Leverage in all its forms involves the process of magnification. Financial leverage and physical leverage are used to produce some...

Financial leverage changes a company's returns and risk. As far as profitability is concerned, financial leverage affects a company's earning...

The income statement displays the financial result of a company's operations over the course of its financial year or a...

Both operating leverage and financial leverage involves some form of magnification. They magnify changes to earnings due to the presence...