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Assertion (A): A committed use discount is not always the cheaper option.
Reason (R): The commitment is paid for whether or not the capacity is actually used.

  • A.A is false but R is true
  • B.Both A and R are true, and R is the correct explanation of A
  • C.Both A and R are true, but R is not the correct explanation of A
  • D.A is true but R is false

Answer: B

Both are true and the reason gives the risk, and a commitment sized to a workload that later shrinks costs more than on demand would have. Sizing the commitment to the reliable baseline rather than to the peak is the usual advice.

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