The answer is to purchase Reserved Instances for consistently running workloads and right-size instances based on CloudWatch utilization metrics. Reserved Instances offer a significant discount over On-Demand pricing for steady-state, 24/7 usage, directly reducing costs without altering performance. Right-sizing ensures you are not over-provisioned by matching instance family and size to actual CPU and memory needs, which lowers spend while maintaining adequate capacity. On the AWS Certified SysOps Administrator Associate SOA-C02 exam, this question tests your ability to distinguish between cost-saving actions that preserve performance versus those that increase costs or add unnecessary charges—common traps include mistaking increased instance size or detailed monitoring for savings. A helpful memory tip is “Reserve the steady, right-size the needy” to recall that Reserved Instances lock in discounts for predictable loads, while right-sizing trims waste from underutilized resources.
SOA-C02 Cost and Performance Optimization Practice Question
This SOA-C02 practice question tests your understanding of cost and performance optimization. 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 SysOps administrator is optimizing costs for an AWS account. The account has multiple EC2 instances running 24/7 with varying utilization. Which TWO actions will help reduce costs without impacting performance? (Choose TWO.)
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
Use AWS Compute Optimizer to right-size instances.
The correct answers are A and D. Converting to reserved instances provides significant discount for steady-state workloads. Right-sizing instances based on CloudWatch metrics ensures you are not over-provisioned. Option B is wrong because increasing instance size increases costs. Option C is wrong because disabling termination protection does not affect costs. Option E is wrong because detailed monitoring incurs additional charges.
Key principle: NAT direction and interface roles matter as much as the IP address mapping. Inside/outside designation controls which traffic is translated.
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 Compute Optimizer to right-size instances.
Why this is correct
Compute Optimizer recommends optimal instance sizes based on utilization.
Related concept
Static NAT maps one inside address to one outside address.
✗
Use larger instance types to improve performance.
Why it's wrong here
Larger instances increase costs.
✗
Enable detailed CloudWatch monitoring for all instances.
Purchase Reserved Instances for instances that run consistently.
Why this is correct
Reserved Instances offer up to 72% discount for steady-state workloads.
Related concept
Static NAT maps one inside address to one outside address.
Common exam traps
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.
Detailed technical explanation
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.
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.
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 SOA-C02 NAT questions on configuration and troubleshooting.
Cost and Performance Optimization — This question tests Cost and Performance Optimization — Static NAT maps one inside address to one outside address..
What is the correct answer to this question?
The correct answer is: Use AWS Compute Optimizer to right-size instances. — The correct answers are A and D. Converting to reserved instances provides significant discount for steady-state workloads. Right-sizing instances based on CloudWatch metrics ensures you are not over-provisioned. Option B is wrong because increasing instance size increases costs. Option C is wrong because disabling termination protection does not affect costs. Option E is wrong because detailed monitoring incurs additional charges.
What should I do if I get this SOA-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 SOA-C02 NAT questions on configuration and troubleshooting.
What is the key concept behind this question?
Static NAT maps one inside address to one outside address.
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Question Discussion
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