Business risk vs Operational gearing

This topic has 1 reply, 2 voices, and was last updated 3 years ago by John Moffat.

Viewing 2 posts - 1 through 2 (of 2 total)

Author

Posts
August 25, 2022 at 6:16 am #664200
maximus07
Participant
- Topics: 446
- Replies: 437
I have seen business risk and operational gearing being interchanged. Can you please state that they are either same or am I mistaken?
Thank you.
August 25, 2022 at 9:48 am #664233
John Moffat
Keymaster
- Topics: 57
- Replies: 54857
They are not the same.

Operational gearing certainly affects the level of business risk, but so too does the nature of the business (i.e. the sector in which the business operates).
Author

Posts

Viewing 2 posts - 1 through 2 (of 2 total)

You must be logged in to reply to this topic.