Financial leverage is more controllable than operating leverage in that management can choose the amount of debt it uses but fixed costs are often dictated by technology.

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Financial leverage refers to the use of debt to finance a company's assets and operations, and management has control over the amount of debt it decides to use. On the other hand, operating leverage refers to the proportion of fixed costs in a company's cost structure, which is often dictated by technology and cannot be easily or quickly adjusted by management. Thus, financial leverage is more controllable than operating leverage.

Financial Leverage Is More Controllable Than Operating Leverage in That