FIN 419 Week 4 DQ 2

Apr 24th, 2015
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FIN 419 Week 4 DQ 2

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What is the difference between operating and financial leverage? "Leverage results from the use of fixed-cost assets or funds to magnify returns to the firm's owners" (Gitman, 2006, p. 553). A decrease in leverage results in a decrease in return and risk, whereas an increase in leverage will resul

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