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which of the following indicates how long a business can operate before…

Question

which of the following indicates how long a business can operate before it must generate new revenue? current ratio runway inflation rate

Explanation:

Brief Explanations
  • Current ratio measures a company's ability to pay short - term obligations (current assets/current liabilities), not the time to generate new revenue.
  • Runway in business terms refers to the length of time a business can operate with its available funds before it needs to generate new revenue.
  • Inflation rate is about the rate of increase in prices of goods and services, not related to a business's operational time before new revenue generation.

Answer:

B. runway