Explain the Concept of Financial Leverage

Explain the concept of financial leverage..a)Issuing the note will increase assets and liabilities.b)The first payment on the note will reduce liabilities and assets but will not affect stockholders' equity.c)The second payment on the note will include higher interest expense than did the first payment.d)Each payment on the note includes a cash flow from operating activities and a cash flow from financing activities.e)The amount of the principal repayment will increase with each succeeding payment.