ECONOMICS

Detailed explanation-1: -The burn rate represents the speed at which an unprofitable company consumes its cash reserves. In the case of a startup company, it is the rate at which a new company is spending its venture capital to finance overhead before generating positive cash flow from operations. Thus, it is a measure of negative cash flow.

Detailed explanation-2: -Burn rate is used to describe how quickly a company is spending its cash reserves to cover overhead costs. It is also a measure of negative cash flow, usually expressed as the amount of cash spent per month.

Detailed explanation-3: -Burn rate is a common performance metric used to describe the rate at which a company is losing money. If a business has a high burn rate, that means it is rapidly burning through cash-this can potentially lead to a negative budget and project failure.

Detailed explanation-4: -Net Burn Rate is the rate at which a company is losing money. It is calculated by subtracting its operating expenses from its revenue. It is also measured on a monthly basis. It shows how much cash a company needs to continue operating for a period of time.