[Code of Federal Regulations]
[Title 47, Volume 3]
[Revised as of October 1, 2005]
From the U.S. Government Printing Office via GPO Access
[CITE: 47CFR65.302]

[Page 358]
 
                       TITLE 47--TELECOMMUNICATION
 
        CHAPTER I--FEDERAL COMMUNICATIONS COMMISSION (CONTINUED)
 
PART 65_INTERSTATE RATE OF RETURN PRESCRIPTION PROCEDURES AND METHODOLOGIES
--Table of Contents
 
                       Subpart C_Exchange Carriers
 
Sec. 65.302  Cost of debt.

    The formula for determining the cost of debt is equal to:
    [GRAPHIC] [TIFF OMITTED] TR01JN95.000
    
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 
Sec. 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 
Sec. 32.9000.

[60 FR 28545, June 1, 1995, as amended at 67 FR 5702, Feb. 6, 2002]