- A
On-Demand Instances
Why wrong: On-Demand Instances run on shared hardware with other AWS customers. There is no visibility into the physical host, making per-socket BYOL licensing impractical.
- B
Reserved Instances
Why wrong: Reserved Instances are a billing option that can run on shared or dedicated hardware. They do not themselves provide physical host visibility for per-socket licensing.
- C
Dedicated Instances
Why wrong: Dedicated Instances run on hardware dedicated to a single customer but do not provide visibility into physical socket/core counts, which is required for per-socket BYOL licensing.
- D
Dedicated Hosts
Dedicated Hosts provide physical servers fully dedicated to a single customer with full visibility into the number of sockets and physical cores. This is required for per-socket or per-core BYOL software licensing compliance.
Quick Answer
The answer is Dedicated Hosts. This EC2 option is the correct choice because it provides full visibility into and control over the physical server, including the number of physical CPU sockets and cores, which is essential for a BYOL license per physical CPU socket. Unlike Dedicated Instances, which also run on isolated hardware but do not give you visibility into the underlying host’s socket count or allow you to control instance placement, Dedicated Hosts let you see exactly how many sockets are available and manage the host’s configuration to stay compliant with your license terms. On the AWS Certified Cloud Practitioner CLF-C02 exam, this question tests your understanding of the key difference between Dedicated Hosts and Dedicated Instances—a common trap is confusing the two because both offer physical isolation, but only Dedicated Hosts expose the socket-level details needed for BYOL. Memory tip: think “Host = Hardware visibility, Instance = Isolation only.”
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 has bring-your-own-license (BYOL) server software that is licensed per physical CPU socket. They need to run this software on AWS and require visibility into and control over the physical host their instances run on. Which EC2 option meets 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
Dedicated Hosts
Dedicated Hosts provide you with a physical server fully dedicated to your use, allowing you to see and control the physical host's CPU sockets and cores. This is essential for bring-your-own-license (BYOL) software that is licensed per physical CPU socket, as you must ensure compliance with the license terms by managing the exact hardware configuration.
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.
- ✗
On-Demand Instances
Why it's wrong here
On-Demand Instances run on shared hardware with other AWS customers. There is no visibility into the physical host, making per-socket BYOL licensing impractical.
- ✗
Reserved Instances
Why it's wrong here
Reserved Instances are a billing option that can run on shared or dedicated hardware. They do not themselves provide physical host visibility for per-socket licensing.
- ✗
Dedicated Instances
Why it's wrong here
Dedicated Instances run on hardware dedicated to a single customer but do not provide visibility into physical socket/core counts, which is required for per-socket BYOL licensing.
- ✓
Dedicated Hosts
Why this is correct
Dedicated Hosts provide physical servers fully dedicated to a single customer with full visibility into the number of sockets and physical cores. This is required for per-socket or per-core BYOL software licensing compliance.
Related concept
Read the scenario before looking for a memorised answer.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is confusing Dedicated Instances with Dedicated Hosts, as both provide hardware isolation, but only Dedicated Hosts give you visibility into and control over the physical host's socket count and placement for per-socket licensing compliance.
Detailed technical explanation
How to think about this question
A Dedicated Host gives you a physical EC2 server with a specific number of CPU sockets and cores, and you can control instance placement on that host. This allows you to manage license compliance by, for example, ensuring you do not exceed the licensed socket count, and you can even bring your own hypervisor if needed. In a real-world scenario, a company running Microsoft SQL Server licensed per socket would use Dedicated Hosts to guarantee they only use the sockets they have licensed, avoiding costly audit failures.
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.
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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: Dedicated Hosts — Dedicated Hosts provide you with a physical server fully dedicated to your use, allowing you to see and control the physical host's CPU sockets and cores. This is essential for bring-your-own-license (BYOL) software that is licensed per physical CPU socket, as you must ensure compliance with the license terms by managing the exact hardware configuration.
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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