The accounting rate of return (ARR) is based on cash flows rather than net income in its calculation. True False The internal rate of return (IRR) equals the rate that yields a net present value of zero for an investment. True False A series of equal periodic cash flows is known as a(n): a. annuity b. present value c. net cash flow d. future value A company is considering the following alternatives: Which of the following are relevant in choosing between the alternatives? a. Revenues b. Variable costs c. Variable costs and fixed costs d. Fixed costs