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Arsha posted an Question
September 22, 2020 • 00:47 am 30 points
  • UGC NET
  • Commerce

What is the difference between operating leverage and financial leverage

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  • Priya gulani best-answer

    https://www.slideshare.net/mobile/PANKAJPANDEY73/financial-and-operating-leverage#:~:text=14Financial%20Management%2C%20Ninth%20Combining%20Financial,or%20the%20earnings%20per%20share. this link can help you a lot...keep on sliding the screen

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    thankyou so much

  • Rucha rajesh shingvekar Best Answer

    read this difference

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    could not find the file

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    The Operating Leverage measures the effect of fixed operating costs, whereas Financial Leverage measures the effect of interest expenses. Operating Leverage influences Sales and EBIT but Financial Leverage affects EBIT and EPS. Operating Leverage arises due to the company's cost structure.

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    thankyou

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