“Am I able to access the web, download a xFAT32 file, format a USB drive, and transfer said file to USB drive with this Chromebook? Never used a chromebook before.”
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It looks like it won't work in some situations.Chromebooks only format to FAT32, which has a maximum single file size of 4 gigabytes. Files that are exFAT32 can be much larger, but if the file you're looking at is less than 4 gigabytes, it should work just fine.
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