I would like to see how to solve this question

4/4 Question 4 View Policies Show Attempt History Your Answer Correct Answer Your answer is correct. The 20-year Treasury rate is 3.65 percent, and a firm's credit rating is BB. Suppose management of the firm decides to raise $20 million by selling 20-year bonds. Management determines that since it has plenty of experience, it will not need to hire an investment banker. At present, 20-year BB bonds are selling for 142 basis points above the 20-year Treasury rate, and it is forecast that interest rates will not stay this low for long. What is the cost of borrowing? Borrowing cost rate 5.07 % What role does timing play in this situation? Time is of essence in this case