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Economic Analysis: Theory and Practice
 

Distinctions of determining of the category «operating leverage» in the Russian practice

Vol. 10, Iss. 28, JULY 2011

Available online: 19 July 2011

Subject Heading: Financial analysis

JEL Classification: 

Savchenko N.L. candidate of economic sciences, dean of the faculty of economics, head of the department of economy and finance, Ural institute of humanities, Ekaterinburg
nsavchenko12@mail.ru

This article analyzes the approaches to the definition of operating leverage (leverage) in the modern Russian economic literature. Examples of calculation of the natural and the price of operating lever, formulated criteria for «valid» level of business risk in relation to the financial strength of enterprise stock.

Keywords: operating leverage, leverage, business risk, and cost operating lever, financial strength, the criteria for calculating

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ISSN 2311-8725 (Online)
ISSN 2073-039X (Print)

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