<P> In economics and accounting , the cost of capital is the cost of a company 's funds ( both debt and equity ) , or , from an investor 's point of view `` the required rate of return on a portfolio company 's existing securities '' . It is used to evaluate new projects of a company . It is the minimum return that investors expect for providing capital to the company , thus setting a benchmark that a new project has to meet . </P>
<P> In economics and accounting , the cost of capital is the cost of a company 's funds ( both debt and equity ) , or , from an investor 's point of view `` the required rate of return on a portfolio company 's existing securities '' . It is used to evaluate new projects of a company . It is the minimum return that investors expect for providing capital to the company , thus setting a benchmark that a new project has to meet . </P>
a company 's required rate of return typically its cost of capital is called the
a company 's required rate of return typically its cost of capital is called the
required rate of return on a portfolio company 's existing securities
required rate of return on a portfolio company 's existing securities