A company that elects to use a "hosted" application rather than to purchase the software application and host it on its own equipment,is making use of a(n)application service provider (or ASP).

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This statement is true. When a company uses a hosted application, it means that they are accessing the software application through a third-party provider, also known as an application service provider (ASP), rather than hosting it on their own equipment.

A Company That Elects to Use a "Hosted" Application Rather