Which of the Following Statements Is True About the Cloud

question 14

Multiple Choice

Which of the following statements is true about the cloud?

• A) Cloud vendors dynamically allocate physical servers as customer needs vary.
• B) The amount of resources that is leased out to organizations is decided by their lease contracts.
• C) Organizations that use cloud services share hardware through virtualization.
• D) Every organization that uses cloud services is allotted only one virtual machine.

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Definitions:

Absorption Costing

An approach for assigning costs to a product that integrates all aspects of manufacturing expenses, from direct materials and labor to both types of overheads - fixed and variable.

Direct Materials

Direct materials are raw materials that can be directly attributed to the production of specific goods or services.

Variable Overhead

Costs that change in proportion to the level of production or business activity, such as utilities or raw materials.

Variable Cost

Expenses that vary in direct proportion to changes in the level of production or sales volume.