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    PracticeAzure Fundamentals (AZ-900)Azure Fundamentals AZ-900 Practice Exam 7Question 14
    Easy1 markMultiple Choice
    Domain 1.4: Additional Cloud ConceptsCloud ConceptsEconomies of Scale

    AZ-900 · Question 14 · Domain 1.4: Additional Cloud Concepts

    What cloud concept describes the ability of cloud providers to offer services at a lower cost due to their massive scale of operations?

    Answer options:

    A.

    Elasticity

    B.

    Economies of scale

    C.

    High availability

    D.

    Agility

    How to approach this question

    Identify the economic principle where buying in bulk reduces the cost per unit.

    Full Answer

    B.Economies of scale✓ Correct
    Economies of scale is the concept that a larger operation can do things more efficiently and at a lower cost per unit than a smaller operation. Cloud providers pass these savings on to customers.

    Common mistakes

    Confusing economies of scale with elasticity. Elasticity is a technical feature; economies of scale is an economic benefit.
    Question 13All questionsQuestion 15

    Practice the full Azure Fundamentals AZ-900 Practice Exam 7

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