What is a company that is moving as much of its business as possible into Microsoft Azure trying to minimize?

Question

Options

• Acapital expenses
• Boperating expenses
• Csecurity exposure
• Doperating expenses and capital expenses

• B
  95% (18)
• C
  5% (1)

Explanation

Moving to Azure shifts a company from owning and maintaining its own infrastructure to consuming IT as a managed service, which dramatically cuts the day-to-day costs of running systems - staff, hardware maintenance, power, cooling, and licensing management - all of which are operating expenses.

Why the distractors are wrong:

• A (capital expenses): Cloud does reduce CapEx (no servers to purchase), but the primary driver of a "move everything to Azure" strategy is eliminating ongoing operational overhead, not just upfront purchases.
• C (security exposure): Azure adds security tooling, but migrating to cloud can introduce new attack surfaces; minimizing security exposure is a benefit, not the core motivation for this type of migration.
• D (both CapEx and OpEx): While both are reduced to some degree, the defining economic argument for cloud-first strategies centers on reducing recurring operational costs, making B the more precise answer.

Memory tip: Think of "Operating = Ongoing." Azure handles the ongoing work (maintenance, updates, staffing), so the company's ongoing (operating) expenses shrink. CapEx is a one-time purchase concern; OpEx is the daily-running-cost concern that cloud directly targets.

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