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Meridian Textiles Ltd. moves its payroll software from servers in its own office to a provider that hosts the application over the internet. Employees log in through a browser, and the provider manages the servers, operating system and application, charging a monthly subscription per user. Which cloud service model does this arrangement represent?

The arrangement is Software as a Service. The provider manages servers, operating system and the application itself, and users simply access it through a browser for a subscription fee. IaaS and PaaS leave the customer responsible for the operating system or application layers.

  1. AInfrastructure as a Service (IaaS)
  2. BPlatform as a Service (PaaS)
  3. CSoftware as a Service (SaaS)Correct
  4. DPrivate on-premises hosting

Explanation

In SaaS the provider runs the entire stack and delivers a ready application through a browser on a subscription basis. IaaS would give only virtual machines and storage, leaving the OS and application to the customer. PaaS would supply a development and runtime environment, not a finished payroll application.

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