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ACCA Applied Skills · Performance Management · Uses and control of information

A retailer with sharp seasonal peaks in online sales is evaluating cloud computing instead of buying more servers. Which of the following is the most significant benefit of cloud computing for this retailer's situation?

Scalability is the key benefit. Cloud services let the retailer expand capacity during seasonal peaks and reduce it afterwards, paying only for what is used rather than buying servers that sit idle. The other options overstate cloud benefits, since security duties remain and internet connectivity and availability remain risks.

  1. AElimination of all data security and compliance responsibilities
  2. BScalability, allowing capacity to be increased or reduced quickly and paid for according to useCorrect
  3. CA guarantee that the system will never be unavailable
  4. DComplete freedom from reliance on internet connectivity

Explanation

Cloud services offer elasticity, so a business with seasonal peaks can add capacity at busy times and release it afterwards, paying for what it uses and converting fixed costs into variable costs. The company still retains responsibility for data protection and compliance. Cloud services depend on internet access and cannot guarantee zero downtime.

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