Homemade Leverage Is

Multiple Choice

Homemade leverage is:

A) the incurrence of debt by a corporation in order to pay dividends to shareholders.
B) the exclusive use of debt to fund a corporate expansion project.
C) the use of personal borrowing to alter an individual's exposure to financial leverage.
D) best defined as an increase in a company's debt level.
E) the term used to describe the capital structure of a levered firm.