Gearing refers to the use of:

Name: Gearing refers to the use of:
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Gearing refers to the use of debt financing, where a company uses borrowed funds to invest and generate returns for its shareholders. This borrowing can provide leverage to enhance profits, but also carries the risk of increased interest payments and the need for debt repayment. Preference shares (A) and equity financing (C) are not considered part of gearing, as they do not involve borrowing.

Gearing Refers to the Use Of