§  65.302   Cost of debt.

   The formula for determining the cost of debt is equal to:
   [MATH:  :MATH]

   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]