An interest rate which is paid by firm as soon as it issues debt is classified as pre-tax
An interest rate which is paid by firm as soon as it issues debt is classified as pre-tax Correct Answer cost of debt
An interest rate which is paid by firm as soon as it issues debt is classified as pre-tax cost of debt. In most cases, this phrase refers to after-tax cost of debt, but it also means the company's cost of debt before taking taxes into account.