Math, asked by ribualexander, 11 months ago

what is leverage.., .......?​

Answers

Answered by arpitabarik4000
3

Answer:

Leverage is the use of debt (borrowed capital) in order to undertake investment or project. In other words, instead of issuing stock to raise capital, companies can use debt financing to invest in business operations in an attempt to increase shareholder value.

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Answered by samvdaniel
0

Answer:

Leverage results from using borrowed capital as a funding source when investing to expand the firm's asset base and generate returns on risk capital. Leverage is an investment strategy of using borrowed money—specifically, the use of various financial instruments or borrowed capital—to increase the potential return of an investment. Leverage can also refer to the amount of debt a firm uses to finance assets.

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