Azhagaiah, Ramachandran; Sathia, Selvaraj - In: Managing Global Transitions 10 (2012) 1 (Spring), pp. 87-114
In the presence of market imperfections, leverage has the potential to have an important influence on investment decisions. If a firm makes money on its borrowing (has favorable financial leverage), the shareholders realize higher earnings per share (EPS) than would be the case in the absence of...