EBK CONTEMPORARY FINANCIAL MANAGEMENT
EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN: 9781337514835
Author: MOYER
Publisher: CENGAGE LEARNING - CONSIGNMENT
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Chapter 14, Problem 1QTD
Summary Introduction

To discuss: The term leverage in finance.

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Explanation of Solution

The term leverage is the usage of liabilities and assets with fixed costs to enhance the returns of a company's common stockholders. In other words, the term leverage means utilization of debt by a company to finance assets.

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