Enter the degree of operating leverage and the degree of financial leverage into the Calculator. The calculator will evaluate the Total Leverage.

- Degree of Operating Leverage Calculator (+ Formula)
- Financial Leverage Calculator
- Leverage Ratio Calculator

## Total Leverage Formula

TL = DOL * DFL

Variables:

- TL is the Total Leverage ()
- DOL is the degree of operating leverage
- FDL is the degree of financial leverage

To calculate Total Leverage, multiply the degree of operating leverage by the degree of financial leverage.

## How to Calculate Total Leverage?

The following steps outline how to calculate the Total Leverage.

- First, determine the degree of operating leverage.
- Next, determine the degree of financial leverage.
- Next, gather the formula from above = TL = DOL * DFL.
- Finally, calculate the Total Leverage.
- After inserting the variables and calculating the result, check your answer with the calculator above.

**Example Problem : **

Use the following variables as an example problem to test your knowledge.

degree of operating leverage = 0.74

degree of financial leverage = 0.89