In Co-Location, a Firm

question 1

Multiple Choice

In co-location, a firm:

• A) purchases and owns its web server but locates the server in the physical facility of a hosting service.
• B) contracts with an external vendor to run its computer center and networks.
• C) off-loads peak demand for computing power to remote, large-scale data centers.
• D) utilizes an external, distributed computing grid.
• E) uses only open source software to operate its computer systems.

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Definitions:

Limited Liability

A legal structure that limits the personal financial risk for shareholders of a company to the amount they invested in the company.

Trade Deficits

An economic condition that occurs when a country imports more goods and services than it exports.

National Debt

The total amount of money that a country's government has borrowed, usually as a result of deficit spending.

Recession

A period of temporary economic decline during which trade and industrial activities are reduced, generally identified by a fall in GDP in successive quarters.