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Solve the equation for .
Leverage
The use of borrowed capital or debt to fund an investment, aiming to expand asset base and generate returns on risk capital.
Debt
An amount of money borrowed by one party from another, to be paid back with interest.
Solvency
The ability of a company to meet its long-term financial obligations and continue operations indefinitely.
Horizontal Analysis
A financial analysis technique that compares historical financial data over a series of reporting periods, to identify trends and growth patterns.
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