Business and Finance discussion

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Business Finance

Question Description

capital structure, business risk, financial risk, operating leverage, financial leverage, break-even point, reserve borrowing capacity ...

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Explanation & Answer

Capital structure refers to the mode and means used by an oprganization to access its funds.

A business referes to the possibilty of having profit that is below the anticipated value.

oPerating leverage rtefers to the degree by which growth in revenue leads to growth of operation income

Financial leverage refers to trading done on equity

Break-even-period is a stage in business's life where there exist a balance between mmaking losses and profits.

Reserve borrowing capacity is the amount of capital that is available for borrowingin a firm

zbal pnerl (2)
Boston College

Excellent resource! Really helped me get the gist of things.