If a firm does not have publicly traded debt and therefore does not ha

If a firm does not have publicly traded debt and therefore does not have a yield to maturity as an estimate for its cost of debt, a common practice is to estimate the cost of debt by adding a premium to the rate on:

A) the cost of accounts payable.
B) equity.
C) long-term government bonds.
D) collateralized debt obligations.

ANSWER

C