ANSWERS: 1
  • An equity multiplier is that ratio which is used to determine the financial leverage of the company. Basically, it tells about the financial health of the company. If equality multiplier ratio is low, it indicates the lower financial leverage and if it is high it indicates the higher financial leverage. You can read more about it from here. http://financehowtolearn.com/finance/equity-multiplier-ratio-which-is-beneficial/

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