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layer 4 - transport layer

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Q: Which layer of the OSI model creates a virtual circuit between hosts?
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Explain the Concept of multi-protocol encapsulation in ATM networks?

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Not a whole answer but a small try :)In a Datagram Network, there's no "network-layer-connection" between the two hosts. So Theres no garuanteed bandwith and the packets may take different paths.In a Virutal Circuit network, its oppositly and a connection is established.------------------------------------------------------------------------------------------------------------ •There are a number of important differences between virtual circuit and datagram networks. •The choice strongly impacts complexity of the different types of node.•Use of datagrams between intermediate nodes allows relatively simple protocols at this level,-but at the expense of making the end (user) nodes more complex when end-to-end virtual circuit service is desired.•The Internet transmits datagrams between intermediate nodes using IP. •Most Internet users need additional functions such as end-to-end error and sequence control to give a reliable service (equivalent to that provided by virtual circuits).•This reliablility may be provided by-the Transmission Control Protocol (TCP) which is used end-to-end across the Internet,-or by applications such as the trivial file transfer protocol (tftp) running on top of the User Datagram Protocol (UDP).