FINANCIAL LEVERAGE Definition

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FINANCIAL LEVERAGE is the use of debt to increase the expected return on equity. Financial leverage is measured by the ratio of debt to debt plus equity.

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ENROLLED AGENT (EA) is any individual who is enrolled under the provisions of Treasury Department Circular No. 230 to practice before the IRS.

PERVASIVE is having the ability to permeate. An error is pervasive if it is material to more than one of the primary financial statements.

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