- A
Create a budget alert that sends an email notification to the operations team when spending reaches 90% of the budget.
Why wrong: A budget alert only sends notifications; it does not automatically stop instances. The requirement specifically asks for an automated response, not a manual one.
- B
Configure a budget action that applies an IAM policy to deny the ec2:StopInstances permission for all users.
Why wrong: Applying an IAM policy that denies the stop permission would prevent anyone from stopping instances, which is the opposite of the desired outcome. Additionally, this action does not actually stop running instances; it only changes permissions.
- C
Configure a budget action that runs an AWS Systems Manager automation document to stop the EC2 instances.
AWS Budgets actions can trigger an AWS Systems Manager automation document, which can be set to stop EC2 instances. This provides a native, automated solution without requiring custom code or additional services.
- D
Create a budget alert that publishes a message to an Amazon Simple Notification Service (Amazon SNS) topic, and subscribe an AWS Lambda function to stop the instances.
Why wrong: Although this approach could technically work, it requires custom scripting (Lambda function) and additional configuration. The requirement specifies a solution that does not require custom scripting or additional infrastructure. The native budget action using Systems Manager automation is simpler and meets the requirement directly.
CLF-C02 Billing, Pricing, and Support Practice Question
This CLF-C02 practice question tests your understanding of billing, pricing, and support. This is a configuration task: choose the command set that satisfies every stated requirement. Small differences — like 'secret' vs 'password' or 'transport input ssh' vs 'all' — change whether the answer is correct. 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 mix of production and non-production Amazon EC2 instances. The finance team uses AWS Budgets to monitor monthly spending. For the development accounts, the team wants to automatically stop all running EC2 instances when the account's monthly spending reaches 90% of the budgeted amount. The team wants a solution that does not require custom scripting or additional infrastructure. Which AWS Budgets feature should the team configure to meet this requirement?
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
Configure a budget action that runs an AWS Systems Manager automation document to stop the EC2 instances.
AWS Budgets supports budget actions that can automatically trigger AWS Systems Manager automation documents to stop EC2 instances when a budget threshold is exceeded. This meets the requirement of no custom scripting or additional infrastructure, as the automation document is a built-in capability of Systems Manager.
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.
- ✗
Create a budget alert that sends an email notification to the operations team when spending reaches 90% of the budget.
Why it's wrong here
A budget alert only sends notifications; it does not automatically stop instances. The requirement specifically asks for an automated response, not a manual one.
When this WOULD be correct
This option would be correct if the question asked for a solution to notify the operations team when spending reaches 90% of the budget, without requiring automatic action. For example: 'A company wants to alert the operations team when monthly spending reaches 90% of the budget, but the team will manually decide which instances to stop.'
- ✗
Configure a budget action that applies an IAM policy to deny the ec2:StopInstances permission for all users.
Why it's wrong here
Applying an IAM policy that denies the stop permission would prevent anyone from stopping instances, which is the opposite of the desired outcome. Additionally, this action does not actually stop running instances; it only changes permissions.
When this WOULD be correct
This option would be correct if the requirement were to prevent users from stopping EC2 instances in development accounts to enforce cost control or security policies, and the team wanted to use a budget action to apply an IAM policy.
- ✓
Configure a budget action that runs an AWS Systems Manager automation document to stop the EC2 instances.
Why this is correct
AWS Budgets actions can trigger an AWS Systems Manager automation document, which can be set to stop EC2 instances. This provides a native, automated solution without requiring custom code or additional services.
Related concept
Read the scenario before looking for a memorised answer.
- ✗
Create a budget alert that publishes a message to an Amazon Simple Notification Service (Amazon SNS) topic, and subscribe an AWS Lambda function to stop the instances.
Why it's wrong here
Although this approach could technically work, it requires custom scripting (Lambda function) and additional configuration. The requirement specifies a solution that does not require custom scripting or additional infrastructure. The native budget action using Systems Manager automation is simpler and meets the requirement directly.
When this WOULD be correct
If the question allowed custom scripting and additional infrastructure, and the requirement was to perform a custom action (e.g., stopping only specific instances or sending a custom notification) when a budget threshold is reached, then using a budget alert to trigger an SNS topic that invokes a Lambda function would be appropriate.
Option-by-option analysis
Why each answer is right or wrong
Understanding why wrong answers are wrong — and when they would be correct — is what separates a 750 score from a 900. The CLF-C02 exam frequently reuses these exact scenarios with slightly different constraints.
✓Configure a budget action that runs an AWS Systems Manager automation document to stop the EC2 instances.Correct answer▾
Why this is correct
AWS Budgets actions can trigger an AWS Systems Manager automation document, which can be set to stop EC2 instances. This provides a native, automated solution without requiring custom code or additional services.
✗Create a budget alert that sends an email notification to the operations team when spending reaches 90% of the budget.Wrong answer — click to see why▾
Why this is wrong here
The requirement is to automatically stop EC2 instances when spending reaches 90% of the budget, not just send a notification. Option A only sends an email alert, which requires manual intervention to stop instances, and does not meet the automation requirement.
★ When this WOULD be the correct answer
This option would be correct if the question asked for a solution to notify the operations team when spending reaches 90% of the budget, without requiring automatic action. For example: 'A company wants to alert the operations team when monthly spending reaches 90% of the budget, but the team will manually decide which instances to stop.'
Why candidates choose this
Candidates may think that sending an email notification is sufficient to trigger manual action, or they may overlook the explicit requirement for automatic stopping without custom scripting.
✗Configure a budget action that applies an IAM policy to deny the ec2:StopInstances permission for all users.Wrong answer — click to see why▾
Why this is wrong here
Denying the ec2:StopInstances permission prevents users from stopping instances manually, but does not automatically stop instances when spending reaches 90% of the budget. The requirement is to automatically stop instances, not to restrict user actions.
★ When this WOULD be the correct answer
This option would be correct if the requirement were to prevent users from stopping EC2 instances in development accounts to enforce cost control or security policies, and the team wanted to use a budget action to apply an IAM policy.
Why candidates choose this
Candidates may think that denying stop permissions will prevent instances from running and thus reduce costs, but they overlook that the requirement is to automatically stop instances, not to block user-initiated stops.
✗Create a budget alert that publishes a message to an Amazon Simple Notification Service (Amazon SNS) topic, and subscribe an AWS Lambda function to stop the instances.Wrong answer — click to see why▾
Why this is wrong here
The question explicitly requires a solution that does not require custom scripting or additional infrastructure. Option D requires creating a custom Lambda function (scripting) and an SNS topic (additional infrastructure), which violates the constraint.
★ When this WOULD be the correct answer
If the question allowed custom scripting and additional infrastructure, and the requirement was to perform a custom action (e.g., stopping only specific instances or sending a custom notification) when a budget threshold is reached, then using a budget alert to trigger an SNS topic that invokes a Lambda function would be appropriate.
Why candidates choose this
Candidates may think that any automation involving EC2 stop actions requires a custom Lambda function, not realizing that AWS Budgets can directly trigger Systems Manager automation documents without custom code.
Analysis generated from the official CLF-C02blueprint and verified against question context. The “when correct” sections are what AI assistants cite when candidates ask “what’s the difference between these options?”
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates may choose Option D (Lambda + SNS) because it is a common pattern for automation, but the question explicitly requires 'no custom scripting or additional infrastructure,' making the built-in budget action with Systems Manager the correct choice.
Detailed technical explanation
How to think about this question
AWS Budgets budget actions integrate directly with AWS Systems Manager Automation, using pre-defined runbooks like 'AWS-StopEC2Instance' to stop instances without any custom code. The action is triggered when the budget threshold (e.g., 90% of budgeted amount) is met, and it can target specific EC2 instances based on tags or resource IDs. This approach leverages IAM roles for execution, ensuring secure, automated remediation without additional infrastructure.
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 company's IT admin needs to give a contractor read-only access to production logs without sharing account credentials. Using role-based access control (RBAC) and temporary scoped permissions — not a permanent shared password — is the correct pattern. Questions like this test whether you can apply least-privilege access across cloud identity services.
What to study next
Got this wrong? Here's your next step.
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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: Configure a budget action that runs an AWS Systems Manager automation document to stop the EC2 instances. — AWS Budgets supports budget actions that can automatically trigger AWS Systems Manager automation documents to stop EC2 instances when a budget threshold is exceeded. This meets the requirement of no custom scripting or additional infrastructure, as the automation document is a built-in capability of Systems Manager.
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
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