Explanation
Traffic shaping retains excess packets in a queue and then schedules the excess for later transmission over increments of time. The result of traffic shaping is a smoothed packet output rate.

The "enable secret" password is always encrypted (independent of the "service password- encryption" command) using MD5 hash algorithm. The "enable password" does not encrypt the password and can be view in clear text in the running-config. In order to encrypt the "enable password", use the "service password-encryption" command. This command will encrypt the passwords by using the Vigenere encryption algorithm. Unfortunately, the Vigenere encryption method is cryptographically weak and trivial to reverse.
The MD5 hash is a stronger algorithm than Vigenere so answer D is correct.

Explanation/Reference: https://www.ciscolive.com/c/dam/r/ciscolive/emea/docs/2018/pdf/BRKCRS-2112.pdf page 8.

Explanation
On premise: customizable,specific requirements,resources
Cloud: scale, built-in automated backup, strong stable internet