Cost of debt

{
  "id": "MLC-T-INS-000992",
  "term": "Cost of debt",
  "field": "Insurance and risk management",
  "definition": "The effective interest rate a company pays on its borrowings, such as bonds, loans, and other forms of debt. It is a component of a company's overall cost of capital and is used in financial analysis to evaluate investment projects. The cost of debt is typically tax-deductible, reducing its after-tax impact on the company.",
  "url": "https://mlchart.com/terminology/insurance/cost-of-debt/"
}