mediummultiple choiceObjective-mapped

A company uses multiple AWS accounts and wants to enforce cost governance. The company needs to set a monthly cost budget of $10,000 for each account. When an account's actual or forecasted costs exceed this budget, the company wants to automatically apply a restrictive IAM policy that prevents the creation of new resources in that account. Additionally, the company wants to receive an email notification when the budget is exceeded. Which AWS feature should the company use to meet these requirements?

Question 1mediummultiple choice
Full question →

A company uses multiple AWS accounts and wants to enforce cost governance. The company needs to set a monthly cost budget of $10,000 for each account. When an account's actual or forecasted costs exceed this budget, the company wants to automatically apply a restrictive IAM policy that prevents the creation of new resources in that account. Additionally, the company wants to receive an email notification when the budget is exceeded. Which AWS feature should the company use to meet these requirements?

Answer choices

Why each option matters

Good practice is not just finding the correct option. The wrong answers often show the exact trap the exam wants you to fall into.

A

Distractor review

AWS Cost Explorer

Cost Explorer is used to visualize, explore, and analyze your AWS costs and usage over time. It does not provide the ability to set budgets or automatically take actions when costs exceed a threshold.

B

Best answer

AWS Budgets

AWS Budgets enables you to set custom budgets for costs or usage and configure budget actions that automatically enforce policies or send notifications when the budget is exceeded. This directly meets the requirement for automated application of a restrictive IAM policy and email alerts.

C

Distractor review

AWS Cost Anomaly Detection

Cost Anomaly Detection uses machine learning to identify anomalous spending patterns and provides root cause analysis. It does not support setting fixed budget thresholds or triggering automated actions like applying IAM policies.

D

Distractor review

AWS Trusted Advisor

Trusted Advisor inspects your AWS environment and provides recommendations to optimize costs, improve performance, and close security gaps. It does not allow you to set budgets or automatically enforce cost governance actions.

Common exam trap

Common exam trap: NAT rules depend on direction and matching traffic

NAT is not only about the public address. The inside/outside interface roles and the ACL or rule that matches traffic are just as important.

Technical deep dive

How to think about this question

NAT questions usually test address translation, overload/PAT behaviour, static mappings and whether the right traffic is being translated. Read the interface direction and address terms carefully.

KKey Concepts to Remember

  • Static NAT maps one inside address to one outside address.
  • PAT allows many inside hosts to share one public address using ports.
  • Inside local and inside global describe the private and translated addresses.
  • NAT ACLs identify traffic for translation, not always security filtering.

TExam Day Tips

  • Identify inside and outside interfaces first.
  • Check whether the scenario needs static NAT, dynamic NAT or PAT.
  • Do not confuse NAT matching ACLs with normal packet-filtering intent.

Related practice questions

Related CLF-C02 practice-question pages

Use these pages to review the topic behind this question. This is how one missed question becomes focused revision.

More questions from this exam

Keep practising from the same exam bank, or move into a focused topic page if this question exposed a weak area.

Question 1

A developer needs to launch a test server for a new application prototype. The developer logs into the AWS Management Console, selects an Amazon EC2 instance type, configures the security group, and starts the instance. The instance is running within two minutes, and the developer did not need to submit a formal request to the company's IT procurement team or wait for approval from a cloud administrator. Which essential characteristic of cloud computing does this scenario best demonstrate?

Question 2

A solutions architect is planning a new web application on AWS. The workload will include 3 Amazon EC2 instances (t3.medium) running 24/7, an Application Load Balancer, and an Amazon RDS for MySQL db.t3.small database. The architect needs to estimate the monthly cost for the first year, considering different purchasing options (On-Demand, 1-year All Upfront Reserved Instance, and Compute Savings Plan). Which AWS tool should the architect use to create this estimate?

Question 3

A company's development team frequently needs temporary test environments. A developer can log into the AWS Management Console, select an Amazon EC2 instance type, configure storage, and launch the instance within minutes without any interaction with the IT infrastructure team. This capability is an example of which essential characteristic of cloud computing?

Question 4

A company's finance team needs to analyze AWS spending in detail. They require a report that includes hourly cost data for each AWS service, each individual resource (e.g., a specific EC2 instance), and any cost allocation tags applied. The team plans to export this data to an Amazon S3 bucket and then import it into a custom business intelligence (BI) analytics dashboard. Which AWS tool should the finance team use to generate this level of detailed cost data?

Question 5

A company uses AWS for its development environment. The finance team wants to set a monthly budget of $10,000. They want to receive an email notification when the actual costs reach 80% of the budget ($8,000) and again when costs exceed the budget. The team needs a managed AWS service that can automatically send these alerts without requiring custom code or third-party tools. Which AWS service should the team use?

Question 6

A company uses AWS Organizations to manage multiple accounts. The security team needs to enforce a policy that restricts SSH access (port 22) from the internet (0.0.0.0/0) in all VPCs across all accounts. The team wants to centrally define the allowed rules and automatically apply them to newly created VPCs and security groups, while also automatically remediating any existing non-compliant security groups. Which AWS service should the team use?

FAQ

Questions learners often ask

What does this CLF-C02 question test?

Static NAT maps one inside address to one outside address.

What is the correct answer to this question?

The correct answer is: AWS Budgets — AWS Budgets allows you to set cost or usage budgets and configure budget actions that automatically take action (such as applying an IAM policy) when the budget threshold is exceeded. This meets the requirement for automated enforcement and email notifications. Cost Explorer provides visualization and analysis of costs but does not support automated actions. Cost Anomaly Detection uses machine learning to detect unusual spending patterns, not predefined budget thresholds. Trusted Advisor offers cost optimization recommendations but cannot enforce budget limits or apply IAM policies automatically.

What should I do if I get this CLF-C02 question wrong?

Then try more questions from the same exam bank and focus on understanding why the wrong options are tempting.

Discussion

Loading comments…

Sign in to join the discussion.