Where is cost of capital different from rate of return

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If said company is completing an assembly line at a cost of $8.5 million. The company expects the project to generate cash flows of $2 million, $3 million, $4 million, and $5 million over the next four years. Its cost of capital is 16 percent. What is the net present value of this project?

Where is Cost of Capital different from rate of return?

Reference no: EM132395226

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