Which type of storage holds data remotely from the CPU and retains it when the computer is off?

Study for the Praxis II Business Education – Content Knowledge (5101) Test. Enhance your business acumen with flashcards and multiple choice questions. Each question includes detailed hints and explanations to ensure thorough understanding. Prepare effectively for your exam!

The correct choice is secondary storage because it refers to storage devices that hold data remotely from the CPU and can retain the information even when the power is turned off. Secondary storage includes hard drives, solid-state drives, CDs, and USB flash drives, which are non-volatile memory types. This means that the data stored in these devices remains intact regardless of the computer's power state, making it ideal for long-term data retention and backup.

Primary storage, in contrast, includes RAM (random access memory), which is volatile and loses its content when the computer is powered down. Cache memory, another form of primary storage, is used for faster data access but is also volatile, storing data temporarily to speed up the processing tasks of the CPU. Virtual memory involves using a portion of the hard drive as temporary memory to assist with multitasking but does not serve as a separate storage solution in the way secondary storage does.

In summary, secondary storage's defining characteristic is its ability to retain data independently of the computer’s power status, which accurately aligns with the question's requirements.

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