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LEVERAGE RATIOS Definition

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LEVERAGE RATIOS measures the relative contribution of stockholders and creditors, and of the firms ability to pay financing charges. Value of firms debt to the total value of the firm.

 

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BVI is an acronym for British Virgin Islands (a major offshore banking and corporation player).

CAPITAL GAIN is the excess of selling price over purchase price, which may be given special treatment for tax purposes provided the sale takes place more than a given number of months after purchase.


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