In that hypothetical I do not think they would necessarily do layoffs. The more likely scenario would be: 2019 Cost of capital: 7%, gross return 10% for 3% exc

In that hypothetical I do not think they would necessarily do layoffs. The more likely scenario would be: 2019 Cost of capital: 7%, gross return 10% for 3% excess return 2022 Cost of capital: 12%, gross return 10% for -2% excess return In which case that project would get cut and layoffs would occur.