VCR Lesson 5
Fill in the Blank with the Most Appropriate Word From Lesson 5
1. The action of a lever that raises or lifts.
2. Power to influence; a position of strength
past tense, leveraged
gerund/past participle, leveraging
- anchorage: "the action of securing something to a base or the state of being secured"
When leverage is used a verb, it means "magnify, increase or multiply," which is a term used in finance to describe any technique used to multiply gains and losses. More specifically, "leverage" is used in reference to the firm's ability to use fixed final charges to increase the return to its owners. The fixed cost funds operate as the fulcrum, which helps the lever (the firm) to lift (to increase) the earnings of its owner (equity shareholder).
Select the letter of the sentence in which the word in bold-faced type is used incorrectly:
b. Martha knew everyone's secrets, which she used as leverage to get what she wanted.
c. The hammer gave the construction worker the leverage he needed to pry the nail out of the wood.
d. The ship used the anchor as leverage to secure itself into the port.