Leverage

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Leverage is the use of borrowed money to supplement existing funds for purposes of investment.

Definition

According to Macroeconomics by Mankiw (7th edition),

Leverage. The use of borrowed money to supplement existing funds for purposes of investment.

According to Managerial Accounting by Braun, Tietz (5th edition),

Leverage. Earning more income on borrowed money than the related interest expense, thereby mcreasing the earnings for the owners of the business; also called trading on equity.

According to the HRBoK Guide,

Leverage. The ability to multiply the return on an investment. The act of applying a small investment to bring a high level of return.
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