- A
Compute Savings Plan
A Compute Savings Plan applies to any EC2 instance (any family, size, region), as well as to AWS Fargate and AWS Lambda usage. It provides the highest flexibility and matches the requirement of covering all compute services across regions.
- B
EC2 Instance Savings Plan
Why wrong: An EC2 Instance Savings Plan applies only to a specific instance family within a single region (e.g., m5 in us-east-1). It does not automatically scale across all instance types, regions, or other compute services like Fargate or Lambda.
- C
Standard Reserved Instance
Why wrong: Standard Reserved Instances offer a discount for a specific EC2 instance type in a specific region and Availability Zone. They do not cover other instance types or compute services such as Fargate or Lambda, and they require upfront specification of attributes.
- D
Convertible Reserved Instance
Why wrong: Convertible Reserved Instances allow some flexibility to change instance attributes, but they still apply only to EC2 instances, not to Fargate or Lambda. Additionally, exchanges require a like‑kind exchange process and are limited to EC2.
Quick Answer
The answer is a Compute Savings Plan. This is the correct choice because it offers a flexible 1-year compute commitment covering EC2, Fargate, and Lambda across regions, automatically applying the discounted rate to any instance family, size, or region without requiring you to specify resources upfront. On the AWS Certified Cloud Practitioner CLF-C02 exam, this question tests your understanding of the difference between Savings Plans and Reserved Instances; a common trap is selecting an EC2 Instance Savings Plan, which locks you to a specific instance family in a region, whereas the Compute Savings Plan provides the broadest flexibility. Remember, if the scenario mentions a mix of compute services like EC2, Fargate, and Lambda with no regional constraints, always choose the Compute Savings Plan. A helpful memory tip: think of "Compute" as covering all compute types, while "EC2 Instance" is just for one family.
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 mix of Amazon EC2 instances, AWS Fargate containers, and AWS Lambda functions across multiple AWS Regions. The company wants to reduce costs by making a 1-year commitment for compute usage. The company needs a flexible purchasing option that automatically applies the discounted rate to any EC2 instance, Fargate, or Lambda usage, regardless of region, instance family, or size. Which AWS purchasing option should the company use?
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 the most flexibility, automatically applying discounted rates to any EC2 instance, Fargate, or Lambda usage across any AWS Region, instance family, or size. This matches the company's requirement for a 1-year commitment that covers diverse compute services without regional or instance constraints.
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
A Compute Savings Plan applies to any EC2 instance (any family, size, region), as well as to AWS Fargate and AWS Lambda usage. It provides the highest flexibility and matches the requirement of covering all compute services across regions.
Related concept
Read the scenario before looking for a memorised answer.
- ✗
EC2 Instance Savings Plan
Why it's wrong here
An EC2 Instance Savings Plan applies only to a specific instance family within a single region (e.g., m5 in us-east-1). It does not automatically scale across all instance types, regions, or other compute services like Fargate or Lambda.
- ✗
Standard Reserved Instance
Why it's wrong here
Standard Reserved Instances offer a discount for a specific EC2 instance type in a specific region and Availability Zone. They do not cover other instance types or compute services such as Fargate or Lambda, and they require upfront specification of attributes.
- ✗
Convertible Reserved Instance
Why it's wrong here
Convertible Reserved Instances allow some flexibility to change instance attributes, but they still apply only to EC2 instances, not to Fargate or Lambda. Additionally, exchanges require a like‑kind exchange process and are limited to EC2.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates often confuse Savings Plans with Reserved Instances, assuming Reserved Instances offer similar flexibility, but Reserved Instances are tied to specific instance attributes and do not cover Fargate or Lambda, making them unsuitable for this multi-service, multi-Region scenario.
Detailed technical explanation
How to think about this question
Compute Savings Plans are a flexible discount model that applies to EC2, Fargate, and Lambda usage up to a committed hourly spend (e.g., $10/hour), automatically covering any Region, instance family, or size. Under the hood, AWS calculates the discounted rate based on the compute resources consumed, and any usage beyond the commitment is billed at standard on-demand rates, making it ideal for dynamic or multi-service workloads.
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 the most flexibility, automatically applying discounted rates to any EC2 instance, Fargate, or Lambda usage across any AWS Region, instance family, or size. This matches the company's requirement for a 1-year commitment that covers diverse compute services without regional or instance constraints.
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.
About these practice questions
Courseiva creates original exam-style practice questions with explanations and wrong-answer analysis. It does not publish real exam questions, exam dumps, or protected exam content. Learn why practice questions differ from exam dumps →
Same concept, more angles
3 more ways this is tested on CLF-C02
These questions test the same concept from different angles. Work through them to make sure you can recognise it however the exam phrases it.
Variation 1. A company runs a mix of Amazon EC2 instances and AWS Fargate containers. The CFO wants to reduce costs by committing to a consistent amount of compute usage (measured in $ per hour) for a 1-year term. The company expects to change instance families and regions occasionally and needs the flexibility to apply the savings to both EC2 and ECS Fargate usage. Which AWS pricing option should the company choose?
medium- ✓ A.Compute Savings Plans
- B.EC2 Instance Savings Plans
- C.Reserved Instances (Convertible)
- D.On-Demand Instances
Why A: Compute Savings Plans offer the flexibility to cover EC2 instance and Fargate usage across any region, instance family, or compute type, while providing a discounted hourly rate in exchange for a 1-year commitment. This matches the CFO's requirement to reduce costs with a consistent $/hour commitment and the need to change instance families and regions occasionally, as Compute Savings Plans automatically apply to any eligible compute usage without requiring specific reservations.
Variation 2. A company runs a mix of Amazon EC2 instances (different instance families) and AWS Fargate tasks across multiple AWS Regions. The cloud operations team wants to reduce costs while retaining maximum flexibility to change instance families, operating systems, and compute platforms (EC2 or Fargate) without losing the discount. They are willing to commit to a consistent amount of compute usage (measured in $/hour) for a 1-year term. Which AWS pricing model should they choose?
medium- A.EC2 Instance Savings Plans
- ✓ B.Compute Savings Plans
- C.Reserved Instances (Standard)
- D.Dedicated Hosts
Why B: Compute Savings Plans provide the most flexibility, applying to any EC2 instance family, any operating system, and any compute platform (including Fargate) across any region, as long as the hourly spend commitment is met. This matches the team's requirement to retain maximum flexibility to change instance families, OS, and compute platforms without losing the discount, for a 1-year term.
Variation 3. 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?
medium- ✓ A.Compute Savings Plan
- B.Reserved Instances (Standard)
- C.Reserved Instances (Convertible)
- D.On-Demand
Why A: 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.
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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