Business Studies, asked by Princess8719, 1 year ago

What Is Financial Leverage?

Answers

Answered by Anonymous
0

In finance, leverage is any technique involving the use of debt rather than fresh equity in the purchase of an asset, with the expectation that the after-tax profit to equity holders from the transaction ...

Answered by adithyakrishnan6137
0

Answer:

Financial Leverage refers to a financial ratio which indicates proportion of debt in the total capital of an enterprise.

Financial Leverage = Debt ÷ Equity

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