Breakdown of ROE with Two Leverage Effects

Operating liability leverage levers RNOA according to the operating leverage equation:

ROOA, Return on Operating Assets, is the return without operating liabilities.

Operating Liability Leverage, is the amount of operating liabilities as a component of net operating assets.
Financing leverage levers ROE according to the financing leverage equation:

The two leverage effects can be combined into one equation:

The drivers of the two leverage effects are in the respective leverage equations.