- A
Compute Savings Plan
Correct. Compute Savings Plans apply to any EC2 instance (any family, size, region), AWS Fargate, and AWS Lambda. They provide significant discounts in exchange for a consistent hourly spend commitment and offer the maximum flexibility to change instance attributes or move between compute services.
- B
Reserved Instances (Standard)
Why wrong: Incorrect. Standard Reserved Instances provide a discount but are locked to a specific instance family and region. They do not cover AWS Fargate or AWS Lambda, and changing instance attributes would require purchasing new reservations.
- C
Reserved Instances (Convertible)
Why wrong: Incorrect. Convertible Reserved Instances offer some flexibility to change instance family or region, but they still apply only to Amazon EC2 (not Fargate or Lambda) and require a 1:1 exchange of attributes. They also do not provide the broad service coverage of a Compute Savings Plan.
- D
On-Demand
Why wrong: Incorrect. On-Demand pricing offers no commitment and results in the highest hourly cost. While it is flexible, it does not provide the cost savings the finance team is looking for.
CLF-C02 Billing, Pricing, and Support Practice Question
This CLF-C02 practice question tests your understanding of billing, pricing, and support. Match the stated requirement to the specific cloud service, access model, or configuration option — many options are valid in isolation but not for this scenario. After answering, compare your reasoning against the explanation and wrong-answer breakdown below. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.
A company runs a diverse workload on AWS that includes Amazon EC2 instances of various families and sizes across multiple regions, Amazon RDS databases, and a serverless application using AWS Lambda and AWS Fargate. The finance team wants to reduce compute costs by making a 1-year hourly spend commitment, but they need the flexibility to change instance families, sizes, regions, or switch between EC2, Fargate, and Lambda without losing the discount. Which AWS pricing model should the finance team choose to meet these requirements?
Answer choices
Why each option matters
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
Compute Savings Plan
A Compute Savings Plan is the correct choice because it offers a 1-year hourly spend commitment with the flexibility to change instance families, sizes, regions, and even switch between EC2, Fargate, and Lambda while still receiving the discount. This plan applies to any compute usage across these services, automatically adjusting the discount to the most cost-effective instance type or compute option, meeting the finance team's need for both cost reduction and operational flexibility.
Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✓
Compute Savings Plan
Why this is correct
Correct. Compute Savings Plans apply to any EC2 instance (any family, size, region), AWS Fargate, and AWS Lambda. They provide significant discounts in exchange for a consistent hourly spend commitment and offer the maximum flexibility to change instance attributes or move between compute services.
Related concept
Read the scenario before looking for a memorised answer.
- ✗
Reserved Instances (Standard)
Why it's wrong here
Incorrect. Standard Reserved Instances provide a discount but are locked to a specific instance family and region. They do not cover AWS Fargate or AWS Lambda, and changing instance attributes would require purchasing new reservations.
- ✗
Reserved Instances (Convertible)
Why it's wrong here
Incorrect. Convertible Reserved Instances offer some flexibility to change instance family or region, but they still apply only to Amazon EC2 (not Fargate or Lambda) and require a 1:1 exchange of attributes. They also do not provide the broad service coverage of a Compute Savings Plan.
- ✗
On-Demand
Why it's wrong here
Incorrect. On-Demand pricing offers no commitment and results in the highest hourly cost. While it is flexible, it does not provide the cost savings the finance team is looking for.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates often confuse Convertible Reserved Instances with Compute Savings Plans, assuming the ability to change instance families is sufficient, but they overlook that Convertible RIs do not cover Fargate or Lambda, which is a key requirement in this question.
Detailed technical explanation
How to think about this question
Compute Savings Plans apply a consistent hourly spend commitment (e.g., $10/hour) and automatically apply the lowest available discount across any EC2 instance, Fargate, or Lambda usage, regardless of region or instance family. Under the hood, AWS calculates the discounted rate based on the commitment amount and the actual compute usage, with any unused commitment charged at the full rate. A real-world scenario is a company running a mix of EC2 instances for batch processing and Lambda for event-driven tasks; a Compute Savings Plan ensures both benefit from the same discount without needing separate reservations.
KKey Concepts to Remember
- Read the scenario before looking for a memorised answer.
- Find the constraint that changes the correct option.
- Eliminate answers that are true in general but not in this case.
TExam Day Tips
- Watch for words such as best, first, most likely and least administrative effort.
- Review why wrong options are wrong, not only why the correct option is correct.
Key takeaway
Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Real-world example
How this comes up in practice
A startup's cloud architect reviews their monthly bill and notices costs are higher than expected for a long-running batch job. Switching from on-demand instances to Reserved Instances — or using Spot/Preemptible VMs — can reduce compute costs by up to 72 %. Questions like this test whether you understand the tradeoffs between commitment, flexibility, and cost across cloud pricing models.
What to study next
Got this wrong? Here's your next step.
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
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FAQ
Questions learners often ask
What does this CLF-C02 question test?
Billing, Pricing, and Support — This question tests Billing, Pricing, and Support — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: Compute Savings Plan — A Compute Savings Plan is the correct choice because it offers a 1-year hourly spend commitment with the flexibility to change instance families, sizes, regions, and even switch between EC2, Fargate, and Lambda while still receiving the discount. This plan applies to any compute usage across these services, automatically adjusting the discount to the most cost-effective instance type or compute option, meeting the finance team's need for both cost reduction and operational flexibility.
What should I do if I get this CLF-C02 question wrong?
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
What is the key concept behind this question?
Read the scenario before looking for a memorised answer.
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Last reviewed: Jun 11, 2026
This CLF-C02 practice question is part of Courseiva's free Amazon Web Services certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the CLF-C02 exam.
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