leverage

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leverage

1. the action of a lever
2. the mechanical advantage gained by employing a lever
3. the enhanced power available to a large company
4. the use made by a company of its limited assets to guarantee the substantial loans required to finance its business

Leverage

The use of fixed-cost funds to acquire property that is expected to produce a higher rate of return either by way of income or through appreciation.

leverage

[′lev·rij]
(mechanics)
The multiplication of force or motion achieved by a lever.