Goto Section: 65.304 | 65.306 | Table of Contents

FCC 65.305
Revised as of October 1, 2008
Goto Year:2007 | 2009
  Sec.  65.305   Calculation of the weighted average cost of capital.

   (a) The composite weighted average cost of capital is the sum of the cost of
   debt, the cost of preferred stock, and the cost of equity, each weighted by
   its proportion in the capital structure of the telephone companies.

   (b) Unless the Commission determines to the contrary in a prescription
   proceeding,  the  composite  weighted average cost of debt and cost of
   preferred stock is the composite weight computed in accordance with  Sec. 65.304
   multiplied by the composite cost of the component computed in accordance
   with  Sec. 65.301 or  Sec. 65.302, as applicable. The composite weighted average cost
   of equity will be determined in each prescription proceeding.

   [ 60 FR 28546 , June 1, 1995]


Goto Section: 65.304 | 65.306

Goto Year: 2007 | 2009
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