Other
Long-Term Receivables
CAT uses long-term receivables as a marketing tool to provide financing to the purchase of its equipment, so it makes sense this line grows at the same rate as sales.
Cost of Debt
Caterpillar is a highly rated borrower in the financial markets.
From this website here: Caterpillar , we can assume CAT’s effective yield to maturity to be: circa 3.75%
Interest earned on Cash and Short-term securities
We can assume that interest rates are very low, and that CAT earns 1% on its short-term cash investments.
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