Practice questions
1 On-Demand Instances
A company runs a short-term application with unpredictable usage and cannot commit to a long-term contract. Which Amazon EC2 purchasing option is the BEST fit?
- AOption A: On-Demand Instances
- BOption B: Standard Reserved Instances with a 3-year term
- COption C: Dedicated Hosts
- DOption D: Compute Savings Plans with a 1-year commitment
Show answer and explanation
Answer: A. On-Demand Instances let you pay for compute capacity by the second or hour with no long-term commitment, which suits short-term or unpredictable workloads.
Why the other options are wrong
- B. A 3-year Reserved Instance is a long-term commitment suited to steady usage.
- C. Dedicated Hosts are physical servers for your use, typically for licensing or compliance needs, and cost more.
- D. Savings Plans require a 1- or 3-year commitment to a spend level.
2 Spot Instances
A company runs fault-tolerant batch jobs that can be interrupted and restarted. Which Amazon EC2 option offers the LOWEST cost for this workload?
- AOption A: Spot Instances
- BOption B: On-Demand Instances
- COption C: Standard Reserved Instances
- DOption D: Dedicated Hosts
Show answer and explanation
Answer: A. Spot Instances use spare EC2 capacity at discounts of up to 90% compared with On-Demand prices. AWS can reclaim the capacity with short notice, so the workload must tolerate interruption.
Why the other options are wrong
- B. On-Demand costs more than Spot for the same instance.
- C. Reserved Instances suit steady-state workloads and commit you to a term.
- D. Dedicated Hosts are dedicated physical servers and cost more.
3 Savings Plans
A company has steady compute usage and is willing to commit to a consistent amount of spend for 1 or 3 years. It wants flexibility to change instance families and Regions. Which option fits BEST?
- AOption A: Compute Savings Plans
- BOption B: Standard Reserved Instances
- COption C: Spot Instances
- DOption D: On-Demand Instances
Show answer and explanation
Answer: A. Compute Savings Plans trade a commitment to an hourly spend for lower prices, and they apply automatically across instance families, sizes, and Regions. They also cover AWS Fargate and AWS Lambda usage.
Why the other options are wrong
- B. Standard Reserved Instances are tied to specific attributes such as instance family and Region, so they are less flexible.
- C. Spot capacity can be interrupted and does not involve a commitment.
- D. On-Demand has no commitment and no discount.
4 Data transfer pricing
Which data transfer is generally free of charge on AWS?
- AOption A: Data transferred in from the internet to AWS
- BOption B: Data transferred out from AWS to the internet
- COption C: Data transferred between AWS Regions
- DOption D: Data transferred between Availability Zones
Show answer and explanation
Answer: A. Data transfer into AWS from the internet is generally free. Data transfer out to the internet is charged beyond a small free allowance, and traffic between Regions is charged.
Why the other options are wrong
- B. Outbound transfer to the internet is charged per GB after a free allowance.
- C. Inter-Region transfer is charged.
- D. Traffic that crosses AZ boundaries is generally charged. Traffic within the same AZ over private IP addresses is free.
5 Cost analysis
Which AWS service lets a company visualize, understand, and forecast its AWS costs and usage over time?
- AOption A: AWS Cost Explorer
- BOption B: AWS Budgets
- COption C: AWS Pricing Calculator
- DOption D: AWS Config
Show answer and explanation
Answer: A. AWS Cost Explorer provides graphs and reports of past spend and usage and can forecast future costs.
Why the other options are wrong
- B. AWS Budgets sets thresholds and alerts you when actual or forecast costs exceed them.
- C. The Pricing Calculator estimates the cost of workloads you have not deployed yet.
- D. AWS Config tracks resource configuration changes.
6 Cost alerts
A company wants an email alert when its monthly AWS spend is forecast to exceed $500. Which service should it use?
- AOption A: AWS Budgets
- BOption B: AWS Cost Explorer
- COption C: AWS CloudTrail
- DOption D: AWS Trusted Advisor
Show answer and explanation
Answer: A. AWS Budgets lets you set cost or usage thresholds and sends notifications when actual or forecast values cross them.
Why the other options are wrong
- B. Cost Explorer analyzes spend, but it does not send threshold alerts by itself.
- C. CloudTrail records API activity in the account.
- D. Trusted Advisor provides best-practice recommendations.
7 Estimating costs
A company wants to estimate the monthly cost of a new architecture before deploying it. Which tool should it use?
- AOption A: AWS Pricing Calculator
- BOption B: AWS Cost Explorer
- COption C: AWS Budgets
- DOption D: AWS Cost and Usage Report
Show answer and explanation
Answer: A. The AWS Pricing Calculator lets you model services and configurations to estimate what a workload will cost before you build it.
Why the other options are wrong
- B. Cost Explorer shows costs you have already incurred and forecasts from that usage.
- C. AWS Budgets tracks spend against thresholds you set.
- D. The Cost and Usage Report is the most detailed dataset of costs and usage you have already incurred.
8 Cost allocation tags
A company wants to see its AWS costs broken down by project. What should it do?
- AOption A: Apply cost allocation tags to resources and activate them in the billing console
- BOption B: Enable AWS Config on all accounts
- COption C: Purchase Reserved Instances
- DOption D: Enable Amazon GuardDuty
Show answer and explanation
Answer: A. Once a tag such as project is activated as a cost allocation tag, it appears in Cost Explorer and cost reports so you can group costs by it.
Why the other options are wrong
- B. AWS Config records configurations. It does not allocate costs.
- C. Reserved Instances can lower cost, but they do not break down spend by project.
- D. GuardDuty detects security threats.
9 Consolidated billing
Which AWS Organizations feature combines usage from all member accounts into one bill and can qualify the accounts for volume pricing discounts?
- AOption A: Consolidated billing
- BOption B: Service control policies (SCPs)
- COption C: Organizational units (OUs)
- DOption D: AWS IAM Identity Center
Show answer and explanation
Answer: A. Consolidated billing gives a single bill for all accounts in an organization. Combined usage can reach volume discount tiers, and Reserved Instance and Savings Plans discounts can be shared across accounts.
Why the other options are wrong
- B. SCPs set permission guardrails on accounts. They do not affect billing.
- C. OUs group accounts for management and policies.
- D. IAM Identity Center provides workforce sign-in to accounts and applications.
10 AWS Trusted Advisor
Which AWS tool inspects an AWS environment and gives recommendations in areas such as cost optimization, performance, security, fault tolerance, and service quotas?
- AOption A: AWS Trusted Advisor
- BOption B: AWS Cost Explorer
- COption C: AWS Health Dashboard
- DOption D: AWS Artifact
Show answer and explanation
Answer: A. AWS Trusted Advisor checks your account against AWS best practices and recommends actions. The full set of checks is available with paid Support plans.
Why the other options are wrong
- B. Cost Explorer covers only cost and usage.
- C. The AWS Health Dashboard shows service events and issues that affect your resources. It does not give best-practice recommendations.
- D. AWS Artifact provides compliance reports and agreements.
11 AWS Support plans
Which AWS Support plan is included with every AWS account at no additional charge?
- AOption A: Basic Support
- BOption B: Business Support+
- COption C: Enterprise Support
- DOption D: Unified Operations
Show answer and explanation
Answer: A. Basic Support is free for all accounts. It includes account and billing support, documentation and whitepapers, community support through AWS re:Post, and the AWS Health Dashboard. Technical support cases require a paid plan.
Why the other options are wrong
- B. Business Support+ is a paid plan that adds 24/7 technical support.
- C. Enterprise Support is a paid plan that adds a designated Technical Account Manager.
- D. Unified Operations is the paid top tier for mission-critical workloads.
12 AWS Marketplace
Which AWS resource is a digital catalog where a company can find, buy, and deploy third-party software and services?
- AOption A: AWS Marketplace
- BOption B: AWS Artifact
- COption C: AWS re:Post
- DOption D: AWS Health Dashboard
Show answer and explanation
Answer: A. AWS Marketplace lists software, data, and services from independent vendors, and the charges appear on your AWS bill.
Why the other options are wrong
- B. AWS Artifact provides compliance reports and agreements.
- C. AWS re:Post is a community Q&A service for AWS questions.
- D. The AWS Health Dashboard gives a personalized view of AWS service events.
What Domain 4 covers on the CLF-C02
Pricing models
Know when to use On-Demand, Reserved Instances, Savings Plans, Spot Instances, and Dedicated Hosts. The pattern is pay as you go, save when you commit, and pay less as you use more. Also know that data transfer into AWS is generally free while transfer out to the internet is charged.
Billing, budgeting, and cost management
AWS Cost Explorer for analysis and forecasting, AWS Budgets for threshold alerts, the AWS Pricing Calculator for estimates, the Cost and Usage Report for detailed data, cost allocation tags for grouping costs, and consolidated billing in AWS Organizations.
Technical resources and AWS Support
AWS Support plans, AWS Trusted Advisor, the AWS Health Dashboard, AWS re:Post, the AWS Knowledge Center, AWS Marketplace, and the AWS Partner Network. Basic Support is free for every account and paid plans add technical support. Enterprise-level support adds a designated Technical Account Manager. AWS restructured its paid plans in late 2025 (Business Support+, Enterprise Support, and Unified Operations), so older study material may use the earlier plan names.
How to use these questions
Make a two-column table of pricing models: when you use it and what you give up. Then match each cost tool to its verb: Cost Explorer analyzes, Budgets alerts, Pricing Calculator estimates.
Practice the other domains
The exam covers four domains. See all CLF-C02 practice questions by domain, or continue with one of these:
- CLF-C02 Cloud Concepts practice questions
Domain 1, about 24% of the exam, 15 questions
Benefits of the cloud, the Well-Architected Framework, migration strategies, and cloud economics.
- CLF-C02 Security and Compliance practice questions
Domain 2, about 30% of the exam, 15 questions
The shared responsibility model, IAM, security services such as GuardDuty and Inspector, and compliance resources.
- CLF-C02 Cloud Technology and Services practice questions
Domain 3, about 34% of the exam, 15 questions
Global infrastructure, compute, storage, databases, networking, and AI services. The largest domain.
Keep practicing
Learn730 has 200 CLF-C02 practice questions across all four domains, 134 flashcards, and a beginner Cloud 101 section. A timed simulation exam is coming.