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Created by : shailesh , B.B.A student, kumaun university, ssj campus almora  | 10 08 2010 02:35:56 +0000
Activity:  1120 views;  last activity : 10 11 2010 15:43:40 +0000
 
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financial leverage Vs operating leverage
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According to me Financial leverage is more important to the Big Production houses. I think that operating leverage is imortant to small firms because fixed cost in the production plays a significant play. To large production unit per unit fixed cost is not so significant. The change is the debt-equity ratio have important effect on the profitability of the firm.
By shailesh , B.B.A student, kumaun university, ssj campus almora  10 08 2010 02:35:56 +0000
 
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Financial leverage is the blood for every big company..


By Vipin Bhasin, Private Equity/Hedge Fund/VC-Manager, Indian Investment Co.  | 10 11 2010 15:43:40 +0000
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operrating leverage is used by the small companies. the change is the debt-equity ratio have the important effect on the profit of the firm.


By vasantha laxmi, asst. professor, sree kavitha engineering college  | 10 09 2010 11:57:42 +0000
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I agree with you Shailesh, well said. Financial leverage plays a vital role in big companies. Operation leverage might bring risk to the company.   


By Nitin Sharma, Risk Manager, HSBC Bank  | 10 09 2010 10:07:15 +0000
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