The Books definition of financial leverage is ” The use of debt in a firm’s capital structure is

called financial leverage. The more debt a firm has (as a percentage of assets), the greater is its degree of financial leverage” p 25. (Ross, 2014)

the name of the book: Ross, S., Westerfield, R., Jordan, B. (01/2013). Essentials of Corporate Finance, 8th Edition.

point out the impact and risk of financial leverage? 

Give the reference

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