Well, almost. A good pedantic definition would show how to see i/o rates as a percentage of maximum possible. And if those numbers were quite high and the CPU part was in the i/o loop (r/w, then compute, repeat) then indeed i/o bound. No amount of work on the CPU part will appreciably drive down absolute time. If the CPU part is only after i/o the CPU improvements can at most only help relatively little but at least CPU delays isn't making i/o artificially slower by delaying when new i/o can start.

What's a little misleading in the example is that the problem setup already is a half answer. In complex commercial apps just arriving at an apportionment of 5 and .05 for some narrow set of use cases is already an achievement.

If we see 5 and .05 comes in the mixed case (CPU in the i/o loop) then there is a choice on what to fix to drive down absolute time. If the numbers are not so skewed it may take more debugging to suss out what's going on. Here it is obvious with givens.

If apart we conclude the i/o is slow (pedantically i/o bound) and there's no engineering need to figure out where labor needs to go. Here it's pointless to wonder about CPU or memory.

The emphasis in sum is on the management end: our system slow. But what are we going to fix and why.