It is a cache that has a fixed number of locations (at least two) where each block can be placed.
In a two-way set-associative cache, there would be four sets, and memory block 12 must be in set “12 modulo 4=0;” the memory block could be in either element of the set because
(Block #) modulo (# of sets in cache)  | 
  
    
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     “My soul is in the sky.”      ― William Shakespeare, A Midsummer Night’s Dream  |