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Given the following information, what is the expected **market** rate of return on debt for this firm (r D )? long term debt is 3,736

Given the following information, what is the expected **market** rate of return on debt for this firm (rD)?

long term debt is 3,736 (in millions) and net income is 1,932,000 (in thousands)

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Given the following information, what is the expected **market** rate of return on debt for this firm (rD)? long term debt is 3,736 (in millions) and net income is 1,932,000 (in thousands)Name Maturity Date AmountCredit Quality Price Coupon % (Fixed/Floating) Callable Rule 144A Yield to Maturity %Walgreen 3.1% 09/15/2022 1,200.0 --- 98.5 3.100 Fixed No No 3.32 Walgreen 5.25% 01/15/2019 1,000.0 --- 111.0 5.250 Fixed No No 2.42 Walgreen 1.8% 09/15/2017 1,000.0 --- 99.5 1.800 Fixed No No 1.99 Walgreen 1% 03/13/2015 750.0 --- 100.1 1.000 Fixed No No 0.67 Walgreen 4.4% 09/15/2042 500.0 --- 96.3 4.400 Fixed No No 4.64 Option Care Cv 2.25% 11/01/2024 86.3 --- 163.2 2.250 Fixed Yes No 19.81 Walgreen 7.58% 04/20/2015 --- 7.580 Fixed Given the following information, what is the expected **market** rate of return on debt for this firm (rD)? long term debt is 3,736 (in millions) and net income is 1,932,000 (in thousands)Name Maturity Date AmountCredit Quality Price Coupon % (Fixed/Floating) Callable Rule 144A Yield to Maturity %Walgreen 3.1% 09/15/2022 1,200.0 --- 98.5 3.100 Fixed No No 3.32 Walgreen 5.25% 01/15/2019 1,000.0 --- 111.0 5.250 Fixed No No 2.42 Walgreen 1.8% 09/15/2017 1,000.0 --- 99.5 1.800 Fixed No No 1.99 Walgreen 1% 03/13/2015 750.0 --- 100.1 1.000 Fixed No No 0.67 Walgreen 4.4% 09/15/2042 500.0 --- 96.3 4.400 Fixed No No 4.64 Option Care Cv 2.25% 11/01/2024 86.3 --- 163.2 2.250 Fixed Yes No 19.81 Walgreen 7.58% 04/20/2015 --- 7.580 Fixed

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