Calculate the Cost of Debt for Telstra and Qantas for 2019 and 2020. using this formula: Cost of debt = average interest cost of debt x (1 tax rate) you can assume that the cost of debt can be estimated as the yield to maturity on one outstanding bond of each company QANTAS:

Interest expense: 232,000

Total Liabilities: 15,941,000

2020:

Interest expense: 208,000

Total liabilities: 18,500,000

TELSTRA:

2019

Interest expense: 868,000

Total Liabilities: 28,059,000

2020:

Interest expense: 936,000

Total liabilities: 29,256,000