Which financial model allows a company to pay only for the computing resources they use, rather than buying physical servers upfront?

Answer options:

Capital Expenditure (CapEx)

Operational Expenditure (OpEx)

Fixed Cost Model

Depreciation Model

How to approach this question

Identify the financial term associated with pay-as-you-go cloud services.

Full Answer

B.Operational Expenditure (OpEx)✓ Correct

Cloud computing shifts IT spending from Capital Expenditure (CapEx - buying servers) to Operational Expenditure (OpEx - paying for what you consume monthly).

Common mistakes

Reversing CapEx and OpEx definitions.

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Practice the full Azure Fundamentals AZ-900 Practice Exam 1

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Which financial model allows a company to pay only for the computing resources they use, rather than buying physical servers upfront?

How to approach this question

Full Answer

Common mistakes

Practice the full Azure Fundamentals AZ-900 Practice Exam 1

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