Final answer:
The statement that an application server may reside on the same computer as a web server or on its own dedicated computer is TRUE. These servers can coexist on one machine or operate separately depending on the organization's needs and resources. The setup is flexible to optimize performance for each server.
Step-by-step explanation:
An application server may indeed reside on the same computer as a web server or on its own dedicated computer. The statement is TRUE. An application server is a framework, which provides an environment where applications can run, no matter what they are or what functions they perform. It's common in many organizational setups to have the application server and the web server on separate machines to optimize performance for each server's respective tasks. Web servers mainly deal with serving content to the web, while an application server deals more with providing business logic, application connectivity, and dynamic content creation.
That said, in smaller setups or less resource-intensive scenarios, both servers may coexist on the same machine. This consolidation is mostly about resource management and optimization, depending on the specific needs and traffic expectations of the organization. Thus, based on the requirements, the setup of application and web servers can be quite flexible.