65.302—Cost of debt.
The formula for determining the cost of debt is equal to:
Where:
“Total Annual Interest Expense” is the total interest expense for the most recent two years for all local exchange carriers with annual revenues equal to or above the indexed revenue threshold as defined in § 32.9000.
“Average Outstanding Debt” is the average of the total debt for the most recent two years for all local exchange carriers with annual revenues equal to or above the indexed revenue threshold as defined in § 32.9000.
[60 FR 28545, June 1, 1995, as amended at 67 FR 5702, Feb. 6, 2002]