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RAN-AZ900-00025
Ranvier · AZ900

Exam AZ900 Topics: cloud-concepts Difficulty: hard

A company is closing its aging datacenter and moving entirely to the cloud. Its finance lead must classify each cost as CapEx or OpEx, using the definitions from cloud budgeting. Which classification is accurate?

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  1. A. Buying servers, network hardware, and datacenter space is CapEx; the monthly bills for cloud services consumed are OpEx
  2. B. Buying servers, network hardware, and datacenter space is OpEx; renting cloud capacity is CapEx
  3. C. Both the hardware purchases and the cloud bills are CapEx, since both are IT costs
  4. D. Both the hardware purchases and the cloud bills are OpEx, since both are paid over time
Reveal answer

Correct answer: Buying servers, network hardware, and datacenter space is CapEx; the monthly bills for cloud services consumed are OpEx

Reference: https://learn.microsoft.com/en-us/training/modules/describe-cloud-compute/6-describe-consumption-based-model/

02 — The Myelin Layer · Canonical Discussion

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Official Answer (A): Buying servers, network hardware, and datacenter space is CapEx; the monthly bills for cloud services consumed are OpEx

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