Which of the Following Is NOT a Risk Involved with Using

question 36

Multiple Choice

Which of the following is NOT a risk involved with using an application service provider?

• A)Sensitive information could be compromised.
• B)The ASP could be incapable of keeping its servers and network up and running consistently.
• C)A disaster could disable the ASP's data centre.
• D)The software provided by the ASP may be out of date.

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Definitions:

Marginal Revenue

The additional income earned from selling one more unit of a good or service; it's a crucial concept for understanding how firms decide on output levels.

Purely Competitive Industry

An industry characterized by a large number of small firms producing identical products with no single firm able to influence the market price.

Purely Competitive Market

A market structure characterized by a large number of small firms, a homogeneous product, perfect information, and ease of entry and exit, leading to price-taking behavior.

Barriers to Entry

Factors that prevent or impede the ability of a new competitor to enter an industry and compete with existing firms.