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    Financial Accounting Study Set 13
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    Financial Leverage Is Positive When a Company Borrows Funds at a Low
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Financial Leverage Is Positive When a Company Borrows Funds at a Low

Question 102

Question 102

True/False

Financial leverage is positive when a company borrows funds at a low interest rate and invests those funds at a higher interest rate.That is,positive financial leverage uses borrowed funds to increase the return to shareholders.

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