What is Financial Health? & How to Stay Financially Fit?

what is financial health? and how to stay financially fit?

Imagine your finances as a vibrant ecosystem, a dance between income, expenses, investments, and goals. Financial health, then, is the state of this ecosystem – its balance, resilience, and ability to thrive. It’s not just about accumulating wealth, but about feeling secure, in control, and equipped to weather life’s financial storms.

Understanding Financial Leverage & Operational Leverage and Difference Between Them

Financial leverage vs operational leverage

Leverage is a financial concept that refers to the ability to magnify the impact of an investment or a business decision through the use of borrowed capital. It involves using various financial instruments or borrowed funds to increase the potential return on an investment.

Cost of Capital: Types, Component, Formula, Impact, & Importance

cost of capital

The cost of capital is the minimum return that a company or an investor expects to earn on their investment to compensate for the risk involved. It represents the cost of funds used to finance a business or a project and is expressed as a percentage.