» Leverage Ratios Calculator

Initial Data

Fixed cost (per period)
Variable cost (per unit)
Expected Sales (№ of Units)
Price (per unit)
Fixed financing cost


Degree of Operating Leverage (DOL)
Degree of Financial Leverage (DFL)
Degree of Total Leverage (DTL)


Leverage Ratios Calculator

  • Degree of Operating Leverage (DOL) shows how sensitive is operating income to changes in sales.
  • Degree of Financial Leverage (DFL) shows how sensitive are cash flows available to owners to changes in operating income.
  • Degree of Total Leverage (DTL) shows sensitivity of the cash flows to owners to changes in revenue.