Billing and Pricing Flashcards

1
Q

A startup wants to provision an EC2 instance for the lowest possible cost for a long-term duration but needs to make sure that the instance would never be interrupted. As a Cloud Practitioner, which of the following options would you recommend?

A. EC2 Reserved Instance (RI)
B. EC2 Dedicated Host
C. EC2 Sot Instance
D. EC2 On-Demand Instance

A

A. EC2 Reserved Instance (RI)

Explanation
Correct option:

EC2 Reserved Instance (RI)

An EC2 Reserved Instance (RI) provides you with significant savings (up to 75%) on your Amazon EC2 costs compared to On-Demand Instance pricing. A Reserved Instance (RI) is not a physical instance, but rather a billing discount applied to the use of On-Demand Instances in your account. You can purchase a Reserved Instance (RI) for a one-year or three-year commitment, with the three-year commitment offering a bigger discount. A reserved instance (RI) cannot be interrupted. So this is the correct option.

EC2 Pricing Options Overview: via - https://aws.amazon.com/ec2/pricing/

Incorrect options:

EC2 On-Demand Instance - An EC2 On-Demand Instance is an instance that you use on-demand. You have full control over its lifecycle — you decide when to launch, stop, hibernate, start, reboot, or terminate it. There is no long-term commitment required when you purchase On-Demand Instances. There is no upfront payment and you pay only for the seconds that your On-Demand Instances are running. The price per second for running an On-Demand Instance is fixed. On-demand instances cannot be interrupted. However, On-demand instances are not as cost-effective as Reserved instances, so this option is not correct.

EC2 Spot Instance - An EC2 Spot Instance is an unused EC2 instance that is available for less than the On-Demand price. Because Spot Instances enable you to request unused EC2 instances at steep discounts (up to 90%), you can lower your Amazon EC2 costs significantly. Spot Instances are well-suited for data analysis, batch jobs, background processing, and optional tasks. These can be terminated at short notice, so these are not suitable for critical workloads that need to run at a specific point in time. So this option is not correct for the given use-case.

EC2 Dedicated Host - An Amazon EC2 Dedicated Host allows you to use your eligible software licenses from vendors such as Microsoft and Oracle on Amazon EC2 so that you get the flexibility and cost-effectiveness of using your licenses, but with the resiliency, simplicity, and elasticity of AWS. An Amazon EC2 Dedicated Host is a physical server fully dedicated for your use, so you can help address corporate compliance requirement. It is not cost-efficient compared to an On-Demand instance. So this option is not correct.

Reference:

https://aws.amazon.com/ec2/pricing/

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2
Q

An intern at an IT company provisioned a Linux based On-demand EC2 instance with per-second billing but terminated it within 30 seconds as he wanted to provision another instance type. What is the duration for which the instance would be charged?

A. 30 seconds
B. 300 seconds
C. 60 seconds
D. 600 seconds

A

C 60 Seconds

Explanation
Correct option:

60 seconds - There is a one-minute minimum charge for Linux based EC2 instances, so this is the correct option.

Incorrect options:

30 seconds

300 seconds

600 seconds

These three options contradict the details provided earlier in the explanation, so these options are incorrect.

Reference:

https://aws.amazon.com/blogs/aws/new-per-second-billing-for-ec2-instances-and-ebs-volumes/

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3
Q

Which AWS Support plan provides architectural guidance contextual to your specific use-cases?

A. AWS Enterprise Support
B. AWS Developer Support
C. AWS Business Support
D. AWS Enterprise On-Ramp Support

A

C. AWS Business Support

Explanation
Correct option:

AWS Business Support - You should use AWS Business Support if you have production workloads on AWS and want 24x7 phone, email and chat access to technical support and architectural guidance in the context of your specific use-cases. You get full access to AWS Trusted Advisor Best Practice Checks. You also get access to Infrastructure Event Management for an additional fee.

Incorrect options:

AWS Developer Support - You should use AWS Developer Support if you are testing or doing early development on AWS and want the ability to get email-based technical support during business hours as well as general architectural guidance as you build and test. This plan only supports general architectural guidance.

AWS Enterprise Support - AWS Enterprise Support provides customers with concierge-like service where the main focus is helping the customer achieve their outcomes and find success in the cloud. With Enterprise Support, you get 24x7 technical support from high-quality engineers, tools and technology to automatically manage the health of your environment, consultative review and guidance based on your applications, and a designated Technical Account Manager (TAM) to coordinate access to proactive/preventative programs and AWS subject matter experts. This plan supports architectural guidance contextual to your application.

AWS Enterprise On-Ramp Support - You should use the AWS Enterprise On-Ramp Support plan if you have production/business critical workloads in AWS and want 24x7 access to technical support and need expert guidance to grow and optimize in the Cloud. This plan supports architectural guidance contextual to your application (one per year).

Reference:

https://aws.amazon.com/premiumsupport/plans/

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4
Q

The DevOps team at an IT company is moving 500 GB of data from an EC2 instance to an S3 bucket in the same region. Which of the following scenario captures the correct charges for this data transfer?

A. The company would only be charged for the outbound data transfer from EC2 instance
B. THe company would be charged for both the outbound data transfer from EC2 instace as well as the inbound data transfer into the S3
C. The company would not be charged for this data transfer
D. The company would only be charged for the inbound data transfer into the S3 bucket

A

C. The company would not be charged for this data transfer

Explanation
Correct option:

The company would not be charged for this data transfer

There are three fundamental drivers of cost with AWS: compute, storage, and outbound data transfer. In most cases, there is no charge for inbound data transfer or data transfer between other AWS services within the same region. Outbound data transfer is aggregated across services and then charged at the outbound data transfer rate.

Per AWS pricing, data transfer between S3 and EC2 instances within the same region is not charged, so there would be no data transfer charge for moving 500 GB of data from an EC2 instance to an S3 bucket in the same region.

Incorrect options:

The company would only be charged for the outbound data transfer from EC2 instance

The company would only be charged for the inbound data transfer into the S3 bucket

The company would be charged for both the outbound data transfer from EC2 instance as well as the inbound data transfer into the S3 bucket

These three options contradict the details provided earlier in the explanation, so these options are incorrect.

References:

https://aws.amazon.com/s3/pricing/

https://d0.awsstatic.com/whitepapers/aws_pricing_overview.pdf

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5
Q

Which of the following AWS services support reservations to optimize costs? (Select three)

A. Amazon Elastic Compute Cloud (Amazon EC2)
B. Amazon DynamoDB
C. Amazon Relational Database Service (Amazon RDS)
D. Amazon DocumentDB
E. Amazon Lambda
F. Amazon Simple Storage Service (Amazon S3)

A

A. Amazon Elastic Compute Cloud (Amazon EC2)
B. Amazon DynamoDB
C. Amazon Relational Database Service (Amazon RDS)

Explanation
Correct options:

Amazon Elastic Compute Cloud (Amazon EC2)

Amazon DynamoDB

Amazon Relational Database Service (Amazon RDS)

The following AWS services support reservations to optimize costs:

Amazon EC2 Reserved Instances (RI): You can use Amazon EC2 Reserved Instances (RI) to reserve capacity and receive a discount on your instance usage compared to running On-Demand instances.

Amazon DynamoDB Reserved Capacity: If you can predict your need for Amazon DynamoDB read-and-write throughput, Reserved Capacity offers significant savings over the normal price of DynamoDB provisioned throughput capacity.

Amazon ElastiCache Reserved Nodes: Amazon ElastiCache Reserved Nodes give you the option to make a low, one-time payment for each cache node you want to reserve and, in turn, receive a significant discount on the hourly charge for that node.

Amazon RDS RIs: Like Amazon EC2 RIs, Amazon RDS RIs can be purchased using No Upfront, Partial Upfront, or All Upfront terms. All Reserved Instance types are available for Aurora, MySQL, MariaDB, PostgreSQL, Oracle, and SQL Server database engines.

Amazon Redshift Reserved Nodes: If you intend to keep an Amazon Redshift cluster running continuously for a prolonged period, you should consider purchasing reserved-node offerings. These offerings provide significant savings over on-demand pricing, but they require you to reserve compute nodes and commit to paying for those nodes for either a 1- or 3-year duration.

Incorrect options:

Amazon DocumentDB - Amazon DocumentDB (with MongoDB compatibility) is a fast, scalable, highly available, and fully managed document database service that supports MongoDB workloads. As a document database, Amazon DocumentDB makes it easy to store, query, and index JSON data.

AWS Lambda - AWS Lambda lets you run code without provisioning or managing servers. You pay only for the compute time you consume.

Amazon Simple Storage Service (Amazon S3) - Amazon Simple Storage Service (Amazon S3) is an object storage service that offers industry-leading scalability, data availability, security, and performance.

None of these AWS services support reservations to optimize costs.

Reference:

https://d0.awsstatic.com/whitepapers/aws_pricing_overview.pdf

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6
Q

Which of the following statement is correct regarding the AWS pricing policy for data transfer charges into or out of an AWS Region?

A. Only outbound data transfer is charged
B. Niether inbound nor outbound data transfers are charged
C. Only inbound data transfer is charged
D. Both inbound and outbound data transfers are charged

A

A. Only outbound data transfer is charged

Explanation
Correct option:

Only outbound data transfer is charged

One of the main benefits of cloud services is the ability it gives you to optimize costs to match your needs, even as those needs change. AWS services do not have complex dependencies or licensing requirements, so you can get exactly what you need to build innovative, cost-effective solutions using the latest technology.

There are three fundamental drivers of cost with AWS: compute, storage, and outbound data transfer. These characteristics vary somewhat, depending on the AWS product and pricing model you choose. Outbound data to the internet from all AWS regions is billed at region-specific, tiered data transfer rates. Inbound data transfer into all AWS regions from the internet is free.

Incorrect options:

Only inbound data transfer is charged

Both inbound data transfer and outbound data transfer are charged

Neither inbound nor outbound data transfer are charged

These three options contradict the explanation provided above, so these options are incorrect.

Reference:

https://d0.awsstatic.com/whitepapers/aws_pricing_overview.pdf

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7
Q

Which AWS service would you use to send alerts when the costs for your AWS account exceed your budgeted amount?

A. AWS Cost Explorer
B. AWS Pricing Calculator
C. AWS Organizations
D. AWS Budgets

A

D. AWS Budgets

Explanation
Correct option:

AWS Budgets

AWS Budgets gives the ability to set custom budgets that alert you when your costs or usage exceed (or are forecasted to exceed) your budgeted amount. You can also use AWS Budgets to set reservation utilization or coverage targets and receive alerts when your utilization drops below the threshold you define. Budgets can be created at the monthly, quarterly, or yearly level, and you can customize the start and end dates. You can further refine your budget to track costs associated with multiple dimensions, such as AWS service, linked account, tag, and others. Budget alerts can be sent via email and/or Amazon Simple Notification Service (Amazon SNS) topic.

AWS Budgets Overview: via - https://aws.amazon.com/aws-cost-management/aws-budgets/

Exam Alert:

It is useful to note the difference between CloudWatch Billing vs AWS Budgets:

CloudWatch Billing Alarms: Sends an alarm when the actual cost exceeds a certain threshold.

AWS Budgets: Sends an alarm when the actual cost exceeds the budgeted amount or even when the cost forecast exceeds the budgeted amount.

Incorrect options:

AWS Cost Explorer - AWS Cost Explorer has an easy-to-use interface that lets you visualize, understand, and manage your AWS costs and usage over time. AWS Cost Explorer includes a default report that helps you visualize the costs and usage associated with your top five cost-accruing AWS services, and gives you a detailed breakdown on all services in the table view. The reports let you adjust the time range to view historical data going back up to twelve months to gain an understanding of your cost trends.

AWS Cost Explorer Reports: via - https://aws.amazon.com/aws-cost-management/aws-cost-explorer/

Exam Alert:

Watch out for questions on AWS Cost Explorer vs AWS Budgets. AWS Budgets can alert you when your costs exceed your budgeted amount. Cost Explorer helps you visualize and manage your AWS costs and usage over time.

AWS Organizations - AWS Organizations helps you centrally govern your environment as you grow and scale your workloads on AWS. Whether you are a growing startup or a large enterprise, Organizations helps you to centrally manage billing; control access, compliance, and security; and share resources across your AWS accounts.

AWS Pricing Calculator - AWS Pricing Calculator lets you explore AWS services and create an estimate for the cost of your use cases on AWS. You can model your solutions before building them, explore the price points and calculations behind your estimate, and find the available instance types and contract terms that meet your needs. This enables you to make informed decisions about using AWS. You can plan your AWS costs and usage or price out setting up a new set of instances and services. AWS Pricing Calculator can be accessed at https://calculator.aws/#/.

Reference:

https://aws.amazon.com/aws-cost-management/aws-budgets/

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8
Q

Which Amazon Elastic Compute Cloud (Amazon EC2) pricing model is the most cost-effective and flexible with no requirement for a long term resource commitment or upfront payment but still guarantees that instance would not be interrupted?

A. On-Demand Instance
B. Reserved Instance (RI)
C. Dedicated Host
D. Spot Instance

A

A. On-Demand Instance

Explanation
Correct option:

On-Demand Instance - An On-Demand Instance is an instance that you use on-demand. You have full control over its lifecycle — you decide when to launch, stop, hibernate, start, reboot, or terminate it. There is no long-term commitment required when you purchase On-Demand Instances. There is no upfront payment and you pay only for the seconds that your On-Demand Instances are running. The price per second for running an On-Demand Instance is fixed. On-demand instances cannot be interrupted.

EC2 Pricing Options Overview: via - https://aws.amazon.com/ec2/pricing/

Incorrect options:

Reserved Instance (RI) - Reserved Instance (RI) provides you with significant savings on your Amazon EC2 costs compared to On-Demand Instance pricing. Reserved Instances (RI) are not physical instances, but rather a billing discount applied to the use of On-Demand Instances in your account. You can purchase a Reserved Instance (RI) for a one-year or three-year commitment, with the three-year commitment offering a bigger discount. You will be charged for the entire duration, irrespective of your usage. So this option is not correct for the given use-case.

Spot Instance - A Spot Instance is an unused EC2 instance that is available for less than the On-Demand price. Because Spot Instances enable you to request unused EC2 instances at steep discounts, you can lower your Amazon EC2 costs significantly. Spot Instances are well-suited for data analysis, batch jobs, background processing, and optional tasks. These can be terminated at short notice, so these are not suitable for critical workloads that need to run at a specific point in time. So this option is not correct for the given use-case.

Dedicated Host - Amazon EC2 Dedicated Host allows you to use your eligible software licenses from vendors such as Microsoft and Oracle on Amazon EC2 so that you get the flexibility and cost-effectiveness of using your licenses, but with the resiliency, simplicity, and elasticity of AWS. An Amazon EC2 Dedicated Host is a physical server fully dedicated for your use, so you can help address corporate compliance requirement. A Dedicated Host is not cost-efficient compared to an On-Demand instance. So this option is not correct.

Reference:

https://aws.amazon.com/ec2/pricing/

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9
Q

A research group wants to provision an Amazon Elastic Compute Cloud (Amazon EC2) instance for a flexible application that can be interrupted. As a Cloud Practitioner, which of the following would you recommend as the MOST cost-optimal option?

A. Dedicated Host
B. On-Demand Instance
C. Spot Instance
D. Reserved Instance (RI)

A

C. Spot Instance

Explanation
Correct option:

Spot Instance

A Spot Instance is an unused EC2 instance that is available for less than the On-Demand price. Because Spot Instances enable you to request unused EC2 instances at steep discounts (up to 90%), you can lower your Amazon EC2 costs significantly. Spot Instances are well-suited for data analysis, batch jobs, background processing, and other flexible tasks that can be interrupted. These can be terminated at short notice, so these are not suitable for critical workloads that need to run at a specific point in time.

Amazon EC2 Pricing Options Overview: via - https://aws.amazon.com/ec2/pricing/

Incorrect options:

On-Demand Instance - An On-Demand Instance is an instance that you use on-demand. You have full control over its lifecycle — you decide when to launch, stop, hibernate, start, reboot, or terminate it. There is no long-term commitment required when you purchase On-Demand Instances. There is no upfront payment and you pay only for the seconds that your On-Demand Instances are running. The price per second for running an On-Demand Instance is fixed. On-demand instances cannot be interrupted. However, On-demand instances are not as cost-effective as spot instances, so this option is not correct.

Reserved Instance (RI) - Reserved Instances (RI) provide you with significant savings (up to 75%) on your Amazon EC2 costs compared to On-Demand Instance pricing. Reserved Instances (RI) are not physical instances, but rather a billing discount applied to the use of On-Demand Instances in your account. You can purchase a Reserved Instance (RI) for a one-year or three-year commitment, with the three-year commitment offering a bigger discount. Reserved instances (RI) cannot be interrupted. Reserved instances (RI) are not as cost-effective as spot instances, so this option is not correct.

Dedicated Host - Amazon EC2 Dedicated Hosts allow you to use your eligible software licenses from vendors such as Microsoft and Oracle on Amazon EC2 so that you get the flexibility and cost-effectiveness of using your licenses, but with the resiliency, simplicity, and elasticity of AWS. An Amazon EC2 Dedicated Host is a physical server fully dedicated for your use, so you can help address corporate compliance requirement. They’re not cost-efficient compared to spot instances. So this option is not correct.

Reference:

https://aws.amazon.com/ec2/pricing/

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10
Q

An e-commerce company uses AWS Cloud and would like to receive separate invoices for development and production environments. As a Cloud Practioner, which of the following solutions would you recommend for this use-case?

A. Create separate AWS accounts for development and production environments to receive separate invoices
B. Use AWS Cost Explorer to create separate invoices for development and production environments
C. Use AWS Organizations to create separate invoices for development and production environments
D. Tag all resources in the AWS account as either development or production. Then use the tags to create separate invoices

A

A. Create separate AWS accounts for development and production environments to receive separate invoices

Explanation
Correct option:

Create separate AWS accounts for development and production environments to receive separate invoices

Every AWS account provides its own invoice end of the month. You can get separate invoices for development and production environments by setting up separate AWS accounts for each environment.

Incorrect options:

Use AWS Organizations to create separate invoices for development and production environments - AWS Organizations helps you to centrally manage billing; control access, compliance, and security; and share resources across your AWS accounts. Using AWS Organizations, you can automate account creation, create groups of accounts to reflect your business needs, and apply policies for these groups for governance. You can also simplify billing by setting up a single payment method for all of your AWS accounts. AWS Organizations is available to all AWS customers at no additional charge.

AWS Organizations cannot create separate invoices for development and production environments, rather, AWS Organizations helps you to centrally manage billing.

Tag all resources in the AWS account as either development or production. Then use the tags to create separate invoices - You cannot create separate invoices based on tags.

Use AWS Cost Explorer to create separate invoices for development and production environments - AWS Cost Explorer lets you explore your AWS costs and usage at both a high level and at a detailed level of analysis, and empowering you to dive deeper using several filtering dimensions (e.g., AWS Service, Region, Linked Account). AWS Cost Explorer cannot create separate invoices for development and production environments.

Reference:

https://docs.aws.amazon.com/awsaccountbilling/latest/aboutv2/billing-what-is.html

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11
Q

Which of the following statements are true about Cost Allocation Tags in AWS Billing? (Select two)

A. You must activate both AWS generated tags and user-defined tags separately before they can appear in Cost Explorer or on a cost allocation report
B. Only user-defined tags need to be activated before they can appear in Cost Explorer or on cost allocation report
C. Tags help in organizing resources and are mandatory configuration item to run reports
D. For each resource, each tag key must be unique, but can have multiple values
E. For each resource, each tag key must be unique, adn ech tag key can have only one value

A

A. You must activate both AWS generated tags and user-defined tags separately before they can appear in Cost Explorer or on a cost allocation report
E. For each resource, each tag key must be unique, adn ech tag key can have only one value

Explanation
Correct options:

For each resource, each tag key must be unique, and each tag key can have only one value

You must activate both AWS generated tags and user-defined tags separately before they can appear in Cost Explorer or on a cost allocation report

A Cost Allocation Tag is a label that you or AWS assigns to an AWS resource. Each tag consists of a key and a value. For each resource, each tag key must be unique, and each tag key can have only one value. You can use tags to organize your resources, and cost allocation tags to track your AWS costs on a detailed level.

AWS provides two types of cost allocation tags, an AWS generated tags and user-defined tags. AWS defines, creates, and applies the AWS generated tags for you, and you define, create, and apply user-defined tags. You must activate both types of tags separately before they can appear in Cost Explorer or on a cost allocation report.

AWS Cost Allocation Tags Overview: via - https://docs.aws.amazon.com/awsaccountbilling/latest/aboutv2/cost-alloc-tags.html

Incorrect options:

Tags help in organizing resources and are a mandatory configuration item to run reports - Tags definitely help organize resources as per an organization’s requirement; they are not mandatory though.

For each resource, each tag key must be unique, but can have multiple values - For each resource, each tag key must be unique, and each tag key can have only one value.

Only user-defined tags need to be activated before they can appear in Cost Explorer or on a cost allocation report - As explained above, both kinds of tags (user-defined and AWS generated) need to be activated separately before they can appear in report generation.

Reference:

https://docs.aws.amazon.com/awsaccountbilling/latest/aboutv2/cost-alloc-tags.html

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12
Q

A startup wants to set up its IT infrastructure on AWS Cloud. The CTO would like to receive detailed reports that break down the startup’s AWS costs by the hour in an Amazon Simple Storage Service (Amazon S3) bucket. As a Cloud Practitioner, which AWS service would you recommend for this use-case?

A. AWS Cost Explorer
B. AWS Cost & Usage Report (AWS CUR)
C. AWS Budgets
D. AWS Pricing Calculator

A

B. AWS Cost & Usage Report (AWS CUR)

Explanation
Correct option:

AWS Cost & Usage Report (AWS CUR)

AWS Cost & Usage Report (AWS CUR) contains the most comprehensive set of cost and usage data available. You can use AWS Cost & Usage Report (AWS CUR) to publish your AWS billing reports to an Amazon Simple Storage Service (Amazon S3) bucket that you own. You can receive reports that break down your costs by the hour or month, by product or product resource, or by tags that you define yourself. AWS updates the report in your bucket once a day in comma-separated value (CSV) format.

AWS Cost & Usage Report (AWS CUR) Overview: via - https://docs.aws.amazon.com/cur/latest/userguide/what-is-cur.html

Incorrect options:

AWS Pricing Calculator - AWS Pricing Calculator lets you explore AWS services and create an estimate for the cost of your use cases on AWS. You can model your solutions before building them, explore the price points and calculations behind your estimate, and find the available instance types and contract terms that meet your needs. This enables you to make informed decisions about using AWS. You can plan your AWS costs and usage or price out setting up a new set of instances and services.

AWS Cost Explorer - AWS Cost Explorer has an easy-to-use interface that lets you visualize, understand, and manage your AWS costs and usage over time. AWS Cost Explorer includes a default report that helps you visualize the costs and usage associated with your top five cost-accruing AWS services, and gives you a detailed breakdown of all services in the table view. The reports let you adjust the time range to view historical data going back up to twelve months to gain an understanding of your cost trends. AWS Cost Explorer cannot provide a detailed report of your AWS costs by the hour into an Amazon S3 bucket.

AWS Budgets - AWS Budgets gives the ability to set custom budgets that alert you when your costs or usage exceed (or are forecasted to exceed) your budgeted amount. You can also use AWS Budgets to set reservation utilization or coverage targets and receive alerts when your utilization drops below the threshold you define. AWS Budgets can be created at the monthly, quarterly, or yearly level, and you can customize the start and end dates. You can further refine your budget to track costs associated with multiple dimensions, such as AWS service, linked account, tag, and others. AWS Budgets cannot provide the estimate of the monthly AWS bill based on the list of AWS services. AWS Budgets cannot provide a detailed break down of your AWS costs by the hour.

Exam Alert:

Please review the differences between “AWS Cost & Usage Report (AWS CUR)” and “AWS Cost Explorer”. Think of “AWS Cost & Usage Report (AWS CUR)” as a cost management tool providing the most detailed cost and usage data for your AWS account. It can provide reports that break down your costs by the hour into your Amazon S3 bucket. On the other hand, “AWS Cost Explorer” is more of a high-level cost management tool that helps you visualize the costs and usage associated with your AWS account.

“AWS Cost Explorer” vs “AWS Cost & Usage Report (AWS CUR)”: via - https://aws.amazon.com/aws-cost-management/aws-cost-explorer/

via - https://aws.amazon.com/aws-cost-management/aws-cost-and-usage-reporting/

References:

https://docs.aws.amazon.com/cur/latest/userguide/what-is-cur.html

https://aws.amazon.com/aws-cost-management/aws-cost-explorer/

https://aws.amazon.com/aws-cost-management/aws-cost-and-usage-reporting/

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13
Q

A customer is running a comparative study of pricing models of Amazon EFS and Amazon Elastic Block Store (Amazon EBS) that are used with the Amazon EC2 instances that host the application. Which of the following statements are correct regarding this use-case? (Select two)

A. Amazon Elastic Compute Cloud (Amazon EC2) data transfer charge will apply for all Amazon Elastic Block Store (Amazon EBS) direct APIs for Snapshots
B. You will pay a fee time you read from or write data stored on the Amazon Elastic FIle System (Amazon EFS) - Infrequent Access storage class
C. With AWS Backup, you pay only for Amazon Elastic File System (Amazon EFS) backup storage you use in a month, you need not pay for restoring data
D. Amazon Elastic Block Store (Amazon EBS) Snapshot are stored incrementally, which means you are billed only for the changed block stored
E. Amazon Elastic Block Store (Amazon EBS) Snaphot storage pricing is based on the amount of space your data consumes in Amazon Elastic Block Store (Amazon EBS)

A

B. You will pay a fee time you read from or write data stored on the Amazon Elastic FIle System (Amazon EFS) - Infrequent Access storage class
D. Amazon Elastic Block Store (Amazon EBS) Snapshot are stored incrementally, which means you are billed only for the changed block stored

Explanation
Correct options:

You will pay a fee each time you read from or write data stored on the Amazon Elastic File System (Amazon EFS) - Infrequent Access storage class

Amazon Elastic File System (Amazon EFS) - Infrequent Access storage class is cost-optimized for files accessed less frequently. Data stored on the Amazon Elastic File System (Amazon EFS) - Infrequent Access storage class costs less than Standard and you will pay a fee each time you read from or write to a file.

Amazon Elastic Block Store (Amazon EBS) Snapshots are stored incrementally, which means you are billed only for the changed blocks stored

Amazon EBS Snapshots are a point in time copy of your block data. For the first snapshot of a volume, Amazon EBS saves a full copy of your data to Amazon S3. Amazon EBS Snapshots are stored incrementally, which means you are billed only for the changed blocks stored.

Incorrect options:

Amazon Elastic Compute Cloud (Amazon EC2) data transfer charges will apply for all Amazon Elastic Block Store (Amazon EBS) direct APIs for Snapshots - When using Amazon EBS direct APIs for Snapshots, additional Amazon EC2 data transfer charges will apply only when you use external or cross-region data transfers.

Amazon Elastic Block Store (Amazon EBS) Snapshot storage pricing is based on the amount of space your data consumes in Amazon Elastic Block Store (Amazon EBS) - Snapshot storage is based on the amount of space your data consumes in Amazon S3. Because Amazon EBS does not save empty blocks, it is likely that the snapshot size will be considerably less than your volume size. Copying Amazon EBS snapshots is charged for the data transferred across regions. After the snapshot is copied, standard Amazon EBS snapshot charges apply for storage in the destination region.

With AWS Backup, you pay only for the amount of Amazon Elastic File System (Amazon EFS) backup storage you use in a month, you need not pay for restoring this data - To back up your Amazon EFS file data you can use AWS Backup, a fully-managed backup service that makes it easy to centralize and automate the back up of data across AWS services. With AWS Backup, you pay only for the amount of backup storage you use and the amount of backup data you restore in the month. There is no minimum fee and there are no set-up charges.

References:

https://aws.amazon.com/efs/pricing/

https://aws.amazon.com/ebs/pricing/

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14
Q

Compared to the on-demand instance prices, what is the highest possible discount offered for reserved instances (RI)?

A. 40
B. 72
C. 90
D. 50

A

B. 72

Explanation
Correct option:

72

Reserved instances (RI) provide you with significant savings (up to 72%) on your Amazon Elastic Compute Cloud (Amazon EC2) costs compared to on-demand instance pricing. Reserved Instances (RI) are not physical instances, but rather a billing discount applied to the use of on-demand instances in your account. You can purchase a reserved instance (RI) for a one-year or three-year commitment, with the three-year commitment offering a bigger discount.

Amazon Elastic Compute Cloud (Amazon EC2) Pricing Options Overview: via - https://aws.amazon.com/ec2/pricing/

Incorrect options:

90

50

40

These three options contradict the explanation provided above, so these options are incorrect.

Reference:

https://aws.amazon.com/ec2/pricing/

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15
Q

Which AWS service can help you create data-driven business cases for transitioning your business from on-premises to AWS Cloud?

A. AWS Budgets
B. AWS Billing and Cost Management
C. AWS Migration Evaluator
D. AWS Trusted Advisor

A

C. AWS Migration Evaluator

Explanation
Correct option:

AWS Migration Evaluator

AWS Migration Evaluator (Formerly TSO Logic) is a complimentary service to create data-driven business cases for AWS Cloud planning and migration.

AWS Migration Evaluator quickly provides a business case to make sound AWS planning and migration decisions. With AWS Migration Evaluator, your organization can build a data-driven business case for AWS, gets access to AWS expertise, visibility into the costs associated with multiple migration strategies, and insights on how reusing existing software licensing reduces costs further.

Incorrect options:

AWS Budgets - AWS Budgets gives the ability to set custom budgets that alert you when your costs or usage exceed (or are forecasted to exceed) your budgeted amount. You can also use AWS Budgets to set reservation utilization or coverage targets and receive alerts when your utilization drops below the threshold you define. AWS Budgets can be created at the monthly, quarterly, or yearly level, and you can customize the start and end dates. You can further refine your budget to track costs associated with multiple dimensions, such as AWS service, linked account, tag, and others. You cannot use this service to create data-driven business cases for transitioning your business from on-premises to AWS Cloud.

AWS Trusted Advisor - AWS Trusted Advisor is an online tool that provides real-time guidance to help provision your resources following AWS best practices. Whether establishing new workflows, developing applications, or as part of ongoing improvement, recommendations provided by AWS Trusted Advisor regularly help keep your solutions provisioned optimally. AWS Trusted Advisor analyzes your AWS environment and provides best practice recommendations in five categories: Cost Optimization, Performance, Security, Fault Tolerance, Service Limits. You cannot use this service to create data-driven business cases for transitioning your business from on-premises to AWS Cloud.

AWS Billing and Cost Management - AWS Billing and Cost Management is the service that you use to pay your AWS bill, monitor your usage, and analyze and control your costs. It is the billing department for AWS services - with necessary tools and services under its hood. You cannot use this service to create data-driven business cases for transitioning your business from on-premises to AWS Cloud.

Reference:

https://docs.aws.amazon.com/awsaccountbilling/latest/aboutv2/ce-exploring-data.html

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16
Q

Which budget types can be created under AWS Budgets (Select three)?

A. Reservation budget
B. Software budget
C. Usage budget
D.Resource budget
E. Cost budget
F. Hardware budget

A

A. Reservation budget
C. Usage budget
E. Cost budget

Explanation
Correct options:

AWS Budgets enable you to plan your service usage, service costs, and instance reservations. AWS Budgets information is updated up to three times a day. Updates typically occur between 8 to 12 hours after the previous update. Budgets track your unblended costs, subscriptions, refunds, and RIs. There are four different budget types you can create under AWS Budgets - Cost budget, Usage budget, Reservation budget and Savings Plans budget.

Cost budget - Helps you plan how much you want to spend on a service.

Usage budget - Helps you plan how much you want to use one or more services.

Reservation budget - This helps you track the usage of your Reserved Instances (RI). Two ways of doing it - Reserved Instance (RI) utilization budgets (This lets you see if your Reserved Instances (RI) are unused or under-utilized), Reserved Instance (RI) coverage budgets (This lets you see how much of your instance usage is covered by a reservation).

Incorrect options:

Resource budget - This is a made-up option and has been added as a distractor.

Software budget - This is a made-up option and has been added as a distractor.

Hardware budget - This is a made-up option and has been added as a distractor.

Reference:

This is a made-up option and has been added as a distractor