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What is the usefulness of an important financial lever for the company?

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Question added by Nadjib RABAHI , Freelancer , My own account
Date Posted: 2016/04/10
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by Deleted user

Financial leverage refers to how the firm funds its assets ? whether by debts or equity .  Firms uses debts when the investment return exceeds  the debt interest but it has to observe the financial leverage ratio which equal total debts divided by total assets .

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