Question 951 of 1,616
Development with AWS ServicesmediumMultiple SelectObjective-mapped

How to Securely Store Secrets for AWS Lambda: Secrets Manager vs Parameter Store

This DVA-C02 practice question tests your understanding of development with aws services. 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.

Which TWO actions should a developer take to securely store secrets (e.g., database passwords) used by a Lambda function?

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

Use AWS Secrets Manager to store and retrieve the secret at runtime.

AWS Secrets Manager is a dedicated service for securely storing and automatically rotating secrets like database passwords. It integrates natively with Lambda via the AWS SDK, allowing retrieval of the secret value at runtime without hardcoding or exposing it in code or configuration. This ensures the secret is encrypted at rest and in transit, and access can be controlled with IAM policies.

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.

  • Use AWS Secrets Manager to store and retrieve the secret at runtime.

    Why this is correct

    Secrets Manager encrypts secrets and allows fine-grained access control and automatic rotation.

    Related concept

    Read the scenario before looking for a memorised answer.

  • Upload the secret to an S3 bucket and read it from the Lambda function.

    Why it's wrong here

    S3 does not provide built-in secret rotation or automatic encryption at rest by default.

  • Use AWS Systems Manager Parameter Store with a SecureString parameter.

    Why this is correct

    Parameter Store with SecureString encrypts the value and integrates with KMS for access control.

    Related concept

    Read the scenario before looking for a memorised answer.

  • Store the secret as an environment variable in the Lambda function.

    Why it's wrong here

    Environment variables are not encrypted by default and can be viewed in the console.

  • Hardcode the secret in the Lambda function code.

    Why it's wrong here

    Hardcoding secrets is a security risk and makes rotation difficult.

Common exam traps

Common exam trap: answer the scenario, not the keyword

The trap here is that candidates often confuse AWS Systems Manager Parameter Store (SecureString) with Secrets Manager, but both are correct for this question; the real trap is assuming environment variables (Option D) are secure because they can be encrypted at rest, ignoring that they are exposed in plaintext during function invocation and in the AWS Management Console.

Detailed technical explanation

How to think about this question

AWS Secrets Manager uses envelope encryption with AWS KMS to encrypt secrets; the secret value is encrypted with a data key, which is itself encrypted with a KMS master key. When Lambda retrieves the secret via the GetSecretValue API, the SDK decrypts the secret in memory, and the plaintext is never written to disk or logs. For high-rotation environments, Secrets Manager can automatically rotate secrets on a schedule, and Lambda can cache the secret to reduce API calls and latency.

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 media company stores terabytes of video archives that are accessed once a year for audit purposes. Moving these objects to a cold storage tier (Azure Archive, S3 Glacier, or Google Nearline) costs a fraction of hot storage. Questions like this test whether you understand storage tiers, access frequency tradeoffs, and retrieval latency requirements.

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 DVA-C02 question test?

Development with AWS Services — This question tests Development with AWS Services — Read the scenario before looking for a memorised answer..

What is the correct answer to this question?

The correct answer is: Use AWS Secrets Manager to store and retrieve the secret at runtime. — AWS Secrets Manager is a dedicated service for securely storing and automatically rotating secrets like database passwords. It integrates natively with Lambda via the AWS SDK, allowing retrieval of the secret value at runtime without hardcoding or exposing it in code or configuration. This ensures the secret is encrypted at rest and in transit, and access can be controlled with IAM policies.

What should I do if I get this DVA-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: Jul 4, 2026

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This DVA-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 DVA-C02 exam.