What condition would terminate the permanence of a digital asset?

Prepare for the CIMA Managing Finance in a Digital World (E1) Exam. Use multiple choice questions and study aids to enhance your knowledge. Get exam-ready with our insights and tips!

Multiple Choice

What condition would terminate the permanence of a digital asset?

Explanation:
Permanence of a digital asset hinges on the asset continuing to exist somewhere in the system, whether in active use or in backups. Deleting every copy eliminates all instances of the asset—no file remains, no backup, nothing to reference—so the asset can no longer be considered permanent. Revoking a license affects access rights, not the underlying file itself; the asset can still exist in storage and potentially be used by someone with the proper rights. Upgrading creates a newer version while the original may still be stored, so permanence isn’t terminated by the act of upgrading. Moving the file to cold storage makes it dormant but does not destroy it, so permanence persists.

Permanence of a digital asset hinges on the asset continuing to exist somewhere in the system, whether in active use or in backups. Deleting every copy eliminates all instances of the asset—no file remains, no backup, nothing to reference—so the asset can no longer be considered permanent.

Revoking a license affects access rights, not the underlying file itself; the asset can still exist in storage and potentially be used by someone with the proper rights. Upgrading creates a newer version while the original may still be stored, so permanence isn’t terminated by the act of upgrading. Moving the file to cold storage makes it dormant but does not destroy it, so permanence persists.

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