Question 1mediummultiple choice
Full question →mediummultiple choiceObjective-mapped
A company is evaluating a migration of its on-premises virtualized workloads to AWS. The CFO wants to understand the potential cost savings over a three-year period by shifting from capital expenditure (hardware purchases) to operational expenditure (pay-as-you-go). The team needs a tool that can provide a detailed comparison of the total cost of ownership (TCO) for the current on-premises environment versus running the same workloads on AWS, including hardware, software, labor, and facilities costs. Which AWS tool should the team use?
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
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AWS Budgets
AWS Budgets is used to set custom budgets and receive alerts when costs or usage exceed certain thresholds. It does not provide a total cost of ownership comparison between on-premises and AWS environments.
B
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AWS Cost Explorer
AWS Cost Explorer is a tool for visualizing, understanding, and managing AWS costs and usage over time. It does not compare on-premises infrastructure costs with AWS costs.
C
Best answer
AWS Total Cost of Ownership (TCO) Calculator
The AWS TCO Calculator is designed to compare the total cost of ownership of an existing on-premises environment with AWS, factoring in hardware, software, labor, facilities, and other costs. It produces a detailed report that helps organizations estimate the cost savings of migrating to AWS.
D
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AWS Trusted Advisor
AWS Trusted Advisor inspects your AWS environment and provides recommendations in five categories, including cost optimization. However, it does not perform a TCO comparison between on-premises and AWS.
Common exam trap
Common exam trap: answer the scenario, not the keyword
Many certification questions include familiar terms but test a specific constraint. Read the exact wording before choosing an answer that is generally true but wrong for this case.
Technical deep dive
How to think about this question
This question should be treated as a scenario, not a definition check. Identify the problem, the constraint and the best action. Then compare each option against those facts.
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.
- Use explanations to understand the rule behind the answer.
TExam Day Tips
- Underline the problem statement mentally.
- 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.
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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?
FAQ
Questions learners often ask
What does this CLF-C02 question test?
Read the scenario before looking for a memorised answer.
What is the correct answer to this question?
The correct answer is: AWS Total Cost of Ownership (TCO) Calculator — The AWS Total Cost of Ownership (TCO) Calculator is specifically designed to compare the costs of an on-premises environment with AWS, helping organizations estimate the cost savings of migrating to the cloud. It accounts for server, storage, network, and labor costs, making it the correct choice for this scenario. AWS Budgets (A) allows you to set custom cost and usage budgets, alerting you when you exceed thresholds, but it does not provide TCO comparisons. AWS Cost Explorer (B) analyzes historical AWS usage and costs, and provides forecasts, but it cannot model on-premises costs. AWS Trusted Advisor (D) offers cost optimization recommendations for existing AWS resources, but it is not a TCO comparison tool.
What should I do if I get this CLF-C02 question wrong?
Then try more questions from the same exam bank and focus on understanding why the wrong options are tempting.
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