback period and internal rate of
return based on the payment series.

System Response

The payback period and internal rate of return are not calculated.

How to fix this error?

Check the consistency of your payment series.

Procedure for System Administrators

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message AO483 - Internal rate of return and payback period cannot be calculated ?

  The SAP error message AO483, which states "Internal rate of return and payback period cannot be calculated," typically occurs in the context of investment management or asset accounting when the system is unable to compute the internal rate of return (IRR) or payback period for a given investment or project. This can happen for several reasons:
  Causes:
  
  
  Insufficient Cash Flow Data: The system requires a series of cash flows (inflows and outflows) over time to calculate IRR and payback period. If there are missing or incomplete cash flow entries, the calculation cannot be performed.
  
  
  Negative Cash Flows: If the cash flow series contains only negative values or if the cash flows do not change signs (e.g., all cash flows are negative), the IRR cannot be calculated.
  
  
  Incorrect Configuration: There may be issues with the configuration of the investment program or project, such as incorrect settings in the investment profile or missing parameters.
  
  
  Data Entry Errors: