As a business makes profits or losses the level of equity in the business will rise or fall. It therefore needs to monitor the effect on the leverage. Profits will reduce leverage and provide the business with capacity to take on further borrowings and vice versa.
Details
- Publication Date
- Jul 3, 2013
- Language
- English
- Category
- Education & Language
- Copyright
- All Rights Reserved - Standard Copyright License
- Contributors
- By (author): Homework Help Classof1
Specifications
- Format