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SOUTHWESTERN BELL TEL. v. ARKANSAS P.S.C.

No. CA 86-22.

720 S.W.2d 924 (1986)

19 Ark.App. 322

SOUTHWESTERN BELL TELEPHONE COMPANY, Appellant, v. ARKANSAS PUBLIC SERVICE COMMISSION, Appellee.

Court of Appeals of Arkansas.

December 17, 1986.

Attorney(s) appearing for the Case

Durward D. Dupre and Garry S. Wann, Friday, Eldredge & Clark by Herschel Friday and Jeff Broadwater, Little Rock, for appellant.

Lee McCulloch, Little Rock, for appellee.

COOPER, Judge.

Southwestern Bell Telephone Company appeals that portion of a rate case decided by the Arkansas Public Service Commission dealing with the calculation of the Company's cost of capital and the resulting calculation of its required return on its rate base. The Company argues four points for reversal, all of which concern the proper treatment to be accorded investment tax credits (ITC's) and accumulated deferred income taxes (ADIT's) in calculating the...

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