How do LAN and WAN differ?

The distinction between LAN (Local Area Network) and WAN (Wide Area Network) is primarily based on the geographic coverage of each network type. LAN is typically confined to a smaller area, such as a single building or a group of nearby buildings, which allows for high-speed data transfer among connected devices. In contrast, WAN covers much larger geographical areas, often spanning cities, countries, or even globally, connecting multiple LANs together. This difference in coverage is fundamental to understanding the functional scope of each network type, as it influences the design, performance, and use cases for both LANs and WANs.

In terms of speed, LANs are often faster than WANs due to their localized nature and the technologies used to create them, making option A incorrect. While LANs can sometimes involve complex hardware setups, they typically do not require more complex hardware than WAN, making option C less accurate. Moreover, LANs can be wired or wireless, so the idea that LANs are used "exclusively for wireless connections" is misleading, which invalidates option D. Understanding these differences helps highlight the specific uses and benefits of each network type in various business contexts.