Multiple choice

In acquiring new mainframe hardware, an organization

  1. May choose to rent a machine since this is least expensive acquisition method

  2. May buy the equipment to reduce the risk of technological obsolescence

  3. May lease a machine in order to avoid a large purchase price

  4. May choose to build its own system from bins of integrated circuits
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Leasing is a common financial strategy for organizations to acquire expensive mainframe hardware without the large upfront capital expenditure of a full purchase.

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