Posts tagged "investing"

debt marketplace

If the company is one of the requirements currently only 8% of the market, why the company, the cost of reducing the debt?

A. Interest rates have changed B. Additional debt may be issued cheaper than the original debt C. There should be no difference, the cost of debt is the same as the performance in the bond market D. The interest is tax deductible

The debt is issued at different times. Therefore, the average cost of debt history can be costs more or less current. good accounting practice would be at market price, which means that the company should consider the cost of debt to its current price.