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CLF-C02 Practice Question: Calculating the Total Cost of Ownership (TCO) for…
This CLF-C02 practice question tests your understanding of calculating the total cost of ownership (tco) for…. 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 is calculating the Total Cost of Ownership (TCO) for migrating to AWS vs. staying on-premises. Which costs are typically REDUCED when migrating to AWS?
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
Best answer
Physical hardware, data center facilities, and infrastructure management costs
Moving to AWS eliminates purchasing servers, renting/owning data center space, paying for power and cooling, and infrastructure management labor — these costs become variable and are shared across AWS's massive customer base.
B
Distractor review
Developer salaries and application development costs
Developer costs are typically not affected by cloud migration — in fact, teams may need upskilling which temporarily increases costs.
C
Distractor review
Data transfer costs are eliminated in the cloud
AWS charges for outbound data transfer — data transfer costs may actually appear where they didn't before (now visible as a line item vs. embedded in infrastructure costs).
D
Distractor review
Software licensing costs always decrease when moving to AWS
Software licensing can actually be complex on AWS — BYOL (Bring Your Own License) must be carefully managed. Licensing costs don't automatically decrease.
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.
Key takeaway
NAT direction and interface roles matter as much as the IP address mapping. Inside/outside designation controls which traffic is translated.
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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?
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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: Physical hardware, data center facilities, and infrastructure management costs — AWS TCO analysis typically shows reduction in: hardware acquisition and depreciation (no physical servers), data center facility costs (power, cooling, space), hardware maintenance and support contracts, and staff time for infrastructure management. AWS shifts these from fixed capital costs to variable operational costs, and eliminates many administrative tasks that managed services handle automatically.
What should I do if I get this CLF-C02 question wrong?
Review the four NAT address types (inside local, inside global, outside local, outside global), PAT port overload, and static vs dynamic NAT use cases. Then practise related CLF-C02 NAT questions on configuration and troubleshooting.
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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.