The more ________ used, the greater the leverage a company employs on behalf of its owners.

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03-08-2022
Business

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The more ________ used, the greater the leverage a company employs on behalf of its owners.

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achulaksh achulaksh · Answer 1 · 2022-08-08T02:56:32-04:00

The more debt used, the greater the leverage a company employs on behalf of its owners.

What is the leverage of a company?

Leverage is the quantity of debt a company has in its combination of debt and equity (its capital structure). A company with more obligation than average for its drive is said to be highly leveraged. Leverage is not necessarily wrong.

What does it suggest to employ leverage?

Leverage is an investment process of using borrowed money.
the use of different financial instruments or borrowed capital
To improve the potential return of an investment.
Leverage can also refer to the portion of debt a firm uses to fund assets.

To learn more about Leverage company, refer

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What is the leverage of a company?

What does it suggest to employ leverage?

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