Question 920 of 1,024
Billing, Pricing, and SupportmediumMultiple ChoiceObjective-mapped

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.

    When this WOULD be correct

    A company runs only EC2 instances in a single region and wants to commit to a specific instance family (e.g., m5.large) for 1 year to maximize discounts, with no need for Fargate or Lambda coverage.

  • 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.

    When this WOULD be correct

    A company runs only EC2 instances in a single region, knows the instance family and size it will use for a 1-year term, and wants the highest discount possible without needing flexibility. Standard Reserved Instances would be the correct choice.

  • 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.

    When this WOULD be correct

    A company runs only EC2 instances and needs the flexibility to change instance families or modify attributes (e.g., from Linux to Windows) during a 1-year commitment, while still receiving a discounted rate.

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.

Compute Savings PlanCorrect answer

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.

EC2 Instance Savings PlanWrong answer — click to see why

Why this is wrong here

EC2 Instance Savings Plan applies only to EC2 instance usage, not to Fargate or Lambda, and is limited to a specific instance family within a region, failing to meet the requirement for flexible compute across all services and regions.

★ When this WOULD be the correct answer

A company runs only EC2 instances in a single region and wants to commit to a specific instance family (e.g., m5.large) for 1 year to maximize discounts, with no need for Fargate or Lambda coverage.

Why candidates choose this

Candidates may confuse Savings Plans with Reserved Instances and assume 'Instance' refers to any compute, overlooking that EC2 Instance Savings Plan is more restrictive than Compute Savings Plan.

Standard Reserved InstanceWrong answer — click to see why

Why this is wrong here

Standard Reserved Instances require a commitment to a specific instance family and region, and they do not cover AWS Fargate or Lambda usage. The question requires a flexible option that applies to any EC2, Fargate, or Lambda usage across regions.

★ When this WOULD be the correct answer

A company runs only EC2 instances in a single region, knows the instance family and size it will use for a 1-year term, and wants the highest discount possible without needing flexibility. Standard Reserved Instances would be the correct choice.

Why candidates choose this

Candidates may confuse Reserved Instances with Savings Plans, thinking that any 'reserved' option provides broad coverage, or they may not realize that Standard Reserved Instances are inflexible and do not cover Fargate or Lambda.

Convertible Reserved InstanceWrong answer — click to see why

Why this is wrong here

Convertible Reserved Instances apply only to EC2 instances, not to Fargate or Lambda usage, and they are region-specific, not flexible across multiple Regions.

★ When this WOULD be the correct answer

A company runs only EC2 instances and needs the flexibility to change instance families or modify attributes (e.g., from Linux to Windows) during a 1-year commitment, while still receiving a discounted rate.

Why candidates choose this

Candidates may confuse 'convertible' with 'flexible', assuming it covers multiple compute services, but Convertible RIs only apply to EC2 and lack the cross-service and cross-region flexibility of Savings Plans.

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 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.

Quick reference

Cloud Service Model Comparison

ModelYou ManageProvider ManagesExamples
IaaSOS, runtime, apps, dataHardware, hypervisor, networkingEC2, Azure VMs, GCP Compute Engine
PaaSApps and dataOS, runtime, middleware, hardwareElastic Beanstalk, Azure App Service
SaaSData and settings onlyEverything elseMicrosoft 365, Salesforce, Workday
FaaS / ServerlessFunction code onlyInfra, scaling, runtimeLambda, Azure Functions, Cloud Run
CaaSContainers and appsKubernetes, OS, hardwareEKS, AKS, GKE

What to study next

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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.

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Last reviewed: Jun 11, 2026

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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.