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The deflation in turn increases the real cost of debt.
Furthermore, in calculating WACC, Newman determined the cost of debt at 7.5%, while Derrough's calculation resulted in a cost of debt at 5.9%.
The Debtor's own five-year plan assumes a cost of debt at 6.2%.
As the residual claimants of the firm's assets, shareholders ultimately bear the agency cost of debt.
The cost of debt falls too, since creditors have a bigger buffer beneath them.
That in turn would raise the cost of debt service and reduce economic growth.
But that reflects the fact its cost of debt is close to zero.
The news raised the cost of debt protection against default of neighbouring countries, such as Bahrain.
When we suppress interest rates, we effectively lower the cost of debt.
If Greece could get this deal, the cost of debt would plummet.
As bondholders recognize the inside debt component of managers' compensation, they reduce the cost of debt to the firm.
More suggestions(19)
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