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Exam SY0-701 topic 1 question 567 discussion

Actual exam question from CompTIA's SY0-701
Question #: 567
Topic #: 1
[All SY0-701 Questions]

A company has yearly engagements with a service provider. The general terms and conditions are the same for all engagements. The company wants to simplify the process and revisit the general terms every three years. Which of the following documents would provide the best way to set the general terms?

  • A. MSA
  • B. NDA
  • C. MOU
  • D. SLA
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Suggested Answer: A 🗳️

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1 day, 13 hours ago
Selected Answer: A
A. MSA (Master Service Agreement) Explanation: An MSA (Master Service Agreement) is a contract that establishes the general terms and conditions for an ongoing or long-term relationship between a company and a service provider. It typically covers standard terms for multiple engagements or projects and can be revisited periodically, as in the case described (every three years), without needing to renegotiate the entire agreement each time. Breakdown of the other options: B. NDA (Non-Disclosure Agreement): An NDA is focused on protecting confidential information and does not typically govern the general terms of a business relationship. C. MOU (Memorandum of Understanding): An MOU is a non-binding document that outlines the intent to collaborate but is not typically used for establishing the detailed terms of service. D. SLA (Service Level Agreement): An SLA defines the specific performance metrics, deliverables, and quality standards for services provided but is usually a more detailed agreement tied to specific engagements, not a general framework for the entire relationship.
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