Which of the following best describes a Local Area Network (LAN)?

A Local Area Network (LAN) is defined as a network that operates within a limited geographical area, typically confined to a single building or a group of nearby buildings, such as a home, school, or small business. The primary function of a LAN is to facilitate communication and resource sharing among devices in close proximity, allowing for faster data transmission rates due to the shorter distances involved. This setup is ideal for connecting devices like computers, printers, and other peripherals within a localized space, enabling efficient communication and collaboration.

The other options describe different types of networks. Networks that cover large outdoor areas pertain more to Wide Area Networks (WANs), which connect larger geographic distances but are not suitable for the confined spaces that LANs serve. Similarly, networks that connect entire cities can be classified as Metropolitan Area Networks (MANs), which encompasses a broader area than a LAN. Lastly, a system connecting multiple regional networks resembles the function of a WAN rather than a LAN, as it supports connectivity over extensive geographic regions.